CSLM Digital Asset Acquisition Corp III, Ltd PRE 14A, filed Oct 7, 2026
CSLM Digital Asset Acquisition Corp III, Ltd (KOYN)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 14A
Information required in proxy statement
Schedule 14A Information
PROXY STATEMENT PURSUANT TO SECTION 14(A) OF
THE SECURITIES EXCHANGE ACT OF 1934
| Filed by the Registrant | ☒ |
| Filed by a Party other than the Registrant | ☐ |
Check the appropriate box:
| ☒ | Preliminary Proxy Statement |
| ☐ | Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2)) |
| ☐ | Definitive Proxy Statement |
| ☐ | Definitive Additional Materials |
| ☐ | Soliciting Material under §240.14a-12 |
CSLM DIGITAL ASSET ACQUISITION CORP III, LTD
(Name of Registrant as Specified In Its Charter)
(Name of Person(s) Filing Proxy Statement, if other than the Registrant)
Payment of Filing Fee (Check the appropriate box):
| ☒ | No fee required. |
| ☐ | Fee paid previously with preliminary materials. |
| ☐ | Fee computed on table in exhibit required by Item 25(b) per Exchange Act Rules 14a6(i)(1) and 0-11 |
PRELIMINARY PROXY STATEMENT — DATED OCTOBER 7, 2026
LETTER TO SHAREHOLDERS OF CSLM DIGITAL ASSET ACQUISITION CORP III, LTD
2400 E. Commercial Boulevard, Suite 900, Ft. Lauderdale, FL 33308
Dear CSLM Digital Asset Acquisition Corp III, Ltd Shareholder:
You are cordially invited to attend the annual general meeting of CSLM Digital Asset Acquisition Corp III, Ltd, a Cayman Islands exempted company (the “Company,” “we,” “us” or “our”), which will be held on November 10, 2026, at 10:00 a.m., New York Time (the “Annual General Meeting”), at the offices of Loeb & Loeb LLP, our legal counsel, at 345 Park Avenue, New York, New York 10154. The Company will also be holding the Annual General Meeting via teleconference using the following dial-in information: [●]. The Annual General Meeting will also serve as the Company’s annual meeting of shareholders for purposes of the Nasdaq Stock Market listing rules.
The attached Notice of the Annual General Meeting and proxy statement describe the business the Company will conduct at the Annual General Meeting and provide information about the Company that you should consider when you vote your shares. As set forth in the attached proxy statement, the Annual General Meeting will be held for the purpose of considering and voting on the following proposals:
| ● | Proposal No. 1 — Name Change Proposal — To approve, as a special resolution, that the name of the Company be changed from “CSLM Digital Asset Acquisition Corp III, Ltd” to “First Digital Acquisition Corp Ltd.” (the “Name Change” and such proposal, the “Name Change Proposal”). |
| ● | Proposal No. 2 — Articles Amendment Proposal — To approve, as a special resolution, subject to the approval of the Name Change Proposal, that the Third Amended and Restated Memorandum and Articles of Association of the Company, a copy of which is attached to the accompanying proxy statement as Annex A (the “Third A&R M&A”), be adopted in substitution for, and to the exclusion of, the existing Second Amended and Restated Memorandum and Articles of Association of the Company to reflect the Name Change Proposal (the “Articles Amendment Proposal”). |
| ● | Proposal No. 3 — Adjournment Proposal — To approve, as an ordinary resolution, the adjournment of the Annual General Meeting to a later date or dates, if necessary or convenient to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or to permit further solicitation and vote of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or Articles Amendment Proposal or for any other reason determined by the Board of the Company (the “Adjournment Proposal”). |
Each of the Name Change Proposal, Articles Amendment Proposal, and the Adjournment Proposal is more fully described in the accompanying proxy statement. Please take the time to carefully read each of the proposals in the accompanying proxy statement before you vote.
THE BOARD OF DIRECTORS UNANIMOUSLY RECOMMENDS A VOTE “FOR” THE NAME CHANGE PROPOSAL, ARTICLES AMENDMENT PROPOSAL, AND, IF PRESENTED, “FOR” THE ADJOURNMENT PROPOSAL.
As previously disclosed, on December 2, 2025, the Company and First Digital Group Ltd. (“First Digital”) announced that they had entered into a non-binding letter of intent regarding a potential business combination. On October 6, 2026, the Company entered into, a definitive Business Combination Agreement (as it may be amended from time to time, the “Business Combination Agreement”) with First Digital, providing for the Company’s proposed initial business combination with First Digital (the “Proposed Business Combination”). For more information about the Proposed Business Combination, see the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on October 6, 2026 reporting entry into the Business Combination Agreement, and the Company’s other filings with the Securities and Exchange Commission.
You are not being asked to vote on the Proposed Business Combination at this time. You will retain the right to vote on the Proposed Business Combination (or any other initial business combination) when it is submitted to shareholders (provided that you are a shareholder on the record date for a meeting to consider such proposed initial business combination) and the right to redeem your Public Shares for a pro rata portion of the Trust Account in the event the Proposed Business Combination (or any other initial business combination) is approved and consummated or in the event the Company has not consummated the Proposed Business Combination or another initial business combination by the liquidation date of the Company.
The purpose of the Name Change Proposal is to enable the Company to change its name from “CSLM Digital Asset Acquisition Corp III, Ltd” to “First Digital Acquisition Corp Ltd.” The Company proposes to effect the Name Change to align the Company’s corporate identity with First Digital, the target of its proposed initial business combination, and with the Company’s go-forward business following the closing of the transaction. Other than the Name Change and the related amendment and restatement of the Company’s Memorandum and Articles of Association, there is no change to the Company’s business, its management or the rights of its securityholders. If the Name Change Proposal is approved, the Company will apply to The Nasdaq Stock Market LLC to change the ticker symbols for its Units, Class A ordinary shares and warrants from “KOYNU,” “KOYN” and “KOYNW,” respectively, to “FDGXU,” “FDGX” and “FDGXW.”
The purpose of the Articles Amendment Proposal is to reflect the Name Change in the Company’s governing documents by amending and restating the existing Second Amended and Restated Memorandum and Articles of Association in the form of the Third A&R M&A attached in Annex A hereto and filing the same with the Cayman Islands Registrar of Companies.
The purpose of the Adjournment Proposal is to allow the chairman to adjourn the Annual General Meeting, if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or in order to provide additional time to solicit votes in favor of the Name Change Proposal or Articles Amendment Proposal or for any other reason approved by the Board of the Company.
The approval of each of the Name Change Proposal and Articles Amendment Proposal requires a special resolution under the Companies Act (As Revised) of the Cayman Islands (the “Companies Act”), being a resolution passed by a majority of at least two thirds (2/3) of the votes cast by the holders of the issued and outstanding Class A ordinary shares, par value $0.0001 per share (“Class A Shares”) and Class B ordinary shares, par value $0.0001 per share (“Class B Shares”, and together with the Class A Shares, the “Ordinary Shares”), voting together as a single class, as, being entitled to do so, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Additionally, approval of the Articles Amendment Proposal is conditioned upon the approval of the Name Change Proposal. If the Name Change Proposal is not approved, the Third A&R M&A will not take effect.
Approval of the Adjournment Proposal requires an ordinary resolution under the Companies Act, being a resolution passed by a simple majority of the votes cast by the holders of the issued and outstanding Ordinary Shares, voting together as a single class, as, being entitled to do so, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof.
The Board has fixed October __, 2026 (the “Record Date”) as the date for determining the members entitled to receive notice of and vote at the Annual General Meeting and any adjournment thereof. Only holders of record of Ordinary Shares on the Record Date are entitled to have their votes counted at the Annual General Meeting or any adjournment thereof.
After careful consideration of all relevant factors, the Board has determined that each of the Name Change Proposal, Articles Amendment Proposal, and the Adjournment Proposal are in the best interests of the Company and its shareholders, and unanimously recommends that you vote or give instruction to vote “FOR” such proposals.
Under the existing Second Amended and Restated Memorandum and Articles of Association of the Company, no other business may be transacted at the Annual General Meeting.
Enclosed is the proxy statement containing detailed information about the Annual General Meeting, the Name Change Proposal, the Articles Amendment Proposal, and the Adjournment Proposal. Whether or not you plan to attend the Annual General Meeting, the Company urges you to read this material carefully and give instructions to vote your shares.
By Order of the Board of Directors of CSLM Digital Asset Acquisition Corp III, Ltd
| Vikas Mittal | |
| Chairman, Co-Chief Executive Officer and Chief Financial Officer | |
| [●], 2026 |
Your vote is very important. Whether or not you plan to attend the Annual General Meeting, please provide your instructions to vote your shares as soon as possible, and no later than 11:59 p.m. on November 6, 2026 (two business days before the scheduled date of the Annual General Meeting), by following the instructions in the accompanying proxy statement to make sure that your shares are represented at the Annual General Meeting. The approval of each of the Name Change Proposal and the Articles Amendment Proposal requires a special resolution under the Companies Act, being a resolution passed by a majority of at least two thirds (2/3) of the votes cast by the holders of the issued and outstanding Ordinary Shares, as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Additionally, approval of the Articles Amendment Proposal is conditioned upon the approval of the Name Change Proposal. The approval of the Adjournment Proposal requires an ordinary resolution under the Companies Act, being a resolution passed by a simple majority of the votes cast by the holders of the Ordinary Shares, as, being entitled to do so, vote in person (including virtually) or by proxy at the Annual General Meeting. Accordingly, if you fail to vote by proxy or to vote yourself at the Annual General Meeting, your shares will not be counted in connection with the determination of whether a valid quorum is established, and, if a valid quorum is otherwise established, such failure to vote will have no effect on the outcome of any vote on the Name Change Proposal, the Articles Amendment Proposal, or Adjournment Proposal. If you hold your shares in “street name” through a bank, broker or other nominee, you will need to follow the instructions provided to you by your bank, broker or other nominee to ensure that your shares are represented and voted at the Annual General Meeting.
Important Notice Regarding the Availability of Proxy Materials for the Annual General Meeting to be held on November 10, 2026: The notice of meeting and the accompanying proxy statement are available at www.sec.gov. Because no directors are being elected at the Annual General Meeting, the Company is not required to furnish an annual report to security holders under Rule 14a-3 of the Securities Exchange Act of 1934 in connection with this proxy solicitation.
PRELIMINARY PROXY STATEMENT — SUBJECT TO COMPLETION, DATED OCTOBER 7, 2026
NOTICE
OF ANNUAL GENERAL MEETING OF SHAREHOLDERS OF
CSLM DIGITAL ASSET ACQUISITION CORP III,
LTDTO BE HELD ON NOVEMBER 10,
2026
To the Shareholders of CSLM Digital Asset Acquisition Corp III, Ltd.:
NOTICE IS HEREBY GIVEN that an annual general meeting (the “Annual General Meeting”) of the shareholders of CSLM Digital Asset Acquisition Corp III, Ltd, a Cayman Islands exempted company (the “Company,” “we,” “us” or “our”), will be held on November 10, 2026, at 10:00 a.m., New York Time, at the offices of Loeb & Loeb LLP, our legal counsel, at 345 Park Avenue, New York, New York 10154and virtually via live webcast at [●]. The Annual General Meeting will also serve as the Company’s annual meeting of shareholders for purposes of the Nasdaq Stock Market listing rules. No directors are being elected at this meeting. Prior to the closing of the initial business combination, the Company’s directors are elected by the holders of Class B ordinary shares.
You are cordially invited to attend the Annual General Meeting for the purpose of considering and voting on the following proposals, more fully described below in the accompanying proxy statement, which is dated October 7, 2026 and a definitive proxy statement is expected to be first mailed to shareholders on or about October 21, 2026, following the Commission’s review of this preliminary filing:
| ● | Proposal No. 1 — Name Change Proposal — To approve, as a special resolution, that the name of the Company be changed from “CSLM Digital Asset Acquisition Corp III, Ltd” to “First Digital Acquisition Corp Ltd.” (the “Name Change” and such proposal, the “Name Change Proposal”). |
The text of the special resolution is as follows:
“RESOLVED, as a special resolution, that the name of the Company be changed from CSLM Digital Asset Acquisition Corp III, Ltd to First Digital Acquisition Corp Ltd.;” and
| ● | Proposal No. 2 — Articles Amendment Proposal — To approve, as a special resolution, subject to the approval of the Name Change Proposal, that the Third Amended and Restated Memorandum and Articles of Association of the Company, a copy of which is attached to the accompanying proxy statement as Annex A (the “Third A&R M&A”), be adopted in substitution for, and to the exclusion of, the existing Second Amended and Restated Memorandum and Articles of Association of the Company to reflect the Name Change Proposal (the “Articles Amendment Proposal”). |
The text of the special resolution is as follows:
“RESOLVED, as a special resolution, subject to the approval of the Name Change Proposal, that the Third Amended and Restated Memorandum and Articles of Association in the form set forth in Annex A hereto be adopted in substitution for, and to the exclusion of, the Company’s existing Second Amended and Restated Memorandum and Articles of Association to reflect the Name Change Proposal;” and
| ● | Proposal No. 3 — Adjournment Proposal — To approve, as an ordinary resolution, the adjournment of the Annual General Meeting to a later date or dates, if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or to permit further solicitation and vote of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or Articles Amendment Proposal or for any other reason approved by the Board of the Company. This proposal is referred to as the “Adjournment Proposal”. |
The text of the ordinary resolution is as follows:
“RESOLVED, as an ordinary resolution that, the adjournment of the Annual General Meeting to a later date or dates, (A) if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders, (B) to permit further solicitation of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or Articles Amendment Proposal. Or (C) for any reason approved by the Board of the Company, be confirmed, adopted, approved and ratified in all respects.”
