# EDGAR Filing Document

**Accession Number:** 0002019804
**File Stem:** 0000000000-25-006720
**Filing Date:** 2025-6
**Character Count:** 47315
**Document Hash:** 007455b93c56aaf639dd3da24cb12ff9
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000000000-25-006720.hdr.sgml**: 20260206

**ACCESSION NUMBER**: 0000000000-25-006720

**CONFORMED SUBMISSION TYPE**: UPLOAD

**PUBLIC DOCUMENT COUNT**: 2

**FILED AS OF DATE**: 20250626

**FILED FOR**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Terrestrial Energy Inc.
- **CENTRAL INDEX KEY:** 0002027582
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 991587241
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** UPLOAD
- **SEC FILE NUMBER:** 377-08067

**BUSINESS ADDRESS:**
- **STREET 1:** 9319 ROBERT D. SNYDER RD.
- **CITY:** CHARLOTTE
- **STATE:** NC
- **ZIP:** 28223
- **BUSINESS PHONE:** 646-687-8212

**MAIL ADDRESS:**
- **STREET 1:** 9319 ROBERT D. SNYDER RD.
- **CITY:** CHARLOTTE
- **STATE:** NC
- **ZIP:** 28223

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Terrestrial Energy Inc.
- **DATE OF NAME CHANGE:** 20240620
**FILED FOR**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Terrestrial Energy Inc. /DE/
- **CENTRAL INDEX KEY:** 0002019804
- **STANDARD INDUSTRIAL CLASSIFICATION:** FABRICATED PLATE WORK (BOILER SHOPS) [3443]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 981785406
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** UPLOAD
- **SEC FILE NUMBER:** 377-08067

**BUSINESS ADDRESS:**
- **STREET 1:** 2730 W. TYVOLA ROAD, SUITE 100
- **CITY:** CHARLOTTE
- **STATE:** NC
- **ZIP:** 28217
- **BUSINESS PHONE:** 203-930-2200

**MAIL ADDRESS:**
- **STREET 1:** 2730 W. TYVOLA ROAD, SUITE 100
- **CITY:** CHARLOTTE
- **STATE:** NC
- **ZIP:** 28217

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** HCM II Acquisition Corp.
- **DATE OF NAME CHANGE:** 20240415
**PUBLIC REFERENCE ACCESSION NUMBER**: 0001213900-25-049574

## Text-Extract

```

                                                            June 26, 2025

Shawn Matthews
Chief Executive Officer
HCM II Acquisition Corp.
100 First Stamford Place, Suite 330
Stamford, CT 06902

Simon Irish
Chief Executive Officer
Terrestrial Energy Inc.
9319 Robert D. Snyder Rd.
Charlotte, NC 28223

       Re: HCM II Acquisition Corp.
           Draft Registration Statement on Form S-4
           Submitted on May 30, 2025
           CIK No. 0002019804
Dear Shawn Matthews and Simon Irish:

       We have reviewed your draft registration statement and have the
following comments.

       Please respond to this letter by providing the requested information and
either
submitting an amended draft registration statement or publicly filing your
registration
statement on EDGAR. If you do not believe a comment applies to your facts and
circumstances or do not believe an amendment is appropriate, please tell us why
in your
response.

      After reviewing the information you provide in response to this letter
and your
amended draft registration statement or filed registration statement, we may
have additional
comments.

Draft Registration Statement on Form S-4
Cover Page

1.     Please state the amount of all compensation received or to be received
by the Sponsor,
       its affiliates, and promotors on the cover page. In this regard, we note
references
       elsewhere to compensation to be received by Shawn Matthews and the
independent
       directors (e.g., page 13). Refer to Item 1604(a)(3) of Regulation S-K.
 June 26, 2025
Page 2

2.     Please briefly describe any material financing transactions that have
occurred since
       the initial public offering. In this regard, we note references
elsewhere to (i) a
       $2,500,000 convertible promissory note issued to the Sponsor and (ii)
working
       capital loans and advances by the Sponsor and HCM II's officers and
directors.
       Additionally revise your summary to discuss material terms of such
financing
       transactions. Please refer to Items 1604(a)(2) and 1604(b)(5) of
Regulation S-K. File
       the promissory note and working capital loan agreement as exhibits to
your
       registration statement, or advise. Include relevant information within
your
       compensation disclosures.
Questions and Answers for Shareholders of HCM II
Q. What equity stake will current HCM II shareholders and Terrestrial
Stockholders hold...?,
page xviii

3.     Please revise to explain the terms "Terrestrial Energy Shareholders" and
"Terrestrial
       Energy Debt Holders." Revised disclosure should clarify how Terrestrial
options,
       units, warrants, notes, and other outstanding securities are reflected
for ownership
       purposes (non-diluted and fully-diluted) and quantify underlying shares,
identifying
       any needed assumptions. In this regard, we note disclosure on page 255
that units
       issued in the 2024 bridge financing will receive additional shares based
on the trading
       price following the lock-up period. Please also clarify how shares
issuable in
       connection with the recapitalization are treated for ownership purposes
       throughout. Discuss the call options referenced on page F-64 in an
appropriate
       section, including the related person transactions section as
applicable.
