Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 264

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 264
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ate’s management found ValueScope’s quotation to be reasonable and were impressed by ValueScope’s body of work. On July 28, 2023, ValueScope shared a first draft of their Fairness Opinion with Finnovate management. The execution version of the Business Combination Agreement and the Ancillary Agreements contain a number of material terms reflecting negotiations between the parties subsequent to the execution of the Term Sheet, including, among other things, removal of the equity incentive plan, a 6 -monthlock -upperiod with respect to 40% of the shares held by management and with respect to shares held by selling shareholders of Scage International. The Finnovate Board was kept apprised on a regular basis by Finnovate management of the status of negotiations with Scage International. On August 6, 2023, the Finnovate Board convened a virtual meeting. During the meeting, Mr. Kung reviewed the following items with the Finnovate Board (i) the broader initial business combination timeline and goals; (ii) a comprehensive overview of Scage International’s core business, core strengths, management team and future prospects, including video demonstrations of Scage International’s vehicles; 108 (iii) a comparative analysis of Scage International’s key products against those of industry peers (specifically, the analysis highlighted the Galaxy II’s advantages in terms of stage of development (already in mass production), range, and payload, and the Andromeda II’s advantages in terms of stage of development, range, and payload); (iv) the Initial Projections provided by Scage International and Finnovate management’s preliminary assessment of the same; and (v) an update on the progress of Business Combination Agreement negotiations. Immediately following the August 6, 2023 virtual meeting, Mr. Kung shared a copy of ValueScope’s first draft Fairness Opinion with the Board. The Fairness Opinion included a financial analysis that applied the Discounted Cash Flow and Public Company Comparables methodologies based on the Initial Projections provided to ValueScope by Finnovate management. The Finnovate Board relied on these financial analyses, together with ValueScope’s conclusion in its Fairness Opinion, to evaluate the approval of the Business Combination. On August 16, 2023, ValueScope delivered another draft of its Fairness Opinion, which was shared with the Finnovate Board on August 17, 2023. The revised Fairness Opinion retained the same assumptions and inputs of the Initial Projections, but were updated to include Sc