The purpose of the Name Change Proposal is to enable the Company to change its name from “CSLM Digital Asset Acquisition Corp III, Ltd” to “First Digital Acquisition Corp Ltd.” The Company proposes to effect the Name Change to align the Company’s corporate identity with First Digital, the target of its proposed initial business combination, and with the Company’s go-forward business.
The purpose of the Articles Amendment Proposal is to reflect the Name Change in the Company’s governing documents by amending and restating the existing Second Amended and Restated Memorandum and Articles of Association in the form of the Third A&R M&A attached in Annex A hereto and filing the same with the Cayman Islands Registrar of Companies.
The purpose of the Adjournment Proposal is to allow the chairman to adjourn the Annual General Meeting, if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or to provide additional time to solicit votes in favor of the Name Change Proposal or Articles Amendment Proposal or for any reason approved by the Board of the Company.
The approval of each of the Name Change Proposal and the Articles Amendment Proposal requires a special resolution under the Companies Act (As Revised) of the Cayman Islands (the “Companies Act”), being a resolution passed by a majority of at least two thirds (2/3) of the votes cast by the holders of the issued and outstanding Class A ordinary shares, par value $0.0001 per share (“Class A Shares”) and Class B ordinary shares, par value $0.0001 per share (“Class B Shares”, and together with the Class A Shares, the “Ordinary Shares”), voting together as a single class, as, being entitled to do so, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Additionally, approval of the Articles Amendment Proposal is conditioned upon the approval of the Name Change Proposal. If the Name Change Proposal is not approved, the Third A&R M&A will not take effect.
Approval of the Adjournment Proposal requires an ordinary resolution under the Companies Act, being a resolution passed by a simple majority of the votes cast by the holders of the issued and outstanding Ordinary Shares, voting together as a single class, as, being entitled to do so, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof.
Only holders of record of Ordinary Shares on October 5, 2026 (the “Record Date”) are entitled to vote or have their votes cast at the Annual General Meeting. On the Record Date, there were (i) 23,891,250 issued and outstanding Class A Shares, of which 23,000,000 were public shares, and (ii) 7,666,667 Class B Shares issued and outstanding.
This proxy statement contains important information about the Annual General Meeting and the Proposals to be considered. Whether or not you plan to attend the Annual General Meeting, the Company urges you to read this material carefully and give instructions to vote your shares.
This proxy statement is dated October 7, 2026 and a definitive proxy statement is expected to be first mailed to shareholders on or about October 21, 2026, following the Commission’s review of this preliminary filing.
By Order of the Board of Directors of CSLM Digital Asset Acquisition Corp III, Ltd
| Vikas Mittal | |
| Chairman, Co-Chief Executive Officer and Chief Financial Officer | |
| [●], 2026 |
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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
The statements contained in this proxy statement that are not purely historical are “forward-looking statements.” Our forward-looking statements include, but are not limited to, statements regarding our or our management team’s expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. When used in this proxy statement, words such as “anticipates” “approximately,” “believes,” “continues,” “could,” “estimates,” “expects,” “intends,” “may,” “outlook,” “plans,” “potential,” “predicts,” “seeks,” “should,” “will,” or the negative version of these words or other comparable words or phrases may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking.
The forward-looking statements contained in this proxy statement reflect the Company’s current views about future events and are subject to numerous known and unknown risks, uncertainties, assumptions and changes in circumstances that may cause its actual results to differ significantly from those expressed in any forward-looking statement. The Company does not guarantee that the transactions and events described will happen as described (or that they will happen at all). While forward-looking statements reflect the Company’s good faith beliefs as of the date of this proxy statement, they are not guarantees of future performance. The Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes after the date of this proxy statement, except as required by applicable law, including securities laws. Actual results and shareholders’ value will be affected by a variety of risks and factors, including, without limitation, international, national and local economic conditions, merger, acquisition and business combination risks, financing risks, geo-political risks, acts of terror or war, and those risk factors described in the section of this proxy statement entitled “Risk Factors” below, under “Item 1A. Risk Factors” of the Company’s Annual Report on Form 10-K filed with the SEC on March 19, 2026, in subsequently filed Quarterly Reports on Form 10-Q, in the prospectus filed with the SEC on August 27, 2025 (File No. 333-288156) related to the Company’s initial public offering (the “IPO Prospectus”), in this proxy statement, and in other reports the Company files with the SEC. Many of the risks and factors that will determine these results and shareholders’ value are beyond the Company’s ability to control or predict. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. You should not place undue reliance on any forward-looking statements, which are based only on information currently available to the Company (or to third parties making the forward-looking statements).
IMPORTANT ADDITIONAL INFORMATION AND WHERE TO FIND IT
In connection with the Proposed Business Combination, the Company intends to file with the SEC a registration statement that will include a proxy statement/prospectus. This proxy statement relates only to the Name Change Proposal, the Articles Amendment Proposal and the Adjournment Proposal and does not relate to the Proposed Business Combination. Shareholders and other interested persons are urged to read the registration statement, the proxy statement/prospectus and all other relevant documents filed or to be filed with the SEC in connection with the Proposed Business Combination, when they become available, because they will contain important information. Free copies will be available at www.sec.gov or from the Company at https://koynspac.com/.
PARTICIPANTS IN THE SOLICITATION
The Company and its directors and executive officers may be deemed participants in the solicitation of proxies in connection with the Proposed Business Combination. Information regarding their interests will be contained in the registration statement and proxy statement/prospectus when available.
NO OFFER OR SOLICITATION
This proxy statement is not a solicitation with respect to the Proposed Business Combination and does not constitute an offer to sell, or the solicitation of an offer to buy, any securities, or a solicitation of any vote or approval with respect to the Proposed Business Combination, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
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QUESTIONS AND ANSWERS ABOUT THE ANNUAL GENERAL MEETING
| Q. | Why am I receiving this proxy statement? |
| A. | The definitive proxy statement and the enclosed proxy card are expected to be sent to you on or about October 21, 2026, following the Commission’s review of this preliminary filing, in connection with the solicitation of proxies by our board for use at the Annual General Meeting to be held on November 10, 2026 or at any adjournments thereof. This proxy statement summarizes the information that you need to make an informed decision on the proposals to be considered at the Annual General Meeting. |
The Company is a special purpose acquisition company formed as an exempted company under the laws of the Cayman Islands for the purpose of effecting a merger, amalgamation, share exchange, asset acquisition, share purchase, reorganization or similar business combination involving the Company, with one or more businesses or entities. On August 28, 2025, the Company consummated the initial public offering (the “IPO”) of 23,000,000 units (“Units”), including 3,000,000 Units issued upon the full exercise by the underwriters of their over-allotment option, at $10.00 per Unit, generating gross proceeds of $230,000,000. Simultaneously with the closing of the IPO, the Company consummated the sale of an aggregate of 891,250 private placement units (each, a “Private Placement Unit”) at a price of $10.00 per Private Placement Unit in a private placement to the Sponsor and Cohen & Company Capital Markets, a division of Cohen & Company Securities, LLC (“CCM”), the representative of the underwriters of the IPO, generating gross proceeds of $8,912,500. Each Unit and each Private Placement Unit consists of one Class A ordinary share and one-half of one redeemable warrant, with each whole warrant entitling the holder to purchase one Class A ordinary share at $11.50 per share (subject to adjustment). Following the closing of the IPO, a total of $230,000,000 from the net proceeds of the sale of the Units in the IPO and the concurrent sale of the Private Placement Units was deposited in the Trust Account, which amount included $9,200,000 in deferred underwriting commissions.
The Company proposes to effect the Name Change to align the Company’s corporate identity with First Digital, the target of its proposed initial business combination, and with the Company’s go-forward business.
| Q. | When and where is the Annual General Meeting? |
| A. | The Annual General Meeting will be held on November 10, 2026, at 10:00 a.m., New York Time, at the offices of Loeb & Loeb LLP, our legal counsel, at 345 Park Avenue, New York, New York 10154 and virtually via teleconference using the following dial-in information:, or at such other time, on such other date and at such other place to which the meeting may be postponed or adjourned. |
| Q. | What are the specific proposals on which I am being asked to vote at the Annual General Meeting? |
| A. | The Company’s shareholders are being asked to consider and vote on the following proposals: |
| ● | Proposal No. 1 — Name Change Proposal — To approve, as a special resolution, that the name of the Company be changed from “CSLM Digital Asset Acquisition Corp III, Ltd” to “First Digital Acquisition Corp Ltd.”; |
| ● | Proposal No. 2 — Articles Amendment Proposal — To approve, as a special resolution, subject to the approval of the Name Change Proposal, that the Third A&R M&A, a copy of which is attached to the accompanying proxy statement as Annex A, be adopted in substitution for, and to the exclusion of, the existing Second Amended and Restated Memorandum and Articles of Association of the Company to reflect the Name Change Proposal; and |
| ● | Proposal No. 3 — Adjournment Proposal — To approve, as an ordinary resolution, the adjournment of the Annual General Meeting to a later date or dates, if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or to permit further solicitation and vote of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or Articles Amendment Proposal or for any other reason approved by the Board of the Company. |
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| Q. | Are the proposals conditioned on one another? |
| A. | The Articles Amendment Proposal is conditioned on the approval of the Name Change Proposal. The Name Change Proposal and Adjournment Proposal are not conditioned on the approval of any other proposal. |
| Q. | Why is the Company proposing the Name Change Proposal, and how does the Board recommend that I vote on the Name Change Proposal? |
| A. | Under the Name Change Proposal, the Company is asking its shareholders to approve the change of the Company’s name to align the Company’s corporate identity with First Digital, the target of its proposed initial business combination, and with the Company’s go-forward business. |
The Board unanimously recommends that you vote “FOR” the Name Change Proposal.
| Q. | Why is the Company proposing the Articles Amendment Proposal, and how does the Board recommend that I vote on the Articles Amendment Proposal? |
| A. | Under the Articles Amendment Proposal, the Company is asking its shareholders to approve the amendment and restatement of the existing Second Amended and Restated Memorandum and Articles of Association in the form of the Third A&R M&A attached in Annex A hereto to reflect the Name Change. |
The Board unanimously recommends that you vote “FOR” the Articles Amendment Proposal.
| Q. | Why is the Company proposing the Adjournment Proposal, and why does the Board recommend that I vote “FOR” the Adjournment Proposal? |
| A. | If the Adjournment Proposal is not approved by the Company’s shareholders, the chairman may not be able to adjourn the Annual General Meeting to a later date or dates in the event that there are insufficient votes for, or otherwise in connection with, the approval of the Name Change Proposal or the Articles Amendment Proposal or the Board otherwise approves an adjournment for any other reason. |
If presented, the Board unanimously recommends that you vote “FOR” the Adjournment Proposal.
| Q. | What vote is required to approve the proposals presented at the Annual General Meeting? |
| A. | The approval of each of the Name Change Proposal and the Articles Amendment Proposal requires a special resolution under the Companies Act, being a resolution passed by a majority of at least two thirds (2/3) of the votes cast by the holders of the issued and outstanding Ordinary Shares as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Additionally, approval of the Articles Amendment Proposal is conditioned upon the approval of the Name Change Proposal. Abstentions, while considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Name Change Proposal or the Articles Amendment Proposal. Broker non-votes will not be considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Name Change Proposal or the Articles Amendment Proposal assuming a quorum is present. |
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The Adjournment Proposal requires an ordinary resolution under the Companies Act, being a resolution passed by a simple majority of the votes cast by holders of the issued and outstanding Ordinary Shares as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Abstentions, while considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Adjournment Proposal. Broker non-votes will not be considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Adjournment Proposal assuming a quorum is present.