Q. Why is HCM II proposing the Domestication?, page xix

4.     We note that the Sponsor and independent directors hold 100% of the
outstanding
       HCM II Class B Ordinary Shares, and that only holders of the HCM II
Class B
       Ordinary Shares may vote in connection with the Domestication Proposal.
If approval
       of the Domestication Proposal is assured, revise to state so
specifically and to
       highlight that for investors.
Q. What conditions must be satisfied to complete the Business Combination?,
page xxvi

5.     We note the closing condition that the waiting period with the U.S.
Nuclear
       Regulatory Commission (NRC) has expired or has been terminated, but also
       disclosure on page 127 that the parties are not aware of any material
regulatory
       approvals or actions required for completion of the business
combination, other than
       the antitrust filing and waiting period. Please revise to clearly
disclose whether or not
       an NRC filing and/or waiting period is required for the business
combination.
       Additionally revise your disclosure to clearly identify all material
closing conditions
       (revising the reference to "certain") and to indicate which may be
waived.
Q. Who is the Sponsor?, page xxx

6.     We note disclosure that the Sponsor is controlled by Shawn Matthews, and
that Mr.
       Matthews has economic interests of 51.3% in the Founder Shares and 18.1%
in the
       Private Placement Warrants held by the Sponsor. Please revise to
disclose that the
       non-managing sponsor investors hold the remaining economic interests, if
true,
 June 26, 2025
Page 3

       and revise or explain your disclosure that "No other person has a direct
or indirect
       material interest in the Sponsor." Refer to Item 1603(a)(7) of
Regulation S-K.
       Additionally disclose whether Mr. Matthews has sole management
(including voting)
       control of the Sponsor. Reconcile disclosure here that, "Each other
director and officer
       of HCM II have economic interests in the Founder Shares and/or Private
Placement
       Warrants held by the Sponsor," with disclosure on page 10 that, "No
other director or
       officer of HCM II has economic interests in the Founder Shares/Private
Placement
       Warrants."
7.     We note disclosure that "HCM II's management believes MRNO represents a
high-
       quality, public-ready company with an attractive valuation" and "HCM I
supported
       the HCM II transaction with extensive due diligence, significant
investor outreach and
       comprehensive planning." Please revise to clarify the relevance of the
prior SPAC and
       target to this current transaction. To the extent that HCM I has
involvement in the
       current transaction, provide disclosure in the related person
transactions section and
       elsewhere as appropriate. We further note that a Form S-1 has been filed
for HCM
       III's initial public offering; please update this section accordingly.
Summary of the Proxy Statement/Prospectus, page 1

8.     Please revise the diagram on page 3 to separately show the ownership of
the Sponsor,
       other inside shareholders, and public shareholders. Additionally show
the PIPE
       shareholders.
Quorum and Vote of HCM II Shareholders, page 8

9.     Please revise to disclose the percentage of shares held by public
shareholders that is
       required to approve each proposal, clearly stating if none is required.
In this regard,
       we note that 37.5% of Public Shares are required for the Business
Combination
       Proposal, but percentages are not disclosed for other proposals. We also
note
       disclosure that, "If only the minimum number of shares representing a
quorum are
       voted, no additional shares would need to be voted in favor;" please
revise to clearly
       state the percentage of public shareholders needed to establish a quorum
and whether
       any public shareholders are required to vote in favor.
Certain Interests of HCM II   s Directors and Officers..., page 10

10.    Please provide a brief summary of the conflicts of interest of the
target company
       officers and directors and unaffiliated security holders. Please refer
to Item 1604(b)(3)
       of Regulation S-K.
11.    We note disclosure that, since shares and warrants will be subject to
lock-up
       restrictions, you believe such securities have less value. Please remove
or revise to
       more fully explain whether and how transfer restrictions affect value,
including
       whether the end of the lock-up period would restore full value.
Compensation Received by the Sponsor..., page 13

12.    Please revise the compensation table to include Mr. Matthews
appointment as a New
       Terrestrial director, and additionally discuss this directorship on page
124.
       Specifically discuss the New Equity Incentive Plan here and/or on page
12 as
 June 26, 2025
Page 4

       appropriate; in this regard we note disclosure on page 147 regarding New
Terrestrial
       management's personal interest in the Plan. Quantify the New Terrestrial
shares
       issuable to Mr. Matthews upon (i) conversion of the $4,000,000
Terrestrial
       Convertible Notes and (ii) exercise of the 40,000 Terrestrial Warrants,
identifying any
       necessary assumptions. Disclose the convertible promissory note issued
to the
       Sponsor, and quantify the outstanding working capital loans and
reimbursable
       expenses as of the date of the proxy statement/prospectus, consistent
with disclosures
       elsewhere (e.g., pages 33, 215). Quantify amounts payable to sponsor
under the
       administrative services agreement, and clarify whether these are
included within
       "reimbursable expenses."
