Company: CDAQF
Filing Date: 2025-03-25
Form Type: 10-K
Source: 0001641172-25-000421
Chunk: 23

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-03-25
Form: 10-K
Item: Item 1
Chunk 23
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, subject
to the limitations and on the conditions described herein. The amount in the Trust Account is approximately $11.14 per Public Share as
of December 31, 2024. There will be no redemption rights upon the completion of our initial Business Combination with respect to our
Warrants. Our Sponsors, Prior Directors and Officers and directors and officers have entered into the Insider Letter with us, pursuant
to which, they have agreed to waive their redemption rights with respect to their Founder Shares and any Public Shares they may acquire
during or after the Initial Public Offering in connection with the completion of our initial Business Combination.

See
“EEW Business Combination” above for more information on redemptions and our net tangible assets in connection with the EEW
Business Combination.

Limitations
on Redemptions

Our
Amended and Restated Charter provides that in no event will we redeem our Public Shares in an amount that would cause our net tangible
assets to be less than $5,000,001. In addition, our proposed initial Business Combination may impose a minimum cash requirement for (i)
cash consideration to be paid to the target or its owners, (ii) cash for working capital or other general corporate purposes or (iii)
the retention of cash to satisfy other conditions. As a result, we may be able to complete our initial Business Combination even though
a substantial majority of our Public Shareholders do not agree with the transaction and have redeemed their Public Shares or, if we seek
shareholder approval of our initial Business Combination and do not conduct redemptions in connection with our initial Business Combination
pursuant to the tender offer rules, have entered into privately negotiated agreements to sell their Public Shares to our Sponsor, officers,
directors, advisors or any of their affiliates. In the event the aggregate cash consideration we would be required to pay for all Public
Shares that are validly submitted for redemption plus any amount required to satisfy cash conditions pursuant to the terms of the proposed
Business Combination exceed the aggregate amount of cash available to us, we will not complete the Business Combination or redeem any
Public Shares, and all Public Shares submitted for redemption will be returned to the holders thereof, and we instead may search for
an alternate Business Combination.

Manner
of Conducting Redemptions

We
will provide our Public Shareholders with the opportunity to redeem all or a portion of their Public Shares upon the completion of our
initial Business Combination either (i) in connection with a general meeting called to approve the