Company: HVIIR
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010497
Chunk: 62

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 62
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 granted subject
to a performance condition (i.e., providing services through the Company’s Business Combination). Compensation expense related to
the founder shares is recognized only when the performance condition is probable of occurrence under the applicable accounting literature
in this circumstance.

    12

HENNESSY CAPITAL INVESTMENT CORP. VII

NOTES
TO CONDENSED FINANCIAL STATEMENTS

MARCH
31, 2025

(UNAUDITED)

The Company’s
initial shareholders have agreed not to transfer, assign or sell any of their founder shares and any Class A ordinary shares issued upon
conversion thereof until the earlier to occur of (i) 180 days after the completion of the Company’s Business Combination or (ii)
the date on which the Company completes a liquidation, merger, share exchange or other similar transaction after its Business Combination
that results in all of the Company’s shareholders having the right to exchange their Class A ordinary shares for cash, securities
or other property. Any permitted transferees will be subject to the same restrictions and other agreements of the Company’s initial
shareholders with respect to any founder shares (the “Lock-up”).

Promissory Note — Related Party

The Sponsor has agreed
to loan the Company an aggregate of up to $250,000 to be used for a portion of the expenses of the Initial Public Offering (the “Promissory
Note”). The Promissory Note is non-interest bearing, unsecured and due at the earlier of March 31, 2025 or the closing of the Initial
Public Offering. During the year ended December 31, 2024, the Company had borrowed $76,790 under the Promissory Note. On January 21, 2025,
the Company repaid the total outstanding balance of the Promissory Note amounting to $109,994. As of March 31, 2025 and December 31, 2024,
the Company had $0 and $76,790, respectively, outstanding balance under the Promissory Note.

Working Capital Loans

In order to finance
transaction costs in connection with a Business Combination, the Sponsor or an affiliate of the Sponsor or certain of the Company’s
officers and directors may, but are not obligated to, loan the Company funds as may be required (the “Working Capital Loans”).
If the Company completes a Business Combination, the Company would repay the Working Capital Loans. In the event that a Business Combination
does not close, the Company may