Dilution to HCM II's Shareholders, page 15

13.    Please address the following as it relates to your dilution disclosures:
           Update the dilution table to reflect the information as of March 31,
2025 or the
           most recent balance sheet date of HCM II included in the filing.
           Revise the net tangible book value, as adjusted, amounts to reflect
the payment of
           deferred underwriting fees upon closing of the business combination.
           Revise to reflect the forward purchase agreement, including
potential impact of
           the forward purchases on Dilution calculations, if any.
14.    We note disclosure on page 77 that the Sponsor may convert working
capital loans
       into 1,500,000 Warrants. Please discuss, by footnote or otherwise, the
contingent
       issuance of such Warrants and potential dilutive effects thereof.
Background and Material Terms of the Business Combination, page 18

15.    Please provide a summary of the material terms of the business
combination. Please
       refer to Item 1604(b)(1) of Regulation S-K.
Summary Risk Factors
Risks Related to HCM II and the Business Combination, page 22

16.    We note disclosure that the business combination is subject to the
closing conditions
       that HCM II have at least $5,000,0001 in net tangible assets and
$150,000,000 in
       available cash (e.g., page 174). Please include risk factor disclosure
regarding these
       closing conditions, including the impact on public shareholders in the
event
       redemptions cause such conditions (and the separate $75,000,000 million
PIPE
       closing condition) not to be met. Expand the risk factor on pages 46-47
to additionally
       discuss the consequences and related risks to public shareholders.
Risks Related to Our Business and Industry, page 23

17.    Please revise to specifically disclose whether you are required to
obtain NRC approval
       of the Integral Molten Salt Reactor (IMSR) and discuss the consequences
and related
       risks if such approval is not obtained. Revise disclosure on page 55 to
clarify the
       regulatory status of your IMSR design (and/or its key components)
compared with the
       other developers    designs disclosed to be in    preapplication review
with the NRC.    In
       this regard, we note disclosure on page 70 that appears to indicate you
are not yet in
          formal application review    and on page 229 that refers to a
"pre-application phase."
 June 26, 2025
Page 5

Risk Factors
HCM II's shareholders will experience dilution..., page 36

18.    Please expand your disclosure to more fully discuss the effects of
dilution on non-
       redeeming public shareholders, for instance under the maximum
contractual
       redemption scenario.
The Warrant Agreement designates the courts..., page 48

19.    We note that the exclusive forum provision in the warrant agreement
applies to
       Securities Act claims. Please revise to state that there is uncertainty
as to whether a
       court would enforce such provision and that investors cannot waive
compliance with
       the federal securities laws and the rules and regulations thereunder. In
that regard, we
       note that Section 22 of the Securities Act creates concurrent
jurisdiction for federal
       and state courts over all suits brought to enforce any duty or liability
created by the
       Securities Act or the rules or regulations thereunder. Include analogous
disclosure on
       page 78 in relation to New Terrestrial's certificate of incorporation,
which provides
       the federal district courts will be the exclusive forum for Securities
Act and Exchange
       Act claims.
Customers may rescind or back out of non-binding agreements..., page 55

20.    We note media reports dated February 2025 that Terrestrial Energy and
three other
       small nuclear reactor developers have signed agreements with Texas A&M.
Please
       update your disclosure that no binding agreement has been signed with
Texas
       A&M or advise.
Our ability to procure a stable nuclear fuel supply is reliant on a limited
number of fuel
vendors..., page 55

21.    We note your disclosure that you are dependent on a few suppliers to
provide raw
       materials. Please expand your disclosure to describe the material terms
of your long-
       term supply agreement and file any material supply or manufacturing
agreements as
       exhibits to the registration statement. Please also disclose the risks
of this reliance and
       any disruptions you have experienced due to such reliance.
We are part of the nuclear power industry, which is highly regulated..., page
68

22.    We note disclosure that NRC review of your IMSR fuel salt and IMSR plant
may be
       longer/prolonged and more extensive, due to their novel nature. Please
revise this and
       following risk factors as appropriate to clearly disclose the current
status of your NRC
       review, future steps, expected timing, and specific related risks.
Provide analogous
       information with respect to any other regulatory reviews you are
undertaking.
The Business Combination Proposal, page 87

23.    State whether or not a majority of the directors (or members of similar
governing
       body) who are not employees of HCM II has retained an unaffiliated
representative to
       act solely on behalf of unaffiliated security holders for purposes of
negotiating the
       terms of the de- SPAC transaction and/or preparing a report concerning
the approval
       of the de-SPAC transaction. Please refer to Item 1606(d) of Regulation
S-K.
