Company: FGMCU
Filing Date: 2025-12-30
Form Type: S-4/A
Source: 0001104659-25-124947
Chunk: 266

Company: FG Merger II Corp.
Filing Date: 2025-12-30
Form: S-4/A
Chunk 266
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 Shares even if FGMC’s public stockholders experience a negative return on their investment after consummation of the Business Combination.” These interests may influence FGMC’s directors in making their recommendation that you vote in favor of these proposals. These interests were considered by the FGMC board of directors when it approved the Business Combination.

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U.S. Federal Income Tax Considerations For a discussion summarizing the U.S. federal income tax considerations of the exercise of redemption rights and the Warrant Amendment, see “ U.S. Federal Income Tax Considerations.” Expected Accounting Treatment of the Business Combination The Business Combination will be accounted for as a reverse recapitalization in accordance with GAAP. Under this method of accounting, FGMC, who is the legal acquirer, will be treated as the “acquired” company for accounting purposes and BOXABL will be treated as the accounting acquirer. Accordingly, the Business Combination will be treated as the equivalent of BOXABL issuing shares at the closing of the Business Combination for the net assets of FGMC as of the closing date, accompanied by a recapitalization. The net assets of FGMC will be stated at historical cost, with no goodwill or other intangible assets recorded. BOXABL has been determined to be the accounting acquirer based on evaluation of the following facts and circumstances:

| ● | BOXABL stockholders will have the majority voting interest in the Combined Company under both the no redemption and maximum redemption scenarios. |

| ● | The Combined Company board of directors will be composed as follows: BOXABL will have the right to designate four (4) directors and FGMC will have the right to designate one (1) director (a majority of the board who will qualify as independent directors under the Securities Act and the Nasdaq rules); |

| ● | BOXABL senior management will be the senior management of the Combined Company post-merger; |

| ● | The business of Combined Company will comprise the ongoing operations of BOXABL; and |

| ● | BOXABL is the larger entity, in terms of substantive assets. |

Regulatory Matters Under the HSR Act and the rules that have been promulgated thereunder by the Federal Trade Commission (“ FTC”), certain transactions may not be consummated unless information has been furnished to the Antitrust Division of the Department of Justice (the “ Antitrust Division”) and the FTC and certain waiting period requirements have been satisfied. The Business Combination is subject to these requirements and may not be completed until the expiration of a 30-day waiting period following the two filings of