The holders of at least one third (⅓) of the issued and outstanding Ordinary Shares present in person or by proxy at the Annual General Meeting shall constitute a quorum for the vote on the Name Change Proposal, the Articles Amendment Proposal, and the Adjournment Proposal.
| Q. | How will Sponsor vote? |
| A. | The Sponsor has advised the Company that it intends to vote all ordinary shares over which it has voting control in favor of the Name Change Proposal, the Articles Amendment Proposal and, if necessary, the Adjournment Proposal. |
On the Record Date, the Sponsor beneficially owned and was entitled to vote 575,000 Class A ordinary shares and 7,566,667 Class B ordinary shares, representing approximately 25.8% of the Company’s issued and outstanding ordinary shares. The Company’s directors and executive officers, together with the Sponsor, beneficially owned approximately 26.1% of the issued and outstanding ordinary shares as a group.
| Q. | What if I do not want to vote “FOR” the Name Change Proposal, the Articles Amendment Proposal, or the Adjournment Proposal? |
| A. | If you do not want the Name Change Proposal, the Articles Amendment Proposal, or the Adjournment Proposal to be approved, you must vote “AGAINST” such proposals. |
If you fail to vote by proxy or to vote yourself at the Annual General Meeting, or if you do not provide instructions to vote to your broker, bank or nominee your shares will not be counted in connection with the determination of whether a valid quorum is established and, if a valid quorum is otherwise established, such failure to vote will have no effect on the outcome of any vote on the Name Change Proposal, the Articles Amendment Proposal, or the Adjournment Proposal.
If you vote to “ABSTAIN” such abstentions will be counted in connection with the determination of whether a valid quorum is established but will have no effect on the outcome of the Name Change Proposal, the Articles Amendment Proposal, or Adjournment Proposal.
If the Name Change Proposal and the Articles Amendment Proposal are approved, the Adjournment Proposal will not be presented for a vote.
| Q. | What happens if the Name Change Proposal is not approved? |
| A. | If there are insufficient votes to approve the Name Change Proposal, the proposed Name Change and Third A&R M&A will not take effect. |
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| Q. | If the Name Change Proposal and Articles Amendment Proposal are approved, what happens next? |
| A. | If the Name Change Proposal and Articles Amendment Proposal are approved, the Name Change and Third A&R M&A will take effect and the Company will file the Third A&R M&A in substantially the forms that appear in Annex A hereto with the Cayman Islands Registrar of Companies and will continue to attempt to consummate the Proposed Business Combination, or if the Business Combination Agreement is terminated in accordance with its terms, another initial business combination, until the liquidation date of the Company. |
| Q. | Do I have redemption rights in connection with a vote to approve the Name Change Proposal and Articles Amendment Proposal? |
| A. | No. The Name Change Proposal and Articles Amendment Proposal do not trigger the right of public shareholders to redeem their public shares. |
| Q. | Am I still able to exercise my redemption rights in connection with a vote to approve a proposed initial business combination? |
| A. | Yes. Assuming you are a holder of public shares on the record date established in connection with the shareholder approval of a proposed initial business combination (including the Proposed Business Combination), you will be able to vote on such proposed initial business combination. You will retain your right to redeem your public shares in connection with the consummation of such initial business combination, subject to any limitations set forth in the Third A&R M&A (including the requirement to submit any request for redemption in connection with a proposed initial business combination on or before the date that is two business days before the initial scheduled date of the annual general meeting of the Company’s shareholders to vote on the proposed business combination). |
| Q. | If my shares are held in “street name,” will my broker, bank or nominee automatically vote my shares for me? |
| A. | No. Under the rules of various national and regional securities exchanges, your broker, bank, or nominee cannot give instruction to vote your shares with respect to non-discretionary matters unless you provide instructions on how to vote in accordance with the information and procedures provided to you by your broker, bank, or nominee. The Company believes that all of the proposals presented to the shareholders at this Annual General Meeting will be considered non-discretionary and, therefore, your broker, bank, or nominee cannot give instruction to vote your shares without your instruction on any of the proposals presented at the Annual General Meeting. If you do not provide instructions with your proxy card, your broker, bank, or other nominee may deliver a proxy card expressly indicating that it is NOT voting your shares. This indication that a broker, bank, or nominee is not voting your shares is referred to as a “broker non-vote.” Broker non-votes will not be counted for the purposes of determining the existence of a quorum. Your bank, broker or other nominee can give instruction to vote your shares only if you provide instructions on how to vote. You should instruct your broker to give instruction to vote your shares in accordance with directions you provide. Broker non-votes will have no effect on the outcome of any vote on the Name Change Proposal, the Articles Amendment Proposal, or the Adjournment Proposal, assuming a valid quorum is otherwise established. |
| Q. | What constitutes a quorum at the Annual General Meeting? |
| A. | A quorum is the minimum number of shares required to be present at the Annual General Meeting for the Annual General Meeting to be properly held under our existing Second Amended and Restated Memorandum and Articles of Association. The holders of at least one third (1/3) of the issued and outstanding Ordinary Shares present in person or by proxy at the Annual General Meeting constitutes a quorum. Proxies that are marked “abstain” will be treated as shares present for purposes of determining the presence of a quorum on all matters. If a shareholder does not give the broker voting instructions, under applicable self-regulatory organization rules, its broker may not vote its shares on “non-discretionary” matters. We believe that each of the proposals is a “non-discretionary” matter. Proxies that are returned to us but marked by brokers as “not voted” (so called “broker non-votes”) will not be counted for purposes of determining the existence of a quorum. |
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| Q. | How do I vote? |
| A. | If you were a holder of record of Ordinary Shares on October __, 2026, the Record Date for the Annual General Meeting, you may vote with respect to the proposals in person or via live webcast at the Annual General Meeting, or by completing, signing, dating and returning the enclosed proxy card in the postage-paid envelope provided no later than 11:59 p.m. on November 6, 2026 (two business days before the scheduled date of the Annual General Meeting). |
Voting by Mail. By signing the proxy card and returning it in the enclosed prepaid and addressed envelope, you are authorizing the individuals named on the proxy card to give instruction to vote your shares at the Annual General Meeting in the manner you indicate. You are encouraged to sign and return the proxy card even if you plan to attend the Annual General Meeting so that your shares will be voted if you are unable to attend the Annual General Meeting. If you receive more than one proxy card, it is an indication that your shares are held in multiple accounts. Please sign and return all proxy cards to ensure that all of your shares are voted. Votes submitted by mail must be received by 11:59 p.m. on November 6, 2026 (two business days before the scheduled date of the Annual General Meeting).
Voting at the Annual General Meeting. If you are a holder of record of Ordinary Shares on the Record Date, you may attend the Annual General Meeting and vote with respect to the proposals in person (including virtually). If you plan to vote at the Annual General Meeting you will need to have a legal proxy from your bank or broker.
| Q. | May I change my vote after I have mailed my signed proxy card? |
| A. | Yes. You may change your vote by: |
| ● | submitting another properly completed proxy by mail, telephone, or online (or voting instruction card if you hold your shares in street name) with a later date (provided it is received no later than 11:59 p.m. on November 6, 2026 (two business days before the scheduled date of the Annual General Meeting)); or |
| ● | attending and voting (including virtually) during the Annual General Meeting. |
You also may revoke your proxy by sending a notice of revocation to us, which must be received by us on or before the Annual General Meeting. Simply attending the Annual General Meeting will not cause your previously granted proxy to be revoked unless you specifically so request.
| Q. | Does the Board recommend voting “FOR” the approval of the Name Change Proposal, the Articles Amendment Proposal, and the Adjournment Proposal? |
| A. | Yes. After careful consideration of the terms and conditions of the Name Change Proposal, the Articles Amendment Proposal, and the Adjournment Proposal, the Board has determined that the each of the foregoing proposals is in the best interests of the Company and its shareholders. The Board unanimously recommends that the Company’s shareholders vote “FOR” the Name Change Proposal, the Articles Amendment Proposal, and, if necessary, the Adjournment Proposal. |
| Q. | Do I have appraisal rights or dissenters’ rights if I object to the proposals presented in this proxy statement? |
| A. | Neither Cayman Islands law nor our existing Second Amended and Restated Memorandum and Articles of Association provides for dissenters’ rights for dissenting shareholders in connection with the Name Change Proposal to be voted upon at the Annual General Meeting. As a matter of Cayman Islands law, dissenters’ rights only apply in a statutory merger where the company is a constituent company, which is not the case with any of the proposals. |
Warrant holders do not have appraisal rights in connection with the proposal to be voted upon at the Annual General Meeting.
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| Q. | What do I need to do now? |
| A. | You should read carefully and consider the information contained in this proxy statement, including the Annexes, and to consider how the Name Change Proposal, the Articles Amendment Proposal, and the Adjournment Proposal will affect you as a shareholder. You should then vote as soon as possible in accordance with the instructions provided in this proxy statement and on the enclosed proxy card or, if you hold your shares through a brokerage firm, bank or other nominee, on the voting instruction form provided by the broker, bank or nominee. |
| Q. | What should I do if I receive more than one set of voting materials for the Annual General Meeting? |
| A. | You may receive more than one set of voting materials for the Annual General Meeting, including multiple copies of this proxy statement and multiple proxy cards or voting instruction cards. For example, if you hold your shares in more than one brokerage account, you will receive a separate voting instruction card for each brokerage account in which you hold shares. If you are a holder of record and your shares are registered in more than one name, you will receive more than one proxy card. Please complete, sign, date and return each proxy card and voting instruction card that you receive in order to cast your vote with respect to all of your shares no later than 11:59 p.m. on November 6, 2026 (two business days before the scheduled date of the Annual General Meeting). |
Separate voting materials will be mailed to the Company’s shareholders for a shareholder meeting with respect to the Proposed Business Combination, to be held on a later date.
| Q. | Who will solicit and pay the cost of soliciting proxies for the Annual General Meeting? |
| A. | The Company has not engaged a proxy solicitor for the Annual General Meeting. While the Company reserves the right to do so if circumstances change, it currently does not anticipate that it will be necessary. The Company intends to conduct its own solicitation of proxies and will bear all associated costs. The Company believes that its shareholders will participate and vote based on the information the Company has received from its shareholders and the information provided in this proxy statement. |
| Q. | Who can help answer my questions? |
| A. | If you have questions about the proposals or if you need additional copies of this proxy statement or the enclosed proxy card you should contact: |
CSLM Digital Asset Acquisition Corp III, Ltd,
2400 E. Commercial Boulevard,
Suite 900Ft. Lauderdale,
FL 33308
Attention: Vikas Mittal,
Chairman,
Co-Chief Executive Officer and
Chief Financial Officer
or email us at info@koynspac.com.
To obtain timely delivery, the Company’s shareholders must request the materials no later than November 3, 2026, or five (5) business days prior to the date of the Annual General Meeting. You may also obtain additional information about the Company from documents filed with the SEC by following the instructions in the section entitled “Where You Can Find More Information.”
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ANNUAL GENERAL MEETING OF SHAREHOLDERS
This proxy statement is being provided to the Company’s shareholders as part of a solicitation of proxies by the Board for use at the Annual General Meeting of the Company’s shareholders to be held on November 10, 2026, and at any adjournment thereof. This proxy statement contains important information regarding the Annual General Meeting, the proposals on which you are being asked to vote and information you may find useful in determining how to vote and voting procedures.
The definitive proxy statement is expected to be first mailed on or about October 21, 2026, following the Commission’s review of this preliminary filing, to all shareholders of record of the Company as of October __, 2026, the Record Date for the Annual General Meeting. Shareholders of record who owned Ordinary Shares on the Record Date are entitled to receive notice of, attend and vote at the Annual General Meeting.
Date, Time and Place of Annual General Meeting
The Annual General Meeting will be held on November 10, 2026, at 10:00 a.m., New York Time, at the offices of Loeb & Loeb LLP, our legal counsel, at 345 Park Avenue, New York, New York 10154 and via teleconference using the following dial-in information: [●]. The Annual General Meeting may be held at such other date, time and place to which such meeting may be adjourned, to consider and vote on the proposals.