 June 26, 2025
Page 6

Background of the Business Combination, page 108

24.    We note disclosure regarding multiple drafts of the business combination
       agreement. Please revise to describe negotiations relating to material
terms of the
       transaction, including but not limited to structure, consideration,
equity financing, and
       continuing employment or involvement for any persons affiliated with the
SPAC
       before the merger. In your revised disclosure, please explain the
reasons for the terms,
       each party's position on the issues (including proposals and
counter-proposals), and
       how you reached agreement on the final terms.
25.    We note disclosure on page 111 regarding Mr. Matthews' purchase, in a
personal
       capacity, of $40,000,000 in Terrestrial Convertible Notes. Please expand
to discuss
       the material terms and conditions of these notes. Additionally discuss
Mr. Matthews'
       acquisition of 40,000 Terrestrial Warrants, including their material
terms and
       conditions. Reconcile disclosure on page 124 which refers to the
issuance of a single
       Terrestrial Warrant to purchase up to 40,000 Terrestrial Class A Units.
26.    Please revise to include any discussions about the need to obtain
additional financing
       for the combined company, such as the PIPE transaction, and the
negotiation and
       marketing processes. Without limitation, disclose (i) who selected the
potential PIPE
       investors, (ii) what relationships PIPE investors have to HCM II, the
Sponsor,
       Terrestrial, the placement agent, and/or their respective affiliates,
(iii) how terms of
       the PIPE transaction were determined, and (iv) whether there were any
valuations or
       other material information about HCM II, Terrestrial, or the business
combination
       provided to PIPE investors that have not been disclosed publicly. If the
Sponsor made
       any payments in connection with additional financing, provide the
disclosure required
       by Item 1605(b)(2) of Regulation S-K.
The HCM II Board's Reasons for the Approval of the Business Combination, page
112

27.    We note disclosure that the HCM II Board concluded the Business
Combination met
       its evaluation criteria, and that the unit economics criteria states,
We will focus on
       one or more businesses that have established and growing revenue
streams. We do not
       intend to acquire startup companies, companies with speculative business
plans, or
       companies that are excessively leveraged.    Please include disclosure
that indicates
       how the HCM II Board considered this criteria and determined it was met
in light of
       Terrestrial   s revenues, solely derived from pre-construction
engineering services to
       date, and developmental stage, including regulatory and financing
contingencies.
Summary of HCM II Financial Analysis, page 120

28.    We note disclosure that Terrestrial's management provided financial
projections that
       HCM II management considered in approving the business combination, yet
these do
       not appear to be included in the registration statement. Please include
these
       projections and disclosure required by Item 1609 of Regulation S-K or
advise. Also
       ensure your disclosure explains clearly when the projections were
generated, who
       generated them, when they were provided, how they were used and relate
to the
       merger consideration and/or valuations of the target company and
whether, and if so
       how, they relate to the board's conclusion regarding the fairness of the
consideration
       and advisability of the transaction.
 June 26, 2025
Page 7

29.    We note your disclosure that    HCM II Management compared certain
publicly
       available financial information for select transactions and
corresponding information
       for Terrestrial, pro forma for the Transaction,    yet the information
for Terrestrial and
       pro forma information is not included. Please revise the table on page
22 to include
       such information, or advise. Additionally identify the date that the
Materials were
       prepared, all material assumptions underlying the estimated information,
and any
       material factors that may affect such assumptions.
Benefits and Detriments of the Business Combination, page 123

30.    Please describe the benefits and detriments of the business combination
and related
       financing transaction to Terrestrial and its affiliates. See Item
1605(c) of Regulation
       S-K.
Unaudited Prospective Unit Economics Information, page 124

31.    Please revise to disclose all material assumptions underlying the unit
economics and
       any material factors that may affect such assumptions. Revised
disclosure should
       address, without limitation, the estimates and assumptions referenced on
pages 56 and
       126. Additionally disclose whether or not Terrestrial has affirmed to
HCM II that the
       unit economics and other estimates reflect the view of Terrestrial   s
management or
       board as of the most recent practicable date. Revise as appropriate
disclosure that,
          The inclusion of the Unit Economics . . . should not be regarded as
an indication that
       HCM II, the HCM II Board, Terrestrial, the Terrestrial Board or their
respective
       affiliates, advisors or other representatives considered, or now
considers, such Unit
       Economics necessarily to be predictive of actual future results.
Refer to Items
       1609(b) and 1609(c) of Regulation S-K.
32.    We note disclosure that,    No person has made or makes any
representation or
       warranty to any HCM II shareholder regarding the information included in
the Unit
       Economics.    This statement appears to imply a disclaimer of
responsibility for this
       information. Please either revise this section to remove such
implication or
       specifically state that you are liable for all information in the
registration statement.
The Stock Issuance Proposal, page 135

33.    Unless the PIPE financing closing condition cannot be waived,
shareholders should be
       afforded the opportunity to vote separately on the issuance of shares in
connection
       with the business combination and the PIPE financing. Please separate
each into its
       own proposal for shareholder approval, or clarify that the business
combination will
       not occur unless the PIPE financing is consummated.
