Company: KII
Filing Date: 2025-09-18
Form Type: S-1
Source: 0001213900-25-088883
Chunk: 147

Company: K2 Capital Acquisition Corp
Filing Date: 2025-09-18
Form: S-1
Chunk 147
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 the Class B ordinary shares resulted in the issuance of Class A ordinary shares on a greater than one -to-onebasis upon conversion of the Class B ordinary shares; •may subordinate the rights of holders of ordinary shares if preference shares are issued with rights senior to those afforded our ordinary shares; •could cause a change of control if a substantial number of ordinary shares are issued, which may affect, among other things, our ability to use our net operating loss carry forwards, if any, and could result in the resignation or removal of our present officers and directors; •may have the effect of delaying or preventing a change of control of us by diluting the equity ownership or voting rights of a person seeking to obtain control of us; and •may adversely affect prevailing market prices for our Class A ordinary shares. Similarly, if we issue debt securities or otherwise incur significant indebtedness, it could result in: •default and foreclosure on our assets if our operating revenues after an initial business combination are insufficient to repay our debt obligations; •acceleration of our obligations to repay the indebtedness even if we make all principal and interest payments when due if we breach certain covenants that require the maintenance of certain financial ratios or reserves without a waiver or renegotiation of that covenant; •our immediate payment of all principal and accrued interest, if any, if the debt is payable on demand; •our inability to obtain necessary additional financing if the debt contains covenants restricting our ability to obtain such financing while the debt is outstanding; •our inability to pay dividends on our ordinary shares; •using a substantial portion of our cash flow to pay principal and interest on our debt, which will reduce the funds available for dividends on our ordinary shares, expenses, capital expenditures, acquisitions and other general corporate purposes; •limitations on our flexibility in planning for and reacting to changes in our business and in the industry in which we operate; •increased vulnerability to adverse changes in general economic, industry and competitive conditions and adverse changes in government regulation; and 95 •limitations on our ability to borrow additional amounts for expenses, capital expenditures, acquisitions, debt service requirements, execution of our strategy and other purposes and other disadvantages compared to our competitors who have less debt. As of August 19, 2025, we had no cash, a working capital deficit of $21,235, and $25,000 of deferred offering costs. Further, we expect to continue to incur significant costs in the pursuit of our acquisition plans. We cannot assure you that our plans to raise capital or to complete our