Proposals at the Annual General Meeting
At the Annual General Meeting, the Company’s shareholders will consider and vote on the following proposals:
| ● | Proposal No. 1 — Name Change Proposal — To approve, as a special resolution, that the name of the Company be changed from “CSLM Digital Asset Acquisition Corp III, Ltd” to “First Digital Acquisition Corp Ltd.”; and |
| ● | Proposal No. 2 — Articles Amendment Proposal — To approve, as a special resolution, subject to the approval of the Name Change Proposal, that the Third A&R M&A, a copy of which is attached to the accompanying proxy statement as Annex A, be adopted in substitution for, and to the exclusion of, the existing Second Amended and Restated Memorandum and Articles of Association of the Company to reflect the Name Change Proposal; and |
| ● | Proposal No. 3 — Adjournment Proposal — To approve, as an ordinary resolution, the adjournment of the Annual General Meeting to a later date or dates, if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or to permit further solicitation and vote of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or Articles Amendment Proposal or for any other reason approved by the Board of the Company. |
Recommendation of the Board
THE BOARD UNANIMOUSLY RECOMMENDS
THAT YOU VOTE “FOR” EACH OF THESE PROPOSALS
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Voting Power; Record Date
As a shareholder of the Company, you have a right to vote on certain matters affecting the Company. The proposals that will be presented at the Annual General Meeting and upon which you are being asked to vote are summarized above and fully set forth in this proxy statement. You will be entitled to vote or direct votes to be cast at the Annual General Meeting if you own Ordinary Shares on October __, 2026, which is the Record Date for the Annual General Meeting. You are entitled to one (1) vote for each Ordinary Share that you own on the Record Date. If your shares are held in “street name” or are in a margin or similar account, you should contact your broker, bank or other nominee to ensure that votes related to the shares you beneficially own are properly counted.
On the Record Date, there were (i) 23,891,250 issued and outstanding Class A Shares, of which 23,000,000 were public shares, and (ii) 7,666,667 Class B Shares issued and outstanding.
Quorum and Required Vote for Proposals for the Annual General Meeting
The approval of each of the Name Change Proposal and the Articles Amendment Proposal requires a special resolution under the Companies Act, being a resolution passed by a majority of at least two thirds (2/3) of the votes cast by the holders of the issued and outstanding Ordinary Shares as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Additionally, approval of the Articles Amendment Proposal is conditioned upon the approval of the Name Change Proposal. Abstentions, while considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Name Change Proposal or the Articles Amendment Proposal. Broker non-votes will not be considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Name Change Proposal or the Articles Amendment Proposal assuming a quorum is present.
The Adjournment Proposal requires an ordinary resolution under the Companies Act, being a resolution passed by a majority of the votes cast by holders of the issued and outstanding Ordinary Shares as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Abstentions, while considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Adjournment Proposal. Broker non-votes will not be considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Adjournment Proposal assuming a quorum is present.
The holders of at least one third (1/3) of the issued and outstanding Ordinary Shares present in person or by proxy entitled to vote as of the Record Date at the Annual General Meeting shall constitute a quorum for the vote on the Name Change Proposal, the Articles Amendment Proposal, and the Adjournment Proposal.
Voting Your Shares — Shareholders of Record
If you are a shareholder of record, you may vote by mail or in person (including virtually). Each Ordinary Share that you own in your name entitles you to one (1) vote on each of the proposals to be presented at the Annual General Meeting. Your one (1) or more proxy cards show the number of Ordinary Shares that you own.
Voting by Mail. You can give instruction to vote your shares by completing, signing, dating and returning the enclosed proxy card in the postage-paid envelope provided. By signing the proxy card and returning it in the enclosed prepaid and addressed envelope, you are authorizing the individuals named on the proxy card to vote your shares at the Annual General Meeting in the manner you indicate. You are encouraged to sign and return the proxy card even if you plan to attend the Annual General Meeting so that your shares will be voted if you are unable to attend the Annual General Meeting. If you receive more than one proxy card, it is an indication that your shares are held in multiple accounts. Please sign and return all proxy cards to ensure that all of your shares are voted. If you hold your shares in “street name” through a bank, broker or other nominee, you will need to follow the instructions provided to you by your bank, broker or other nominee to ensure that your shares are represented and voted at the Annual General Meeting. If you sign and return the proxy card but do not give instructions on how to vote your shares, your Ordinary Shares will be voted as recommended by the Board. The Board unanimously recommends voting “FOR” the Name Change Proposal, “FOR” the Articles Amendment Proposal, and “FOR” the Adjournment Proposal. Votes submitted by mail must be received by 11:59 p.m. on November 6, 2026 (two business days before the scheduled date of the Annual General Meeting).
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Voting at the Annual General Meeting: If you are a holder of record of Ordinary Shares on the Record Date, you may attend the Annual General Meeting and vote with respect to the proposals in person (including virtually). If you plan to vote at the Annual General Meeting you will need to have a legal proxy from your bank or broker.
Voting Your Shares — Beneficial Owners
If your shares are registered in the name of your broker, bank or other agent, you are the “beneficial owner” of those shares and those shares are considered as held in “street name.” If you are a beneficial owner of shares registered in the name of your broker, bank or other agent, you should have received a proxy card and voting instructions with these proxy materials from that organization rather than directly from the Company. Simply complete and mail the proxy card to ensure that your vote is counted. To vote yourself at the Annual General Meeting, you must first obtain a valid legal proxy from your broker, bank or other agent and then register in advance to attend the Annual General Meeting. Follow the instructions from your broker or bank included with these proxy materials, or contact your broker or bank to request a legal proxy form.
You will receive a confirmation of your registration by email after the Company receives your registration materials.
Attending the Annual General Meeting
The Annual General Meeting will be held on November 10, 2026, at 10:00 a.m., New York Time, at the offices of Loeb & Loeb LLP, our legal counsel, at 345 Park Avenue, New York, New York 10154 and via teleconference using the following dial-in information: [●]. The Annual General Meeting may be held at such other date, time and place to which such meeting may be adjourned, to consider and vote on the proposals.
Revoking Your Proxy
If you give a proxy, you may revoke it at any time before the Annual General Meeting or at the Annual General Meeting by doing any one of the following:
| ● | you may submit another properly completed proxy by mail, telephone, or online (or voting instruction card if you hold your shares in street name) with a later date (provided it is received no later than 11:59 p.m. on November 6, 2026 (two business days before the scheduled date of the Annual General Meeting)); |
| ● | you may notify us in writing to CSLM Digital Asset Acquisition Corp III, Ltd, 2400 E. Commercial Boulevard, Suite 900, Ft. Lauderdale, FL 33308before the Annual General Meeting that you have revoked your proxy; or |
| ● | you may attend the Annual General Meeting in person or via teleconference, revoke your proxy, and vote yourself, as indicated above. Simply attending the Annual General Meeting will not cause your previously granted proxy to be revoked unless you specifically so request. |
No Additional Matters
The Annual General Meeting has been called only to consider and vote on the approval of the Name Change Proposal, the Articles Amendment Proposal, and the Adjournment Proposal. Under the existing Second Amended and Restated Memorandum and Articles of Association of the Company, other than procedural matters incident to the conduct of the Annual General Meeting, no other matters may be considered at the Annual General Meeting if they are not included in the Notice of Annual General Meeting and this proxy statement.
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Who Can Answer Your Questions about Voting
If you have any questions about how to vote or direct a vote in respect of your Ordinary Shares, you may send email to info@koynspac.com.
Proxy Solicitation Costs
The Company is soliciting proxies on behalf of the Board. This proxy solicitation is being made by mail, but also may be made by telephone or on the internet. The Company and its directors, officers and employees may also solicit proxies on the internet. The Company will ask banks, brokers and other institutions, nominees and fiduciaries to forward this proxy statement and the related proxy materials to their principals and to obtain their authority to execute proxies and voting instructions.
The Company will bear the entire cost of the proxy solicitation, including the preparation, assembly, printing, mailing and distribution of this proxy statement and the related proxy materials. The Company will reimburse brokerage firms and other custodians for their reasonable out-of-pocket expenses for forwarding this proxy statement and the related proxy materials to the Company’s shareholders. Directors, officers and employees of the Company who solicit proxies will not be paid any additional compensation for soliciting.
Dissenter’s Rights and Appraisal Rights
Neither Cayman Islands law nor our existing Second Amended and Restated Memorandum and Articles of Association provide for appraisal or other similar rights for dissenting shareholders in connection with the Name Change Proposal or the Articles Amendment Proposal. Accordingly, our shareholders will have no right to dissent and obtain payment for their shares. As a matter of Cayman Islands law, dissenters’ rights only apply in a statutory merger where the company is a constituent company, which is not the case with any of the proposals.
Warrant holders do not have appraisal rights in connection with the Name Change Proposal or the Articles Amendment Proposal.
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You should carefully consider all of the risks described in our Annual Report on Form 10-K filed with the SEC on March 19, 2026, any subsequent Quarterly Report on Form 10-Q filed with the SEC and in the other reports we file with the SEC before making a decision to invest in our securities. Furthermore, if any of the following events occur, our business, financial condition and operating results may be materially adversely affected or we could face liquidation. In that event, the trading price of our securities could decline, and you could lose all or part of your investment. The risks and uncertainties described in the aforementioned filings and below are not the only ones we face. Additional risks and uncertainties that we are unaware of, or that we currently believe are not material, may also become important factors that adversely affect our business, financial condition and operating results or result in our liquidation.
If the Adjournment Proposal is not approved, and a quorum is present but an insufficient number of votes have been obtained to approve the Name Change Proposal and the Articles Amendment Proposal, the chairman may not have the ability to adjourn the Annual General Meeting to a later date in circumstances where such adjournment is necessary to permit such Name Change and the Third A&R M&A to be approved.
If the Adjournment Proposal is presented to the Annual General Meeting and is not approved, and a quorum is present but an insufficient number of votes have been obtained to approve the Name Change Proposal or the Articles Amendment Proposal, the chairman may not have the ability to adjourn the Annual General Meeting to a later date in order to solicit further votes. In such event, such Name Change and the Third A&R M&A will not be approved.
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PROPOSAL NO. 1 — THE NAME CHANGE PROPOSAL
Overview
The Company is a special purpose acquisition company formed as an exempted company under the laws of the Cayman Islands for the purpose of effecting a merger, amalgamation, share exchange, asset acquisition, share purchase, reorganization or similar business combination involving the Company, with one or more businesses or entities. On August 28, 2025, the Company consummated the IPO of 23,000,000 Units, including 3,000,000 Units issued upon the full exercise by the underwriters of their over-allotment option, at $10.00 per Unit, generating gross proceeds of $230,000,000. Simultaneously with the closing of the IPO, the Company consummated the sale of an aggregate of 891,250 Private Placement Units at a price of $10.00 per Private Placement Unit in a private placement to the Sponsor and Cohen & Company Capital Markets, a division of Cohen & Company Securities, LLC (“CCM”), the representative of the underwriters of the IPO, generating gross proceeds of $8,912,500. Each Unit and each Private Placement Unit consists of one Class A ordinary share and one-half of one redeemable warrant, with each whole warrant entitling the holder to purchase one Class A ordinary share at $11.50 per share (subject to adjustment). Following the closing of the IPO, a total of $230,000,000 from the net proceeds of the sale of the Units in the IPO and the concurrent sale of the Private Placement Units was deposited in the Trust Account, which amount included $9,200,000 in deferred underwriting commissions.
Reasons for the Name Change Proposal
The Company proposes to effect the Name Change to align the Company’s corporate identity with First Digital, the target of its proposed initial business combination, and with the Company’s go-forward business following the closing of that combination. Other than the Name Change and the related amendment and restatement of the Company’s Memorandum and Articles of Association, there is no change to the Company’s business, its management or the rights of its securityholders.
Shareholders will not be required to exchange outstanding share certificates for new share certificates if the Name Change Proposal is approved.
If both the Name Change Proposal and the Articles Amendment Proposal are approved, the Company will file the Third A&R M&A in the form of Annex A hereto with the Cayman Islands Registrar of Companies.
You are not being asked to vote on the Proposed Business Combination at the Annual General Meeting. The vote by the Company’s shareholders on the Proposed Business Combination will occur at a separate meeting, to be held at a later date, and the solicitation of proxies from the Company’s shareholders in connection with such Proposed Business Combination and the related right of the Company’s shareholders to redeem in connection with the Proposed Business Combination will be the subject of a separate proxy statement/prospectus.
Vote Required for Approval
The approval of the Name Change Proposal requires a special resolution under the Companies Act, being a resolution passed by a majority of at least two thirds (2/3) of the votes cast by the holders of the issued and outstanding Ordinary Shares as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Abstentions, while considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Name Change Proposal. Broker non-votes will not be considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Name Change Proposal assuming a quorum is present.
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Resolution
The resolution to be put to the shareholders to consider and to vote upon at the Annual General Meeting in relation to Name Change Proposal is as follows:
“RESOLVED, as a special resolution, that the name of the Company be changed from CSLM Digital Asset Acquisition Corp III, Ltd to First Digital Acquisition Corp Ltd.”
Recommendation of the Board
As discussed above, after careful consideration of all relevant factors, our Board has determined that the Name Change Proposal is in the best interests of the Company and its shareholders. Our Board has approved and declared advisable the approval of the Name Change Proposal.
THE BOARD UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE “FOR”
THE NAME cHANGE PROPOSAL.
