Company: FSHPU
Filing Date: 2025-03-04
Form Type: 10-K
Source: 0001829126-25-001450
Chunk: 856

Company: Flag Ship Acquisition Corp
Filing Date: 2025-03-04
Form: 10-K
Item: Item 7
Chunk 856
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 consideration. The Founder Shares include an aggregate of up to 225,000 shares subject to forfeiture by the Sponsors to the extent that the underwriters’ over-allotment is not exercised in full or in part, so that the Sponsors will collectively
         own 20% of the Company’s issued and outstanding shares after the Initial Public Offering (assuming the initial
         shareholders do not purchase any Public Shares in the Initial Public Offering and
         excluding the Private Units and underlying securities). The underwriters exercised
         the over-allotment option in full, so those shares are no longer subject to forfeiture.
       
      The initial shareholders have agreed not to transfer, assign or sell any of the Founder
         Shares (except to certain permitted transferees) until (1) with respect to 50% of
         the Founder Shares, the earlier of six months after the completion of a Business Combination
         and the date on which the closing price of the ordinary shares equals or exceeds $12.50
         per share for any 20 trading days within any 30-trading day period commencing after
         a Business Combination and (2) with respect to the remaining 50% of the Founder Shares,
         six months after the completion of a Business Combination, or earlier, in either case,
         if, subsequent to a Business Combination, the Company completes a liquidation, merger,
         share exchange or other similar transaction which results in all of the Company’s shareholders having the right to exchange their ordinary shares for cash, securities
         or other property.

    F-16

FLAG SHIP ACQUISITION CORPORATION

NOTES TO FINANCIAL STATEMENTS

      Promissory Note — Related Party
       
      On January 28, 2021, the Company issued an unsecured promissory note to the Sponsor, pursuant
         to which the Company may borrow up to an aggregate principal amount of $300,000 (the “Promissory Note”). The Promissory Note is non-interest bearing and payable on
         the earlier of (i) December 31, 2021 or (ii) the consummation of the Proposed Offering. On February 4, 2022, the Company and the Sponsor mutually agreed to extend the repayment date on
         the earlier of (i) December 31, 2022 or (ii) the consummation of the Proposed Offering. On December 2, 2022, the Company and the Sponsor mutually agreed to increase