Company: CCIXW
Filing Date: 2025-12-05
Form Type: S-4/A
Source: 0001193125-25-309933
Chunk: 151

Company: Churchill Capital Corp IX/Cayman
Filing Date: 2025-12-05
Form: S-4/A
Chunk 151
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 risk assessment, control activities, and monitoring components of the COSO framework.

Specifically, the Company determined that an insufficient risk assessment was performed to identify risks related to complex and/or non-routine transactions and financial reporting personnel failed to perform control activities and to provide necessary oversight and monitoring of the accounting and reporting of complex and/or non-routine transactions. This control deficiency creates a reasonable possibility that a material misstatement of the Company’s consolidated financial statements would not be prevented or detected on a timely basis and constitutes a material weakness in the Company’s internal control over financial reporting. These material weaknesses resulted in corrected misstatements in the reporting of warrant liabilities and redeemable convertible preferred stock for the fiscal year ended December 31, 2024 and the six months ended June 30, 2025, and convertible Simple Agreement for Future Equity notes for the six-months ended June 30, 2025.

To remediate these material weaknesses, we believe that we must continue to add qualified accounting, finance and tax personnel, formalize and implement written policies, internal control activities and procedures for the review of account analyses for complex and non-routine transactions, and implement and improve systems to automate certain financial reporting processes and to improve efficiency and accuracy.

We have begun taking steps and plan to take additional steps to remediate the underlying causes of the material weaknesses. The actions that we are taking are subject to ongoing senior management review as well as board, and post-closing, audit committee oversight. We cannot estimate how long it will take to remediate the material weaknesses, and our initiatives may not prove to be successful in remediating this material weakness.

These material weaknesses will not be considered remediated until management completes the design and implementation of the measures described above, the controls operate for a sufficient period of time and management has concluded, through testing, that the controls are effective. The measures we have taken to date, and the controls we continue to design and implement, may not be sufficient to remediate the material weaknesses we have identified or avoid potential additional material weaknesses in our internal control over financial reporting in the future. If not remediated or management identifies other material weaknesses in internal control over financial reporting, the Company will be unable to assert that the internal control over financial reporting is effective, which could result in the loss of investor confidence and a decline in the market price of our Post-Closing Company Class A common stock. In addition, to date, the audit of the consolidated financial statements by our independent registered public accounting firm has included a consideration of internal control over financial