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PROPOSAL NO. 2 — THE ARTICLES AMENDMENT PROPOSAL
Reasons for the Articles Amendment Proposal
If the Name Change Proposal is approved, the Company proposes to reflect the Name Change in the Company’s governing documents by amending and restating the existing Second Amended and Restated Memorandum and Articles of Association in the form of the Third A&R M&A attached in Annex A hereto and filing the same with the Cayman Islands Registrar of Companies. Additionally, approval of the Articles Amendment Proposal is conditioned upon the approval of the Name Change Proposal. If the Name Change Proposal is not approved, the Third A&R M&A will not take effect.
Vote Required for Approval
The approval of the Articles Amendment Proposal requires a special resolution under the Companies Act, being a resolution passed by a majority of at least two thirds (2/3) of the votes cast by the holders of the issued and outstanding Ordinary Shares as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Abstentions, while considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Articles Amendment Proposal. Broker non-votes will not be considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Articles Amendment Proposal assuming a quorum is present.
Resolution
The resolution to be put to the shareholders to consider and to vote upon at the Annual General Meeting in relation to Articles Amendment Proposal is as follows:
“RESOLVED, as a special resolution, that subject to the approval of the Name Change Proposal, that the Third Amended and Restated Memorandum and Articles of Association in the form set forth in Annex A hereto be adopted in substitution for, and to the exclusion of, the Company’s existing Second Amended and Restated Memorandum and Articles of Association to reflect the Name Change Proposal.”
Recommendation of the Board
As discussed above, after careful consideration of all relevant factors, our Board has determined that the Articles Amendment Proposal is in the best interests of the Company and its shareholders. Our Board has approved and declared advisable the approval of the Articles Amendment Proposal.
THE BOARD UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE “FOR”
THE ARTICLES AMENDMENT PROPOSAL.
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PROPOSAL NO. 3 — THE ADJOURNMENT PROPOSAL
Overview
The Adjournment Proposal, if approved, will allow the chairman to adjourn the Annual General Meeting to a later date or dates, if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or to permit further solicitation of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or the Articles Amendment Proposal or for any other reason approved by the Board of the Company.
If the Adjournment Proposal is Not Approved
If the Adjournment Proposal is not approved by the Company’s shareholders, the chairman may not be able to adjourn the Annual General Meeting to a later date in the event, based on the tabulated votes, there are not sufficient votes at the time of the Annual General Meeting to approve the Name Change Proposal or the Articles Amendment Proposal.
Vote Required for Approval
The approval of the Adjournment Proposal requires an ordinary resolution under the Companies Act, being a resolution passed by a simple majority of the votes cast by holders of the issued and outstanding Ordinary Shares as, being entitled to do so, voting together as a single class, vote in person (including virtually) or by proxy at the Annual General Meeting or any adjournment thereof. Abstentions, while considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Adjournment Proposal. Broker non-votes will not be considered present for the purposes of establishing a quorum, will not count as a vote cast at the Annual General Meeting and will have no effect on the outcome of the Adjournment Proposal assuming a quorum is present.
Resolution
The resolution to be put to the shareholders to consider and to vote upon at the Annual General Meeting in relation to Adjournment Proposal is as follows:
“RESOLVED, as an ordinary resolution that, the adjournment of the Annual General Meeting to a later date or dates, (A) if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders, (B) to permit further solicitation of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or the Articles Amendment Proposal, or (C) for any other reason approved by the Board of the Company, be confirmed, adopted, approved and ratified in all respects.”
Recommendation of the Board
As discussed above, after careful consideration of all relevant factors, our Board has determined that the Adjournment Proposal is in the best interests of the Company and its shareholders. Therefore, if there are insufficient votes for, or otherwise in connection with, the approval of the Name Change Proposal, or the Articles Amendment Proposal, our board will approve and declare advisable the approval of the Adjournment Proposal.
THE BOARD UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE “FOR”
THE ADJOURNMENT PROPOSAL.
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BENEFICIAL OWNERSHIP OF SECURITIES
The following table sets forth information regarding the beneficial ownership of the Company’s Ordinary Shares as of the Record Date based on information obtained from the persons named below, with respect to the beneficial ownership of Ordinary Shares, by:
| ● | each person known by the Company to be the beneficial owner of more than 5% of the Company’s issued and outstanding Ordinary Shares; |
| ● | each of the Company’s executive officers and directors that beneficially owns Ordinary Shares; and |
| ● | all the Company’s executive officers and directors as a group. |
Beneficial ownership is determined according to the rules of the SEC, which generally provide that a person has beneficial ownership of a security if such person possesses sole or shared voting or investment power over that security, including options and warrants that are currently exercisable or exercisable within sixty (60) days. Unless otherwise indicated, we believe that all persons named in the table have sole voting and investment power with respect to all Ordinary Shares beneficially owned by them.
The beneficial ownership of the Company’s Ordinary Shares is based on 31,557,917 Ordinary Shares issued and outstanding as of the Record Date, which includes 23,891,250 Class A Shares and 7,666,667 Class B Shares. Unless otherwise indicated, all persons named in the table have sole voting and investment power with respect to all Ordinary Shares beneficially owned by them. The table below does not include the Class A ordinary shares issuable upon exercise of the warrants of the Company.
| Class A Ordinary Shares | Class B Ordinary Shares(2) | All Ordinary Shares | ||||||||||||||||||||||
| Name and Address of Beneficial Owner(1) | Number of Shares Beneficially Owned | Approximate Percentage of Class | Number of Shares Beneficially Owned | Approximate Percentage of Class | Number of Shares | Approximate Percentage of Outstanding Ordinary Shares | ||||||||||||||||||
| CSLM Acquisition Sponsor II, Ltd (our Sponsor)(2)(3) | 575,000 | 2.4 | % | 7,566,667 | 98.7 | % | 8,141,667 | 25.8 | % | |||||||||||||||
| Vikas Mittal(2) | 575,000 | 2.4 | % | 7,566,667 | 98.7 | % | 8,141,667 | 25.8 | % | |||||||||||||||
| Charles T. Cassel III(2) | 575,000 | 2.4 | % | 7,566,667 | 98.7 | % | 8,141,667 | 25.8 | % | |||||||||||||||
| Jonathan Binder(2) | 575,000 | 2.4 | % | 7,566,667 | 98.7 | % | 8,141,667 | 25.8 | % | |||||||||||||||
| Ryan Gentry | - | - | - | - | - | - | ||||||||||||||||||
| Christopher Bradley(4) | - | - | 20,000 | * | 20,000 | * | ||||||||||||||||||
| Brian Rudick(4) | - | - | 20,000 | * | 20,000 | * | ||||||||||||||||||
| Mathew August(4) | - | - | 20,000 | * | 20,000 | * | ||||||||||||||||||
| Danel Calvillo Armendariz(4) | - | - | 20,000 | * | 20,000 | * | ||||||||||||||||||
| Dr. Jim Kyung-Soo Liew(4) | - | - | 20,000 | * | 20,000 | * | ||||||||||||||||||
| All executive officers and directors (eight individuals) as a group | 575,000 | 2.4 | % | 7,666,667 | 100 | % | 8,241,667 | 26.1 | % | |||||||||||||||
| 5% Holders | ||||||||||||||||||||||||
| CSLM Acquisition Sponsor II, Ltd (our Sponsor)(2)(3) | 575,000 | 2.4 | % | 7,566,667 | 98.7 | % | 8,141,667 | 25.8 | % | |||||||||||||||
| Glazer Capital, LLC(5) | 1,200,000 | 5.0 | % | - | - | 1,200,000 | 3.8 | % | ||||||||||||||||
| * | Less than one percent. |
17
| (1) | Unless otherwise noted, the business address of each of the following is c/o CSLM Digital Asset Acquisition Corp III, Ltd, 2400 E. Commercial Boulevard, Suite 900, Ft. Lauderdale, FL 33308. |
| (2) | CSLM Acquisition Sponsor II, Ltd, our Sponsor, is the record holder of the shares reported. The legal and beneficial owners of the Sponsor are (i) Consilium Investment Capital, Inc., which is owned and controlled by Charles T. Cassel III and Jonathan M. Binder, and (ii) Samara CSLM, LLC, which is owned and controlled by Vikas Mittal. By virtue of their shared control over the manager of the Sponsor, Messrs. Cassel, Binder and Mittal may be deemed to beneficially own the shares held by the Sponsor. The Class B ordinary shares will automatically convert into Class A ordinary shares concurrently with or immediately following the consummation of the initial business combination, or earlier at the option of the holder, on a one-for-one basis, subject to adjustment. The Class B ordinary shares have no expiration date. |
| (3) | Six institutional investors (the “non-managing Sponsor investors”), none of which is affiliated with the Company’s management or the Sponsor, purchased, through the purchase of securities in the Sponsor, an aggregate of 180,000 private units ($1,800,000 in the aggregate) reflecting interests in an aggregate of 900,000 founder shares held by the Sponsor. The Sponsor controls the voting and conversion of these shares until the completion of the initial business combination. |
| (4) | Represents 20,000 founder shares (100,000 in the aggregate) transferred by the Sponsor, pursuant to a Securities Transfer Agreement, to each of the Company’s directors Christopher Bradley, Brian Rudick, Mathew August, Danel Calvillo Armendariz and Dr. Jim Kyung-Soo Liew for the sum of $0.003 per share. |
| (5) | Based on a Schedule 13G filed February 12, 2026 by Glazer Capital, LLC and Mr. Paul J. Glazer. The business address is 250 West 55th Street, Suite 30A, New York, NY 10019. |
18
SHAREHOLDER PROPOSALS FOR FUTURE MEETINGS
This proxy statement is being furnished in connection with the Company’s Annual General Meeting, which also constitutes the Company’s annual meeting of shareholders for purposes of the Nasdaq Stock Market listing rules. If a shareholder wishes to submit a proposal for inclusion in the Company’s proxy statement for its next annual meeting of shareholders pursuant to Rule 14a-8 under the Exchange Act, such proposal must be received by the Company a reasonable time before the Company begins to print and send its proxy materials for that meeting. You should direct any proposals to us at the Company’s principal office. If you are a shareholder and you want to nominate a person for election to our Board or present a matter of business to be considered at a future meeting, you must give timely notice of the nomination or the matter, in writing, to us pursuant to the governing documents of the Company (or, following the Proposed Business Combination, of the post-combination company).
19
Unless the Company has received contrary instructions, the Company may send a single copy of this proxy statement to any household at which two or more shareholders reside if the Company believes the shareholders are members of the same family. This process, known as “householding,” reduces the volume of duplicate information received at any one household and helps to reduce the Company’s expenses. However, if shareholders prefer to receive multiple sets of the Company’s disclosure documents at the same address this year or in future years, the shareholders should follow the instructions described below. Similarly, if an address is shared with another shareholder and together both of the shareholders would like to receive only a single set of the Company’s disclosure documents, the shareholders should follow these instructions:
| ● | if the shares are registered in the name of the shareholder, the shareholder should contact the Company at the following address and e-mail address: |
CSLM Digital Asset Acquisition Corp III, Ltd,
2400 E. Commercial Boulevard,
Suite 900Ft. Lauderdale,
FL 33308
Attention: Vikas Mittal,
Chairman,
Co-Chief Executive Officer and
Chief Financial Officer,
info@koynspac.com
| ● | if a broker, bank or nominee holds the shares, the shareholder should contact the broker, bank or nominee directly. |
20
WHERE YOU CAN FIND MORE INFORMATION
The Company files annual, quarterly and current reports, proxy statements and other information with the SEC as required by the Exchange Act. The Company’s public filings are also available to the public from the SEC’s website at www.sec.gov. You may request a copy of the Company’s filings with the SEC (excluding exhibits) at no cost by contacting the Company at the address and/or email address below.
If you would like additional copies of this proxy statement or the Company’s other filings with the SEC (excluding exhibits) or if you have questions about the proposals to be presented at the Annual General Meeting, you should contact the Company at the following address and e-mail address:
CSLM Digital Asset Acquisition Corp III, Ltd,
2400 E. Commercial Boulevard,
Suite 900Ft. Lauderdale,
FL 33308
Attention: Vikas Mittal,
Chairman,
Co-Chief Executive Officer and
Chief Financial Officer,
info@koynspac.com
You will not be charged for any of the documents you request. If your shares are held in a stock brokerage account or by a bank or other nominee, you should contact your broker, bank or other nominee for additional information.
If you are a shareholder of the Company and would like to request documents, please do so by November 3, 2026, five business days prior to the initial scheduled date of the Annual General Meeting, in order to receive them before the Annual General Meeting. If you request any documents from the Company, such documents will be mailed to you by first class mail or another equally prompt means.
21
THE COMPANIES ACT (AS REVISED)
EXEMPTED COMPANY LIMITED BY SHARES
THIRD AMENDED AND RESTATED
MEMORANDUM AND ARTICLES OF ASSOCIATION
OF
FIRST DIGITAL ACQUISITION CORP LTD.