U.S. Federal Income Tax Considerations..., page 153

34.    We note disclosure on pages 154 and 171 that your respective counsel
expect to
       deliver opinions that the domestication    should    qualify as an F
Reorganization and
       the merger    should    qualify as a Section 368(a) reorganization.
Please revise your
       disclosure to explain why counsel cannot give a    will    opinion and
to describe the
       degree of uncertainty in the opinion. Ensure revised disclosure clearly
addresses the
       material tax consequences of the domestication and business combination.
       Additionally revise references to    certain    tax consequences or
considerations
 June 26, 2025
Page 8

       throughout. Refer to Sections III.C.1 and III.C.4 of Staff Legal
Bulletin 19. Please
       also revise the legal matters section to include a reference to the tax
opinions.
Description of the Business Combination, page 177

35.    We note that Terrestrial Energy Convertible Noteholders are entitled to
a contingent
       value right to receive additional shares of New Terrestrial Common
Shares in the
       event that the volume weighed average price of the New Terrestrial
Common Stock
       for the 20 trading days beginning on the trading day immediately
following expiration
       of the lock-up period contemplated by the applicable Terrestrial Energy
Convertible
       Note is less than 75% of the Redemption Price. Please tell us how you
have accounted
       for these rights and what consideration you gave to reflect it in your
pro forma
       information.
Unaudited Pro Forma Condense Combined Financial Information, page 177

36.    Your disclosure on page F-69 states that in February 2025, the Company
completed
       another closing of the 2024 Bridge Round Offering and raised additional
units totaling
       $10,985,000. Please revise to reflect this transaction and conversion of
the new notes
       in your pro forma financial information.
37.    Please revise to clarify whether you assumed the shareholders
approval and gave
       effect to the completion of the ExchangeCo Recapitalization in your pro
forma. If you
       did, please revise to disclose the basis for reflecting the transaction
as a probable
       transaction for inclusion in the pro forma financial statements and
explain how you
       accounted for the Recapitalization. Refer to Article 11 of Regulation
S-X.
38.    Please revise to clarify how the ownership interests held by ExchangeCo
shareholders
       are reflected in the ownership levels of Terrestrial prior to and New
Terrestrial Energy
       immediately following the Business Combination (e.g., table presented on
page 180).
Adjustments to Unaudited Pro Forma Condensed Combined Balance Sheet
Adjustment (E), page 184

39.    You state that adjustment (E) was recorded to give effect to the
issuance of
       92,500,000 New Terrestrial Common Shares to the existing stockholder of
Terrestrial
       Energy. However, the table disclosed on page 180 appears to indicate
that that
       63,432,312 shares were issued to those shareholders. Further, page xviii
appears to
       indicate that the 92,500,000 shares includes 11,020,661 shares
underlying the
       Terrestrial Energy Warrants and18,047,027 shares underlying the
Terrestrial Energy
       Options. Please revise to correct the inconsistencies.
Information About HCM II, page 189

40.    Please update information throughout this section, the related person
transactions
       section, and elsewhere as appropriate. Additionally revise generalized
information to
       reflect the current business combination; for instance, and without
limitation, with
       respect to stockholder approval (page 190), due diligence review (page
192), and
       management (page 195). Reconcile disclosure that your board has seven
       directors with the table identifying five directors and biographical
discussion of six
       directors (Cf. pages 204-06). Clarify disclosure that you have not
commenced
 June 26, 2025
Page 9

       "any operations" (page 190) in light of disclosure referring to cash
used in operating
       activities and operating costs (e.g., page 215).
41.    Please disclose material terms and conditions of the forward purchase
agreement
       HCM II entered into on March 26, 2025, per disclosure on page F-12.
Additionally
       provide your analysis demonstrating how this agreement complies with
Rule 14e-5.
42.    We note that Shawn Matthews is identified as the founder and Chief
Executive
       Officer of Hondius Energy, and Steven Bischoff is identified as its
Chief Operating
       Officer, in the investor presentation filed with HCM II's Form 8-K on
March 26,
       2025. Please revise the biographies in the registration statement to
include
       this information and a description of Hondius Energy.
Information About Terrestrial Energy, page 218

43.    Please revise the overview of your business to provide a more balanced
discussion of
       your company and products. Balance the discussion of your strengths with
an equally
       prominent discussion of your weaknesses, including that you have a
history of
       operating losses, negative cash flows, and accumulated deficits and your
auditor has
       expressed substantial doubt about your ability to continue as a going
concern.
       Additionally highlight that initial commercialization of your ISMR
technology is
       contingent upon successful development and regulatory approval, is not
expected until
       2034 at the earliest, and will require extensive capital investments
($1.2-$1.5 billion
       for the Nth commercial plant scenario, and higher for earlier-stage
plants).
