Company: SSEA
Filing Date: 2025-03-05
Form Type: DRS
Source: 0001829126-25-001469
Chunk: 90

Company: STARRY SEA ACQUISITION CORP
Filing Date: 2025-03-05
Form: DRS
Chunk 90
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,500 ordinary shares subject to forfeiture by our sponsor to the extent that the underwriters’ over-allotment
option is not exercised in full or in part) at any time commencing three months prior to the end of the Lock-Up period.
Additionally, our sponsor, officers, directors or their affiliates are entitled to demand that we register the resale of the 229,121
ordinary shares (or 244,121 ordinary shares if the overallotment is exercised in full) included in the private units, and 32,731
ordinary shares (or 34,874 ordinary shares if the overallotment is exercised in full) underlying the rights included in the
private units. The presence of these additional securities trading in
the public market may have an adverse effect on the market price of our securities. In addition, the existence of these rights may
make it more difficult to effectuate a business combination or increase the cost of acquiring the target business, as the
shareholders of the target business may be discouraged from entering into a business combination with us or will request a higher
price for their securities because of the potential effect the exercise of such rights may have on the trading market for our
ordinary shares.

If we were deemed to be an investment company under the Investment Company Act, we may be required to institute burdensome compliance requirements and our activities may be restricted, which may make it difficult for us to complete a business combination.

On January 24, 2024, the SEC adopted final rules (the “SPAC Final Rules”) relating to, among other items, enhancing disclosures in business combination transactions involving SPACs and private operating companies; amending the financial statement requirements applicable to transactions involving shell companies; effectively limiting the use of projections in SEC filings in connection with proposed business combination transactions; increasing the potential liability of certain participants in proposed business combination transactions; and the extent to which SPACs could become subject to regulation under the Investment Company Act. The SPAC Final Rules were published in the Federal Register on February 26, 2024, and have become effective on July 1, 2024 (125 days after publication in the Federal Register).

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Instead of adopting a safe harbor from the “investment company” definition under section 3(a)(1)(A) of the Investment Company Act, the SPAC Final Rules provide that whether a SPAC is an “investment company” under the Investment Company Act is based on particular facts and circumstances. A specific duration period of