(Adopted pursuant to a Special Resolution passed on [*], 2026)
THE COMPANIES ACT (AS REVISED)
EXEMPTED COMPANY LIMITED BY SHARES
THIRD AMENDED AND RESTATED
MEMORANDUM OF ASSOCIATION
OF
FIRST DIGITAL ACQUISITION CORP LTD.
(Adopted pursuant to a Special Resolution passed on [*], 2026)
1. The name of the Company is First Digital Acquisition Corp Ltd..
2. The registered office of the Company shall be at the offices of Appleby Global Services (Cayman) Limited, 71 Fort Street, PO Box 500, Grand Cayman, Cayman Islands, KY1-1106, Cayman Islands, or at such other place within the Cayman Islands as the Directors may decide.
3. The objects for which the Company is established are unrestricted and the Company shall have full power and authority to carry out any object not prohibited by any law as provided by Section 7(4) of the Companies Act (As Revised). PROVIDED THAT the Company shall only carry on the businesses for which a license is required under the laws of the Cayman Islands when so licensed under the terms of such laws.
4. The Company shall have and be capable of exercising all the functions of a natural person of full capacity irrespective of any question of corporate benefit as provided by Section 27(2) of the Companies Act (As Revised).
5. The Company will not trade in the Cayman Islands with any person, firm or corporation except in furtherance of the business of the Company carried on outside the Cayman Islands; Provided that nothing in this section shall be construed as to prevent the Company effecting and concluding contracts in the Cayman Islands, and exercising in the Cayman Islands all of its powers necessary for the carrying on of its business outside the Cayman Islands.
6. The liability of the members is limited to the amount, if any, unpaid on the shares respectively held by them.
7. THE AUTHORISED SHARE CAPITAL of the Company is Fifty Thousand United States Dollars (US$50,000.00) divided into Four Hundred and Forty-Five Million (445,000,000) Class A Ordinary Shares of a nominal or par value of US$0.0001 each, Fifty Million (50,000,000) Class B Ordinary Shares of a nominal or par value of US$0.0001 each and Five Million (5,000,000) Preference Shares of a nominal or par value of US$0.0001 each provided always that subject to the provisions of the Companies Act (As Revised) and the Articles of Association of the Company, the Company shall have power to redeem or purchase any of its shares and to sub-divide or consolidate the said shares or any of them and to issue all or any part of its capital whether original, redeemed, increased or reduced with or without any preference, priority or special privilege or subject to any postponement of rights or to any conditions or restrictions whatsoever and so that unless the conditions of issue shall otherwise expressly provide every issue of shares whether stated to be Class A Ordinary, Class B Ordinary, Preference Shares or otherwise shall be subject to the powers on the part of the Company hereinbefore contained.
8. The Company shall not have the power to issue shares to bearer.
9. The nature of business of the Company is a special purpose acquisition company.
10. The financial year end of the Company is 31 December of the calendar year.
11. The Company has power to register by way of continuation as a body corporate limited by shares under the laws of any jurisdiction outside the Cayman Islands and to be deregistered in the Cayman Islands.
12. Capitalized terms that are not defined in this Memorandum of Association bear the same meaning as those given in the Articles of Association of the Company.
Annex A- 1
THE COMPANIES ACT (AS REVISED)
EXEMPTED COMPANY LIMITED BY SHARES
THIRD AMENDED AND RESTATED
ARTICLES OF ASSOCIATION
OF
FIRST DIGITAL ACQUISITION CORP LTD.
(Adopted pursuant to a Special Resolution passed on [*], 2026)
PRELIMINARY
1. The regulations in Table “A” in the First Schedule to the Act (as defined below) shall not apply to the Company except insofar as they are repeated or contained in these Articles.
INTERPRETATION
2. In these Articles, if not inconsistent with the subject or context, the following expressions shall have the following meanings:
2.1 “Act” means the Companies Act (As Revised) of the Cayman Islands and every statutory modification or re-enactment thereof for the time being in force.
“Affiliate” in respect of a person, means any other person that, directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with, such person, and (a) in the case of a natural person, shall include, without limitation, such person’s spouse, parents, children, siblings, mother-in-law and father-in-law and brothers and sisters-in-law, whether by blood, marriage or adoption or anyone residing in such person’s home, a trust for the benefit of any of the foregoing, a company, partnership or any natural person or entity wholly or jointly owned by any of the foregoing and (b) in the case of an entity, shall include a partnership, a corporation or any natural person or entity which directly, or indirectly through one or more intermediaries, controls, is controlled by, or is under common control with, such entity.
“Applicable Law” means, with respect to any person, all provisions of laws, acts, statutes, ordinances, rules, regulations, permits, certificates, judgments, decisions, decrees or orders of any governmental authority applicable to such person.
“Articles” means the present articles of association and all supplementary, amended or substituted articles for the time being in force.
“Audit Committee” means the audit committee of the board of directors of the Company established pursuant to the Articles, or any successor committee.
“Auditor” means the person for the time being performing the duties of auditor of the Company (if any).
“Business Combination” means a merger, share exchange, asset acquisition, share purchase, reorganisation or similar business combination involving the Company, with one or more businesses or entities (the “target business”), which Business Combination: (a) as long as the securities of the Company are listed on a Designated Stock Exchange, must occur with one or more target businesses that together have an aggregate fair market value of at least 80% of the assets held in the Trust Account (excluding the deferred underwriting commissions and taxes payable on the interest income earned on the Trust Account) at the time of the signing of the definitive agreement to enter into such Business Combination; and (b) must not be solely effectuated with another blank cheque company or a similar company with nominal operations.
Annex A- 2
“Business day” means any day other than a Saturday, a Sunday or a legal holiday or a day on which banking institutions or trust companies are authorised or obligated by law to close in the Cayman Islands or New York City.
“Clearing House” means a clearing house recognised by the laws of the jurisdiction in which the Shares (or depositary receipts therefor) are listed or quoted on a stock exchange or interdealer quotation system in such jurisdiction.
“Class A Share” means a Class A ordinary share of a par value of US$0.0001 in the share capital of the Company.
“Class B Share” means a Class B ordinary share of a par value of US$0.0001 each in the share capital of the Company.
“Class B Share Conversion” means the conversion of Class B Shares in accordance with these Articles.
“Company” means the above-named company.
“Company’s Website” means the website of the Company and/or its web-address or domain name (if any).
“Compensation Committee” means the compensation committee of the board of directors of the Company established pursuant to the Articles, or any successor committee.
“Designated Stock Exchange” means any United States national securities exchange on which the securities of the Company are listed for trading, including the NASDAQ Stock Market LLC, the NYSE MKT LLC or The New York Stock Exchange LLC.
“Directors” means the directors for the time being of the Company.
“Dividend” means any dividend (whether interim or final) resolved to be paid on Shares pursuant to the Articles.
“Electronic Communication” means a communication sent by electronic means, including electronic posting to the Company’s Website, transmission to any number, address or internet website (including the website of the Securities and Exchange Commission) or other electronic delivery methods as otherwise decided and approved by the Directors.
“Electronic Record” has the same meaning as in the Electronic Transactions Act.
“Electronic Transactions Act” means the Electronic Transactions Act (As Revised) of the Cayman Islands.
“Equity-Linked Securities” means any debt or equity securities that are convertible, exercisable or exchangeable for Class A Shares issued in a financing transaction in connection with a Business Combination, including but not limited to a private placement of equity or debt.
“Exchange Act” means the United States Securities Exchange Act of 1934, as amended, or any similar U.S. federal statute and the rules and regulations of the Securities and Exchange Commission thereunder, all as the same shall be in effect at the time.
“Founders” means all Members of the Company immediately prior to the consummation of the IPO.
Annex A- 3
“Independent Director” has the same meaning as in the rules and regulations of the Designated Stock Exchange or in Rule 10A-3 under the Exchange Act, as the case may be.
“IPO” means the Company’s initial public offering of securities.
“Member” has the meaning assigned to it in the Act.
“Memorandum” means the amended and restated memorandum of association and all supplementary amended or substituted memorandum of the Company for the time being in force.
“Officer” means a person appointed to hold an office in the Company.
“Ordinary Resolution” means a resolution passed by a simple majority of the Members as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at a general meeting, and includes a unanimous written resolution. In computing the majority when a poll is demanded regard shall be had to the number of votes to which each Member is entitled by the Articles.
“Ordinary Shares” means the Class A Ordinary Shares and the Class B Ordinary Shares collectively.
“Over-allotment Option” means the option of the Underwriters to purchase up to an additional 15% of the units (as described in the Articles) issued in the IPO at a price equal to US$10 per unit, less underwriting discounts and commissions.
“Preference Share” means a preference share of a par value of US$0.0001 in the share capital of the Company.
“Public Shares” means a Class A Share issued as part of the units (as described in the Articles) issued in the IPO.
“Redemption Notice” means a notice in a form approved by the Company by which a holder of Public Shares is entitled to require the Company to redeem its Public Shares, subject to any conditions contained therein.
“Register of Members” means the register of members maintained in accordance with the Act and includes (except where otherwise stated) any branch or duplicate register of members.
“Registered Office” means the registered office for the time being of the Company.
“Representative” means a representative of the Underwriters.
“Seal” means the common seal of the Company and includes every duplicate seal.
“Securities and Exchange Commission” means the United States Securities and Exchange Commission.
“Share” means a Class A Share, a Class B Share or a Preference Share and includes a fraction of a share in the Company.
“Special Resolution” subject to Articles 115 and 179, has the meaning assigned to it in the Act, and includes a unanimous written resolution.
“Sponsor” means CSLM Acquisition Sponsor II, Ltd a Cayman Islands company, and its successors or assigns.
Annex A- 4
“Treasury Shares” means a Share held in the name of the Company as a treasury share in accordance with the Act.
“Trust Account” means the trust account established by the Company upon the consummation of the IPO and into which a certain amount of the net proceeds of the IPO, together with the proceeds of the private placement of units simultaneously with the closing date of the IPO, will be deposited.
“Underwriter” means an underwriter of the IPO from time to time and any successor underwriter.
“United States Dollars” and “US$” means the lawful currency of the United States of America.
2.2 Expressions defined in the Act, or any statutory modification or re-enactment thereof in force at the date on which these Articles become binding on the Company, shall have the meanings so defined. In these Articles:
2.3 Words importing the singular number shall include the plural number and vice versa.
2.4 Words importing the masculine gender shall include the feminine and neuter genders.
2.5 Words importing persons include corporations as well as any other legal or natural person.
2.6 “Written” and “in writing” include all modes of representing or reproducing words in visible form, including in the form of an Electronic Record.
2.7 “Shall” shall be construed as imperative and “may” shall be construed as permissive.
2.8 References to provisions of any law or regulation shall be construed as references to those provisions as amended, modified, re-enacted or replaced.
2.9 Any phrase introduced by the terms “including”, “include”, “in particular” or any similar expression shall be construed as illustrative and shall not limit the sense of the words preceding those terms.
2.10 The term “and/or” is used to mean both “and” as well as “or.” The use of “and/or” in certain contexts in no respects qualifies or modifies the use of the terms “and” or “or” in others. The term “or” shall not be interpreted to be exclusive and the term “and” shall not be interpreted to require the conjunctive (in each case, unless the context otherwise requires).
2.11 Headings are inserted for reference only and shall be ignored in construing the Articles.
2.12 Any requirements as to delivery under the Articles include delivery in the form of an Electronic Record.
2.13 Any requirements as to execution or signature under the Articles including the execution of the Articles themselves can be satisfied in the form of an electronic signature as defined in the Electronic Transactions Act.
2.14 Sections 8 and 19(3) of the Electronic Transactions Act shall not apply.
2.15 The term “clear days” in relation to the period of a notice means that period excluding the day when the notice is received or deemed to be received and the day for which it is given or on which it is to take effect.
2.16 The term “holder” in relation to a Share means a person whose name is entered in the Register of Members as the holder of such Share.
Annex A- 5
SHARES
3. The business of the Company may be commenced as soon after incorporation of the Company as the Directors shall see fit.
4. The Directors may pay, out of the capital or any other monies of the Company, all expenses incurred in or about the formation and establishment of the Company, including the expenses of registration
ISSUE OF SHARES AND OTHER SECURITIES
5. Subject to the provisions, if any, in the Memorandum (and to any direction that may be given by the Company in general meeting) and, where applicable, the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law, and without prejudice to any rights attached to any existing Shares, the Directors may allot, issue, grant options over or otherwise dispose of Shares (including fractions of a Share) with or without preferred, deferred or other rights or restrictions, whether in regard to Dividends or other distributions, voting, return of capital or otherwise and to such persons, at such times and on such other terms as they think proper, and may also (subject to the Act and the Articles) vary such rights, save that the Directors shall not allot, issue, grant options over or otherwise dispose of Shares (including fractions of a Share) to the extent that it may affect the ability of the Company to carry out a Class B Share Conversion set out in the Articles.