44.    Please clearly identify your business operations and products, current
and planned. In
       this regard, we note disclosure elsewhere that you will not directly
manufacture or
       operate IMSR plants, but will manufacture the IMSR core-unit and supply
IMSR fuel
       salt (pages 59, 61). Without limitation, revised disclosure should
discuss the Stillwater
       Facility and Round Top Project referenced on page 115. Clarify the
meaning of
       disclosure that, "we have developed a pipeline of over ten early stage
IMSR Plant
       projects," in light of disclosure elsewhere that "Terrestrial has no
present orders for
       IMSR Plants."
45.    Please revise to more fully discuss the (i) early-stage IMSR Plant
projects, (ii)
       partnership with Texas A&M, (iii) portfolio of over 50 collaborative
industry
       relationships, and (iv) initial consortia projects/developments
referenced on pages 220
       and 233. Discuss material terms and conditions of these projects and
relationships,
       including expected milestones, timing, and obstacles to overcome.
Provide analogous
       disclosure with respect to the strategic relationships with national
laboratories,
       research centers, and organizations; targeted academic engagements; and
private
       sector partnerships referenced on pages 229-30. File any agreements that
constitute
       material contracts pursuant to Item 601(b)(10) of Regulation S-K as
exhibits.
46.    Please expand disclosure regarding your estimated Levelized Cost of
Electricity and
       Levelized Cost of Heat on page 223 to discuss the material assumptions
underlying
       these estimates, and any material factors that may affect such
assumptions. Without
       limitation, disclose the target date(s), installed capacity, deployment
cycle and/or
       other relevant factors necessary to achieve your estimated LCOE of
$69/MWh and
       LCOH of $8.60/MMBtu. Provide analogous disclosure with respect to the
       lifecycle unit economics on page 226.
 June 26, 2025
Page 10

47.    Please disclose the function of your advisory board, as highlighted on
page 45 of the
       investor presentation.
ISMR Plant Overview, page 227

48.    Please revise to provide a clear, specific description of the design,
testing, and
       development status of your ISMR plant and its key components. Include
key
       milestones, expected timing, and obstacles to overcome in order to
commercialize
       your technology. Distinguish your accomplishments from aspirations
throughout.
       Discuss material terms and conditions of agreements with researchers,
designers,
       developers, suppliers, EPC firms, and other relevant parties. In this
regard, we note
       page 111 references a memorandum of understanding with EnergySolutions,
and page
       32 of the investor presentation references "contracts entered into
today" with
       identified companies in the categories of plant and infrastructure,
nuclear fuel,
       research and development, graphite, and services. File any agreements
that constitute
       material contracts as exhibits.
49.    Please expand your disclosure to discuss the potential safety, health,
and
       environmental risks related to IMSR plant installation, operation,
refueling, core-unit
       replacement, spent fuel and core-unit storage, and decommissioning,
including related
       uncertainties due to the novel nature of the IMSR technology and
operating/control
       systems. Without limitation, discuss the radioactive products and
by-products of the
       IMSR   s nuclear fission process that are not captured and contained by
fuel salt,
       whether there are overheating risks despite the fuel salt   s thermal
properties, and the
       potential for other accidents. Additionally discuss your potential
liabilities, contractual
       and otherwise, and related insurance or other mitigation measures.
50.    We note your graphics on pages 227 and 232. Please include accompanying
text to
       identify what is being depicted and to explain how these relate to your
current
       products and business. Clearly identify any artist representation as
such, and indicate
       whether and how actual products or facilities differ or may differ.
Regulatory Experience and Outlook, page 228

51.    Please expand your regulatory section to include a detailed discussion
of the
       regulatory process. Without limitation, please address the following
items:
           Disclose the current status, key milestones, expected timing, and
obstacles to
           overcome in order to obtain NRC approval of your technology.
           Clearly disclose whether you are seeking the approval of other
regulators and, if
           so, provide analogous disclosure. In this regard, we note references
to the
           Canadian Nuclear Safety Commission (CNSC) herein, as well as to
           the International Atomic Energy Association and United Kingdom
Office for
           Nuclear Regulation in the investor presentation.
           Clarify the significance of the CNSC Vendor Design Review and joint
CNSC-
           U.S. NRC Memorandum of Cooperation review highlighted in your
investor
           presentation.
           Disclose whether you have obtained the governmental licenses
necessary to
           transport, possess, and use radioactive materials in your operations
and, if not, the
           status, process, and timing thereof.
 June 26, 2025
Page 11

             Address the regulatory requirements for the validation and
qualification of IMSR
           systems and components referenced on page 230.
             Revise disclosure on page 230 that,    Since 2016, our
collaborations have been
           accredited by the Company for its testing requirements,    to
clarify and explain
           accreditation.
Intellectual Property, page 232

52.    We note from your disclosure that Terrestrial holds 90 patents. Please
revise to
       identify and disclose the duration of your patents. Refer to Item
101(h)(4)(vii) of
       Regulation S-K.
