Company: CSLMF
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076682
Chunk: 38

Company: CSLM ACQUISITION CORP.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 38
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which resulted in recording the substantial premium in excess of principal and accrued interest through additional paid-in capital. As
such, on February 4, 2025, $2,750,000 of principal and $142,156 of accrued interest were re-established as liabilities, and $1,822,844
of substantial premium was recognized in additional paid-in capital on the condensed consolidated balance sheets. The 3rd A&R WC Promissory
Note reacquisition price is deemed a Level 3 fair value measurement.

The Company valued the reacquisition price of the 3rd A&R
WC Promissory Note as the difference between the probability -weighted value of cash payoff amount and the present value of stock payoff
amount. Significant assumptions utilized in the analysis include an estimated Class A ordinary share price of the post-business combination
entity of $8.82 per share and a discount rate of 4.30% based on U.S. Treasury securities with a term commensurate with the remaining timeline
of the Combination Period.

The following table sets forth a level 3 rollforward for the three
and six months ended June 30, 2025:

    Balance – December 31, 2024 
    $— 
  
    Issuance of 3rd A&R WC Promissory Note 
     4,715,000 

    Balance – March 31, 2025 
     4,715,000 
  
    Additions (Reductions) 
     — 
  
    Change in fair value 
     — 
  
    Balance – June 30, 2025 
    $4,715,000 

19

NOTE 9 — SEGMENT INFORMATION

ASC Topic 280, “Segment Reporting,” establishes standards
for companies to report in their financial statement information about operating segments, products, services, geographic areas, and major
customers. Operating segments are defined as components of an enterprise that engage in business activities from which it may recognize
revenues and incur expenses, and for which separate financial information is available that is regularly evaluated by the Company’s
chief operating decision maker, or group, in deciding how to allocate resources and assess performance.

The Company’s CODM has been identified as the Chief Executive
Officer, who reviews the assets, operating results, and financial metrics for the Company as a whole to make decisions about allocating
resources and assessing financial performance. Accordingly, management has determined that there is only one reportable segment.

The COD