6. The Company may issue rights, options, warrants or convertible securities or securities of similar nature conferring the right upon the holders thereof to subscribe for, purchase or receive any class of Shares or other securities in the Company on such terms as the Directors may from time to time determine.
7. The Company may issue units of securities in the Company, which may be comprised of whole or fractional shares, rights, options, warrants or convertible securities or securities of similar nature conferring the right upon the holders thereof to subscribe for, purchase or receive any class of Shares or other securities in the Company, upon such terms as the Directors may from time to time determine. The securities comprising any such units which are issued pursuant to the IPO can only be traded separately from one another on the 52nd day following the date of the prospectus relating to the IPO unless the Representative(s) determines that an earlier date is acceptable, subject to the Company having filed a current report on Form 8-K with the Securities and Exchange Commission and a press release announcing when such separate trading will begin. Prior to such date, the units can be traded, but the securities comprising such units cannot be traded separately from one another.
8. No shares shall be issued to bearer.
9. Subject to the provisions of these Articles relating to shares, the shares shall be at the disposal of the Directors and they may (subject to the provisions of the Act and, where applicable, the rules of the Designated Stock Exchange and/or any competent regulatory authority, and without prejudice to any rights attached to any existing shares) allot, grant options over, or otherwise dispose of them to such persons, on such terms and conditions and at such times as they think fit but so that no share shall be issued at a discount, except in accordance with the provisions of the Act, and so that in the case of shares offered to the public for subscription the amount payable on application on each share shall not be less than such percentage of the nominal amount of the share as shall be determined by the Directors.
REGISTER OF MEMBERS
10. The Company shall maintain or cause to be maintained the Register of Members in accordance with the Act.
11. The Directors may determine that the Company shall maintain one or more branch registers of Members in accordance with the Act. The Directors may also determine which register of Members shall constitute the principal register and which shall constitute the branch register or registers, and to vary such determination from time to time.
Annex A- 6
CLOSING REGISTER OF MEMBERS OR FIXING RECORD DATE
12. For the purpose of determining Members entitled to notice of, or to vote at any meeting of Members or any adjournment thereof, or Members entitled to receive payment of any Dividend or other distribution, or in order to make a determination of Members for any other purpose, the Directors may, after notice has been given by advertisement in an appointed newspaper or any other newspaper or by any other means in accordance with the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law, provide that the Register of Members shall be closed for transfers for a stated period which shall not in any case exceed forty days
13. In lieu of, or apart from, closing the Register of Members, the Directors may fix in advance or arrears a date as the record date for any such determination of Members entitled to notice of, or to vote at any meeting of the Members or any adjournment thereof, or for the purpose of determining the Members entitled to receive payment of any Dividend or other distribution, or in order to make a determination of Members for any other purpose.
14. If the Register of Members is not so closed and no record date is fixed for the determination of Members entitled to notice of, or to vote at, a meeting of Members or Members entitled to receive payment of a Dividend or other distribution, the date on which notice of the meeting is sent or the date on which the resolution of the Directors resolving to pay such Dividend or other distribution is passed, as the case may be, shall be the record date for such determination of Members. When a determination of Members entitled to vote at any meeting of Members has been made as provided in this Article, such determination shall apply to any adjournment thereof.
SHARE CERTIFICATES
15. A Member shall only be entitled to a share certificate if the Directors resolve that share certificates shall be issued. Share certificates representing Shares, if any, shall be in such form as the Directors may determine. Share certificates shall be signed by one or more Directors or other person authorised by the Directors. The Directors may authorise certificates to be issued with the authorised signature(s) affixed by mechanical process. All certificates for Shares shall be consecutively numbered or otherwise identified and shall specify the Shares to which they relate. All certificates surrendered to the Company for transfer shall be cancelled and, subject to the Articles, no new certificate shall be issued until the former certificate representing a like number of relevant Shares shall have been surrendered and cancelled.
16. The Company shall not be bound to issue more than one certificate for Shares held jointly by more than one person and delivery of a certificate to one joint holder shall be a sufficient delivery to all of them.
17. If a share certificate is worn out, defaced, lost or destroyed, it may be renewed on such terms (if any) as to evidence and indemnity and on the payment of such expenses reasonably incurred by the Company in investigating evidence, as the Directors may prescribe, and (in the case of defacement or wearing out) upon delivery of the old certificate.
18. Every share certificate sent in accordance with the Articles will be sent at the risk of the Member or other person entitled to the certificate. The Company will not be responsible for any share certificate lost or delayed in the course of delivery.
19. Share certificates shall be issued within the relevant time limit as prescribed by the Act, if applicable, or as the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law may from time to time determine, whichever is shorter, after the allotment or, except in the case of a Share transfer which the Company is for the time being entitled to refuse to register and does not register, after lodgement of a Share transfer with the Company.
Annex A- 7
TRANSFER OF SHARES
20. Subject to the terms of these Articles, any Member may transfer all or any of their Shares by an instrument of transfer provided that such transfer complies with applicable rules of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law. If the Shares in question were issued in conjunction with rights, options, warrants or units issued pursuant to the Articles on terms that one cannot be transferred without the other, the Directors shall refuse to register the transfer of any such Share without evidence satisfactory to them of the like transfer of such right, option, warrant or unit.
21. The instrument of transfer of any Share shall be in writing in the usual or common form or in a form prescribed by the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law or in any other form approved by the Directors and shall be executed by or on behalf of the transferor (and if the Directors so require, signed by or on behalf of the transferee) and may be under hand or, if the transferor or transferee is a Clearing House or its nominee(s), by hand or by machine imprinted signature or by such other manner of execution as the Directors may approve from time to time. The transferor shall be deemed to remain the holder of a Share until the name of the transferee is entered in the Register of Members.
REDEMPTION, REPURCHASE AND SURRENDER OF SHARES
22. Subject to the provisions of the Act, and, where applicable, the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law, the Company may issue shares that are to be redeemed or are liable to be redeemed at the option of Member of the Company. The redemption of such Shares, except Public Shares, shall be effected in such manner and upon such other terms as the Directors or Company may, by Ordinary Resolution, may determine before the issue of such Shares. With respect to repurchasing or redeeming shares of the Company:
(a) Members who hold Public Shares are entitled to request redemption of such Shares in the circumstances described in Business Combination Articles hereof;
(b) [Reserved]; and
(c) Public Shares shall be redeemed by way of tender offer in the circumstances set out in the Business Combination Article hereof.
23. Subject to the provisions of the Act, and, where applicable, the rules of the Designated Stock Exchange, the Securities and Exchange Commission and/or any competent regulatory authority or otherwise under Applicable Law, the Company may purchase its own Shares (including any redeemable Shares) in such manner and on such other terms as the Directors may agree with the relevant Member. For the avoidance of doubt, repurchases, redemptions and surrenders of Shares in the circumstances described in the Article above shall not require further approval of the Members.
24. The Company may make a payment in respect of the redemption or purchase of its own Shares in any manner permitted by the Act, including out of capital.
25. The Directors may accept the surrender for no consideration of any fully paid share.
TREASURY SHARES
26. The Directors may, prior to the purchase, redemption or surrender of any Share determine that such Share be held as a Treasury Share.
27. The Directors may determine to cancel a Treasury Share or transfer a Treasury Share on such terms as they determine (including, without limitation, for nil consideration).
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VARIATION OF SHARE RIGHTS
28. Subject to Article 5, if at any time the share capital is divided into different classes of Shares, all or any of the rights attached to any class (unless otherwise provided by the terms of issue of the Shares of that class) may, whether or not the Company is being wound up, be varied without the consent of the holders of the issued Shares of that class where such variation is considered by the Directors not to have a material adverse effect upon such rights; otherwise, any such variation shall be made only with the consent in writing of the holders of not less than two- thirds of the issued Shares of that class (other than with respect to a waiver of the provisions of the Class B Share Conversion Article hereof, which as stated therein shall only require the consent in writing of the holders of a majority of the issued Shares of that class), or with the approval of a resolution passed by a majority of not less than two-thirds of the votes cast at a separate meeting of the holders of the Shares of that class. For the avoidance of doubt, the Directors reserve the right, notwithstanding that any such variation may not have a material adverse effect, to obtain consent from the holders of Shares of the relevant class. To any such meeting all the provisions of the Articles relating to general meetings shall apply mutatis mutandis, except that the necessary quorum shall be one person holding or representing by proxy at least one-third of the issued Shares of the class and that any holder of Shares of the class present in person or by proxy may demand a poll.
29. For the purposes of a separate class meeting, the Directors may treat two or more or all the classes of Shares as forming one class of Shares if the Directors consider that such class of Shares would be affected in the same way by the proposals under consideration, but in any other case shall treat them as separate classes of Shares.
30. The rights conferred upon the holders of the Shares of any class issued with preferred or other rights shall not, unless otherwise expressly provided by the terms of issue of the Shares of that class, be deemed to be varied by: (i) the creation or issue of further Shares ranking pari passu therewith or Shares issued with preferred or other rights; (ii) where the constitutional documents of the Company are amended or new constitutional documents of the Company are adopted, in each case, as a result of the Company registering by way of continuation as a body corporate under the laws of any jurisdiction outside the Cayman Islands; or (iii) the conversion of any Class B Shares pursuant to the Class B Ordinary Share Conversion Article.
COMMISSION ON SALE OF SHARES
31. The Company may, in so far as the Act permits, pay a commission to any person in consideration of that person subscribing or agreeing to subscribe (whether absolutely or conditionally) or procuring or agreeing to procure subscriptions (whether absolute or conditional) for any Shares. Such commissions may be satisfied by the payment of cash or the issue of fully or partly paid-up Shares. The Company may also on any issue of Shares pay such brokerage as may be lawful.
NON-RECOGNITION OF TRUSTS
32. The Company shall not be bound by or be compelled in any way to recognise (even when having notice thereof) any equitable, contingent, future or partial interest in any Share or any interest in any fractional part of a Share (except only as is otherwise provided by these Articles or the Act) or any other rights in respect of any Share except an absolute right to the entirety thereof in the holder.
LIEN ON SHARES
33. The Company shall have a first and paramount lien on every share (whether fully paid or not) registered in the name of a Member (whether solely or jointly with others) for all debts, liabilities or engagements to or with the Company (whether presently payable or not) by such Member or their estate, either alone or jointly with any other person, whether a Member or not, but the Directors may at any time declare any Share to be wholly or in part exempt from the provisions of this Article. The registration of a transfer of any such Share shall operate as a waiver of the Company’s lien thereon. The Company’s lien, if any, on a share shall extend to any amount payable in respect of that Share.
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34. The Company may sell, in such manner as the Directors think fit, any Shares on which the Company has a lien, if a sum in respect of which the lien exists is presently payable, and is not paid within 14 clear days after notice has been received or deemed to have been received by the holder of the Shares, or to the person entitled to it in consequence of the death or bankruptcy of the holder, demanding payment and stating that if the notice is not complied with the Shares may be sold.
35. The net proceeds of such sale by the Company after the payment of the costs of shall be applied in payment or satisfaction of such part of the amount in respect of which the lien exists as is presently payable as existed upon the Shares and any balance shall (subject to a like lien for sums not presently payable as existed upon the Shares before the sale) be paid to the person entitled to the Shares at the date of the sale.
36. To give effect to any such sale, the Directors may authorise some person to execute an instrument of transfer of the Shares sold to, or in accordance with the directors of, the purchaser. The purchaser or their nominee shall be registered as the holder of the Shares comprised in any such transfer and they shall not be bound to see to the application of the purchase money, nor shall their title to the Shares be affected by any irregularity or invalidity in the sale or the exercise of the Company’s power of sale under the Articles.
CALLS ON SHARES
37. Subject to the terms of the allotment and issue of any Shares, the Directors may from time to time make calls upon the Members in respect of any moneys unpaid on their Shares (whether on account of the nominal value of the shares or by way of premium or otherwise) and not by the conditions of allotment thereof made payable at fixed times. Each Member shall (subject to receiving at least fourteen days’ notice specifying the time or times and place of payment) pay to the Company at the time or times and place so specified the amount called on their Shares. A person upon whom a call is made shall remain liable on such call notwithstanding the subsequent transfer of the Shares in respect of which the call was made. A call may be revoked or postponed at the determination of the Directors.
38. The joint holders of a share shall be jointly and severally liable to pay all calls and instalments due in respect of such Share or other moneys due in respect thereof.
39. A copy of the notice referred to in the preceding Article shall be sent in the manner in which notices may be sent to Members by the Company as provided herein.