53.    We note disclosure on page 231 that MSR technology was developed over
decades by
       the U.S. Department of Energy's Oak Ridge National Laboratory, with
later designs
       incorporating SALEU (low-enriched uranium) and cartridge-based core
architecture,
       but also on page 232 that your patents    create significant barriers to
entry around the
       IMSR technology.    Please revise to clarify whether MSR technology is
proprietary or
       available for public use; if the former, additionally disclose whether
you license this
       technology. Discuss whether potential competitors are developing and
patenting
       similar MSR-based technology. In this regard, we note the reference to
commercial
       SMRs currently operating in China and Russia.
Export Controls, page 234

54.    Please expand to clearly disclose the extent to which your business,
current and
       planned, is subject to import and export controls. Address the
regulatory approvals
       associated with having both U.S. and Canadian subsidiaries and
operations. Identify
       the status of obtaining required approvals, avoiding hypothetical
language.
Beneficial Ownership of Securities, page 256

55.    We note that the table of beneficial ownership does not include shares
underlying the
       Private Placement Warrants or other convertible securities. Please
revise to include or
       tell us why you believe this is not required. Refer to Item 403 of
Regulation S-K.
       Additionally revise footnote 3 to reflect Mr. Matthews' actual economic
or pecuniary
       interest in shares held by the Sponsor, consistent with disclosure
elsewhere.
Certain Relationships and Related Person Transactions, page 259

56.    We note disclosure on page 260 that indicates HCM II incurred $17,500
under the
       administrative services agreement for the period from April 4, 2024
(inception)
       through March 31, 2025. Please reconcile with disclosure that HCM II
incurred
       $45,000 for the quarter ended March 31, 2025 (page F-16) and $62,500 for
the period
       ended December 31, 2024 (page F-37).
57.    Please provide disclosure regarding Terrestrial's related person
transactions. Refer to
       Item 404 of Regulation S-K. In this regard, we note references to
related party
       transactions within the notes to Terrestrial's financial statements,
including Notes 10
       and 11.
 June 26, 2025
Page 12
Where You Can Find More Information, page 277

58.    We note your disclosure that "[a]ll information contained in this proxy
       statement/prospectus relating to HCM II has been supplied by HCM II,"
and "all...
       information relating to Terrestrial has been supplied by Terrestrial"
and that
       "[i]nformation provided by one another does not constitute any
representation,
       estimate or projection of the other." Because these statements could be
read as
       disclaimers of your responsibility for the disclosure in your filing,
please revise to
       remove any implication that HCM II or Terrestrial disclaim
responsibility for any of
       the disclosures contained in the registration statement.
Notes to Condensed Consolidated Financial Statements
Note 2. Significant Accounting Policies
Forward Purchase Agreement Liability, page F-12

59.    We note that HCMII Acquisition Corp. entered into a Forward Purchase
Agreement
       on March 26, 2025. Please revise to include in more detail a description
of the
       material terms of this agreement and explain what consideration you gave
to reflect it
       in your pro forma information.
Exchangeable Shares, page F-64

60.    We note that, as of December 31, 2024, 6,200 Preferred Exchangeable
shares and
       530,924 Common exchangeable shares were outstanding, which are both
shares in the
       capital of Terrestrial Energy Canada (Exchange) Inc. Please tell us your
consideration
       for reporting these holdings as noncontrolling interests. Also, revise
to disclose in
       more detail the significant terms and features of these exchangeable
shares.
Terrestrial Energy Inc.
Notes to the Consolidated Financial Statements
Note 12. Stockholders' Deficit
Call Options, page F-64

61.    Pursuant to various call option agreements with certain stockholders, we
note that the
       Company has the right to repurchase up to 137,000 shares of its own
outstanding
       common shares at specified prices. Please revise to clarify whether you
expect to keep
       these rights after the closing of the business combination, and if so,
disclose the terms
       and conditions of those agreements.
Exhibits

62.    Please file the Exchange and Support Agreement as an exhibit to your
registration
       statement or tell us why you believe this is not required.
General

63.    We note disclosure that the representations, warranties, and covenants
in the business
       combination agreement are modified in part by the underlying disclosure
letter, and
       also that Section 9.16 of the agreement provides that the company and
purchaser
       disclosure letters are a part thereof as if fully set forth therein.
Please file the
       disclosure letters as exhibits to your registration statement or provide
your detailed
       legal analysis why these are not material to shareholders.
 June 26, 2025
Page 13

64.    Please describe the material roles and responsibilities of the Sponsor,
its affiliates, and
       promoters in directing and managing HCM II. Please refer to Item
1603(a)(4) of
       Regulation S-K.
65.    Please provide where appropriate, in a tabular format, the material
terms of your lock-
       up agreements. Please refer to Item 1603(a)(9) of Regulation S-K.
66.    Please expand the discussion of HCM II's and Terrestrial's reasons for
engaging in the
       business combination and whether either entity considered other
transactions, such as
       Terrestrial conducting a traditional IPO, in lieu of a de-SPAC. In
addition, discuss the
       reasons for the timing of the merger for the parties. Refer to Item
1605(b)(3) of
       Regulation S-K.
