Company: ABTC
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076632
Chunk: 248

Company: American Bitcoin Corp.
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 1A
Chunk 248
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 vendors, collaborators and other counterparties may defer decisions
concerning working with Gryphon or ABTC or seek to change existing business relationships with Gryphon or ABTC, during the pendency of
the Mergers. Changes to or termination of, existing business relationships could adversely affect Gryphon’s results of operations
and financial condition, as well as the market price of Gryphon Common Stock. The adverse effects of the pendency of the Mergers could
be exacerbated by any delays in the Closing or by the termination of the ABTC Merger Agreement.

The Closing is subject to approval by the
Gryphon stockholders and the ABTC stockholders. Failure to obtain these approvals would prevent the Closing.

The Closing is subject to certain approvals by
the Gryphon stockholders and the ABTC stockholders. Failure to obtain the required stockholder approvals may result in a material delay
in or the abandonment of, the Mergers. Any delay in completing the Mergers may materially adversely affect the timing and benefits that
are expected to be achieved from the Mergers.

Gryphon stockholders will experience significant
ownership and voting power dilution in connection with the Mergers and may not realize a benefit from the Mergers commensurate with that
dilution.

Pursuant to the terms of
the ABTC Merger Agreement and upon the Closing, the Gryphon stockholders as of immediately prior to the First Effective Time are
expected to own 2.0% of the Combined Company Common Stock and the ABTC stockholders as of immediately prior to the First Effective
Time are expected to own 98.0% of the Combined Company Common Stock, each on a fully diluted basis. ABTC stockholders who hold ABTC
Class B Common Stock, including ABH, which is a wholly owned subsidiary of Hut 8, and certain other stockholders of ABTC, will
receive Class B Common Stock, which will entitle the holder thereof to 10,000 votes per share. The Class A Common Stock that will be
held by other stockholders of the Combined Company, including stockholders of Gryphon, will entitle the holder thereof to one vote
per share. While the actual Exchange Ratio will be determined at the Closing, it is currently expected that ABTC stockholders as of
immediately prior to the First Effective Time will collectively represent approximately 99.99% and holders of equity interests of
Gryphon as of immediately prior to the First