67.    We note disclosure that PIPE investors are permitted to    satisfy their
commitments
       under the PIPE subscription agreement if they hold New Terrestrial
shares that qualify
       as Non-Redeemed Shares. Please revise to more fully discuss these
provisions,
       including what qualifies as    Non-Redeemed Shares.    Additionally
clarify the
       potential consequences, for instance that the PIPE investment could be
reduced if and
       to the extent PIPE investors hold such shares.
68.    We note disclosure that properly-tendered Public Shares will be redeemed
at least one
       day prior to the domestication, but also that Public Shares will not be
redeemed if the
       business combination is abandoned and will be returned to the holder.
Please revise as
       appropriate to reconcile. Include disclosure regarding the expected
timing of key
       steps, including the shareholder meeting, domestication, closing, and
       redemption/return of tendered shares. Clarify the process for requesting
HCM II   s
       consent to withdraw tendered shares following the redemption request
deadline,
       referenced on pages xxii and 83. Add risk factor disclosure regarding
related risks if
       redemption is conditioned upon the business combination closing; for
instance, that
       shareholders will not be able to sell tendered shares until they are
returned and the
       share price may materially decline in the interim period.
69.    We note references to the ExchangeCo Recapitalization, whereby it
appears
       shareholders of a subsidiary, Terrestrial Energy Canada (Exchange) Inc.,
will become
       shareholders of Terrestrial Energy or New Terrestrial Energy, depending
on timing.
       Please revise disclosure to address the following:
           More fully discuss this recapitalization, including its purpose,
status, expected
           timing, and consequences of both approval or non-approval.
           Quantify the number of shares of the combined company that are
exchangeable
           for the subsidiary   s shares (under both timing scenarios, if
different), and explain
           how these are treated for purposes of ownership disclosure
throughout (e.g., are
           holders included as    Terrestrial Energy Shareholders   ?).
           Clarify whether New Terrestrial Special Voting Shares will be issued
if the
           recapitalization does not occur prior to or concurrently with the
business
           combination (Cf., the definition on page vi and item xi on page
xvii) and, if not,
           the treatment of outstanding Terrestrial Special Voting Shares.
           Disclose the percentage of voting power that holders of Special
Voting Shares
           will exercise following the business combination.
           The description of voting rights on page 246 refers to the Exchange
Ratio; revise
 June 26, 2025
Page 14

           to quantify the number of votes attached to a single share,
identifying any needed
           assumptions.
             Page 247 discloses,    At such time as any share of Terrestrial
Special Voting Stock
           has no votes attached to it, such share . . . will be automatically
cancelled for no
           consideration;    revise to clarify when votes would cease to attach
and the process
           by which this would be determined and shares cancelled.
             Include risk factor disclosure regarding the dilutive effects
and/or other risks
           related to the recapitalization as appropriate.
70.    Please reconcile disclosure regarding whether all Founder Shares will be
excluded
       from the pro rata calculation of the redemption price. In this regard,
we note varying
       references to Founder Shares, those held by your Sponsor, and those held
by your
       Sponsor, officers. and directors (Cf., the cover page and pages xxii,
80, and 84).
       Additionally revise to clarify whether any shares purchased pursuant to
Rule 14e-5 (as
       discussed on pages 85-86) will be excluded from this calculation.
71.    Please revise your disclosure to describe the "non-managing sponsor
investors" and
       their current affiliate status. We note disclosure that these investors
indirectly hold
       interests in Private Placement Warrants and Founder Shares through
non-managing
       interests in the Sponsor. Please further disclose whether these
investors acquired units
       in HCM II's initial public offering, noting that the Form S-1 for that
offering disclosed
       they intended to purchase up to $226,118,030 of the units. If so,
additionally clarify
       whether these investors are included among "Public Shareholders" for
ownership
       purposes, and highlight their potentially different interests from other
public
       shareholders given their membership interests in the Sponsor and
indirect ownership
       of Private Placement Warrants and Founder Shares. Include risk factor
disclosure as
       appropriate.
72.    We note that Cantor Fitzgerald & Co. acted as the underwriter for HCM
II's initial
       public offering and is acting as HCM II's financial advisor for the
business
       combination and placement agent for the PIPE transaction. We further
note disclosure
       on page F-17 that indicates HCM II's engagement of the underwriter for
its initial
       public offering "is considered a related party transaction." Please
include appropriate
       disclosure in the related person transactions section, including the
basis on which
       Cantor and HCM II are related persons. Refer to Item 404 of Regulation
S-K.
 June 26, 2025
Page 15

       Please contact Eiko Yaoita Pyles at 202-551-3587 or Hugh West at
202-551-3872 if
you have questions regarding comments on the financial statements and related
matters. Please contact Sarah Sidwell at 202-551-4733 or Jennifer Angelini at
202-551-3047
with any other questions.

                                                          Sincerely,

                                                          Division of
Corporation Finance
                                                          Office of
Manufacturing
cc:   Kevin Manz
      Eliot Robinson

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