40. A call shall be deemed to have been made at the time when the resolution of the Directors authorising the call was passed and may be required to be paid by instalments.
41. If a sum called in respect of a share is not paid before or on the day appointed for payment thereof, the person from whom the sum is due shall pay interest on the sum from such day appointed for payment to the time of actual payment at such rate not exceeding fifteen per cent. per annum as the Directors may determine but the Directors shall be at liberty to waive payment of such interest either wholly or partly.
42. No Member shall be entitled to receive any dividend or bonus or to be present and vote (save as proxy for another Member) at any general meeting, either personally or by proxy, or be reckoned in a quorum, or to exercise any other privilege as a Member until all sums or instalments due from them to the Company in respect of any call, whether alone or jointly with any other person, together with interest and expenses (if any) shall have been paid.
43. Any sum which by the terms of issue of a Share becomes payable on allotment or on any fixed date (whether on account of the nominal value of the Share or by way of premium or otherwise) shall for the purposes of these Articles be deemed to be a call duly made, notified and payable on the date on which, by the terms of issue, the same becomes payable and, in case of non- payment, all the relevant provisions of these Articles as to payment of interest and expenses, forfeiture or otherwise shall apply as if such sum had become payable by virtue of a call duly made and notified.
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44. The Directors may make arrangements on the issue of Shares for a difference between the holders in the amount of calls to be paid and in the times of payment.
45. The Directors may, if they think fit, receive from any Member willing to advance the same, and either in money or money’s worth, all or any part of the money uncalled and unpaid or instalments payable upon any Shares held by them, and upon all or any of the moneys so advanced the Company may pay interest at such rate (if any) as the Directors may decide. The Directors may at any time repay the amount so advanced upon giving to such Member not less than one month’s notice in writing of their intention in that regard, unless before the expiration of such notice the amount so advanced shall have been called up on the shares in respect of which it was advanced. No such sum paid in advance of calls shall entitle the Member paying such sum to any portion of a dividend declared in respect of any period prior to the date upon which such sum would, but for such payment, become presently payable.
FORFEITURE OF SHARES
46. If a call or instalment of a call remains unpaid after it has become due and payable the Directors may give to the person from whom it is due not less than 14 clear days’ notice requiring payment of the amount unpaid together with any interest which may have accrued and any expenses incurred by the Company by reason of such non-payment. The notice shall specify where payment is to be made and shall state that if the notice is not complied with the Shares in respect of which the call was made will be liable to be forfeited.
47. If the notice is not complied with, any Share in respect of which it was given may, before the payment required by the notice has been made, be forfeited by a resolution of the Directors. Such forfeiture shall include all Dividends, other distributions or other monies payable in respect of the forfeited Share and not paid before the forfeiture.
48. If the requirements of any such notice as aforesaid are not complied with, any share in respect of which the notice has been given may, at any time thereafter before the payment required by the notice has been made, be forfeited by a resolution of the Directors to that effect. Such forfeiture shall include all dividends and bonuses declared in respect of the forfeited share, and not actually paid before forfeiture.
49. A forfeited share may be sold, re-allotted or otherwise disposed of on such terms and in such manner as the Directors think fit and at any time before a sale, re-allotment or disposition the forfeiture may be cancelled on such terms as the Directors think fit. Where for the purposes of its disposal a forfeited Share is to be transferred to any person the Directors may authorise some person to execute an instrument of transfer of the Share in favour of that person.
50. A person whose shares have been forfeited shall cease to be a Member in respect of the forfeited Shares and shall surrender to the Company for cancellation the certificate for the Shares forfeited and shall remain liable to pay the Company all monies which, at the date of forfeiture, were payable by that person to the Company in respect of the Shares together with interest a such rate as the Director may determine, but that person’s liability shall cease if and when the Company shall have received payment in full of all monies whenever due and payable by them in respect of those Shares.
51. A certificate in writing under the hand of a Director or Officer that a Share in the Company has been forfeited on a specified date shall be conclusive evidence of the facts stated in it as against all persons claiming to be entitled to the Share. The certificate shall (subject to the execution of an instrument of transfer) constitute a good title to the Share and the person to whom the Share is sold or otherwise disposed of shall not be bound to see to the application of the purchase money, if any, nor shall their title to the Share be affected by any irregularity or invalidity in the proceedings in reference to the forfeiture, sale or disposal of the Share.
52. The provisions of these Articles as to forfeiture shall apply in the case of non- payment of any sum which, by the terms of issue of a Share, becomes payable at a fixed time (whether on account of the nominal value of the share or by way of premium or otherwise) as if the same had been payable by virtue of a call duly made and notified.
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TRANSMISSION OF SHARES
53. In the case of the death of a Member, the legal personal representative of a deceased sole Member shall be the only person recognised by the Company as having any title to the share. In the case of a Share registered in the names of two or more holders, the survivors or survivor, or the legal personal representatives of the deceased Member, shall be the only persons recognised by the Company as having any title to the Share. Provided however, that nothing herein contained shall release the estate of any such deceased holder from any liability in respect of any Shares which had been held by the Member solely or jointly with other persons.
54. Any person becoming entitled to a share in consequence of the death or bankruptcy or liquidation or dissolution of a Member (or in any other way than by transfer) may, upon such evidence being produced as may from time to time be required by the Directors and subject as hereinafter provided, elect either to be registered as a Member in respect of the Share or to make such transfer of the share to such person as the deceased or bankrupt person could have made and to have such person registered as the transferee thereof, but the Directors shall, in either case, have the same right to decline or suspend registration as they would have had in the case of a transfer of the Share by that Member before his death or bankruptcy (as the case may be). If the person so being entitled shall elect to be registered as holder they shall deliver or send to the Company a notice in writing signed by them stating that they so elect.
55. A person becoming entitled to a share by reason of the death or bankruptcy or liquidation or dissolution of the holder (or in any other case than by transfer) shall be entitled to the same dividends and other advantages to which he would be entitled if he were the registered holder of the share, except that he shall not, before being registered as a Member in respect of the share, be entitled in respect of it to exercise any right conferred by membership in relation to meetings of the Company. The Directors may at any time give notice requiring any such person to elect either to be registered himself or to transfer the share and, if the notice is not complied with within ninety days, the Directors may, if such shares are redeemable at the option of the Company, redeem such shares but, in the meantime, the Directors may elect to withhold payment of all dividends, bonuses or other moneys payable in respect of the share until the requirements of the notice have been complied with.
CLASS B ORDINARY SHARE CONVERSION
56. The rights attaching to the Class A Shares and Class B Shares shall rank pari passu in all respects, and the Class A Shares and Class B Shares shall vote together as a single class on all matters (subject to the Variation of Rights of Shares Article and the Transfer by Way of Continuation Article) with the exception that the holder of a Class B Share shall have the conversion rights referred to in this Article.
57. Class B Ordinary Shares shall automatically convert into Class A Ordinary Shares on a one for one basis (the “Initial Conversion Ratio”) concurrently with or immediately following the consummation of a Business Combination, or earlier at the option of the holders thereof. Such Class A Ordinary Shares delivered upon conversion will not have any redemption rights or be entitled to liquidating distributions from the Trust Account if the Company fails to consummate an initial Business Combination.
58. Notwithstanding the Initial Conversion Ratio, in the case that additional Class A Shares or any other Equity-linked Securities, are issued, or deemed issued, by the Company in excess of the amounts offered in the IPO and related to the consummation of a Business Combination, all Class B Shares in issue shall automatically convert into Class A Shares in connection with the consummation of a Business Combination and the ratio for which the Class B Shares shall convert into Class A Shares will be adjusted (unless the holders of a majority of the Class B Shares in issue agree to waive such adjustment with respect to any such issuance or deemed issuance) so that the number of Class A Shares issuable upon conversion of all Class B Shares will equal, in the aggregate, approximately 20% of the sum of: (a) i) the total number of all Class A Shares outstanding upon the completion of the IPO (including any Class A Shares issued pursuant to the underwriters’ over-allotment option and excluding the Class A Shares comprising part of the private placement units and the Class A Shares underlying the private placement warrants issued to the sponsor),; plus (b) all Class A Shares and Equity-linked Securities issued or deemed issued in
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connection with a Business Combination (excluding any Shares or Equity-linked Securities issued, or to be issued, to any seller in a Business Combination and any private units issued to the Sponsor or its Affiliates or to a Director or Officer upon conversion of working capital loans made to the Company); minus (c) any redemptions of Class A Shares by holders thereof in connection with a Business Combination and any Class A Shares redeemed by public shareholders in connection with any amendment to the Memorandum and Articles made prior to the consummation of the initial Business Combination (A) to modify the substance or timing of the Company’s obligation to allow redemption in connection with the initial Business Combination or to redeem 100% of the Public Shares if the Company does not complete the initial Business Combination within the completion window or (B) with respect to any other material provisions relating to the rights of holders of Class A Shares or pre-Business Combination activity; provided that such conversion of Class B Shares will never occur on a less than one-for-one basis.
59. Notwithstanding anything to the contrary contained herein, the foregoing adjustment to the Initial Conversion Ratio may be waived as to any particular issuance or deemed issuance of additional Class A Shares or Equity-linked Securities by the written consent or agreement of holders of a majority of the Class B Shares then in issue consenting or agreeing separately as a separate class in the manner provided in the Variation of Rights of Shares Article hereof.
60. The foregoing conversion ratio shall also take into account any subdivision (by share split, subdivision, exchange, capitalisation, rights issue, reclassification, recapitalisation or otherwise) or combination (by reverse share split, share consolidation, exchange, reclassification, recapitalisation or otherwise) or similar reclassification or recapitalisation of the Class A Ordinary Shares in issue into a greater or lesser number of shares occurring after the original filing of the Articles without a proportionate and corresponding subdivision, combination or similar reclassification or recapitalisation of the Class B Ordinary Shares in issue.
61. Each Class B Ordinary Share shall convert into its pro rata number of Class A Ordinary Shares pursuant to Articles 56 to 63. The pro rata share for each holder of Class B Ordinary Shares will be determined as follows: each Class B Ordinary Share shall convert into such number of Class A Ordinary Shares as is equal to the product of 1 multiplied by a fraction, the numerator of which shall be the total number of Class A Ordinary Shares into which all of the Class B Ordinary Shares in issue shall be converted pursuant to this Article and the denominator of which shall be the total number of Class B Ordinary Shares in issue at the time of conversion.
62. References in Articles 56 to 63 inclusive to “converted”, “conversion” or “exchange” shall mean the compulsory redemption without notice of Class B Ordinary Shares of any Member and, on behalf of such Members, automatic application of such redemption proceeds in paying for such new Class A Ordinary Shares into which the Class B Ordinary Shares have been converted or exchanged at a price per Class B Ordinary Share necessary to give effect to a conversion or exchange calculated on the basis that the Class A Ordinary Shares to be issued as part of the conversion or exchange will be issued at par. The Class A Ordinary Shares to be issued on an exchange or conversion shall be registered in the name of such Member or in such name as the Member may direct.
63. Notwithstanding anything to the contrary in this Article, in no event may any Class B Ordinary Share convert into Class A Ordinary Shares at a ratio that is less than one-for-one.
AMENDMENT TO MEMORANDUM AND ARTICLES AND ALTERATION OF CAPITAL
64. Subject to the provisions of the Act, the provisions of these Articles as regards the matters to be dealt with by Ordinary Resolution and Articles 115 and 179, the Company may by Special Resolution:
(a) change its name;
(b) alter or add to the Articles (subject to Articles 115 and 179);
(c) alter or add to the Memorandum with respect to any object, powers or other matters specified therein; and
(d) reduce its share capital or any capital redemption reserved fund.
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65. Subject to the provisions of the Act, the Company may by resolution of the Directors change the location of its Registered Office. The Company may, in addition to its Registered Office, maintain such other offices or places of business as the Directors determine.
66. The Company may by Ordinary Resolution:
(a) increase the share capital by such amount as Ordinary Resolution shall prescribe and with such rights, priorities and privileges annexed thereto, as the Company in general meeting may determine;
(b) consolidate and divide all or any of its share capital into Shares of larger amount than its existing Shares;
(c) convert all or any part of its paid-up Shares into stock and reconvert that stock into paid-up Shares of any denomination;
(d) by subdivision of its existing Shares or any of them divide the whole or any part of its share capital into Shares of smaller amount than is fixed by the Memorandum or into Shares without par value; and
(e) cancel any Shares that at the date of the passing of the Ordinary Resolution have not been taken or agreed to be taken by any person and diminish its share capital by the amount such cancelled Shares.
67. All new shares created under the preceding Article shall be considered as though part of the original capital and shall be subject to the same provisions herein contained with reference to the payment of calls and instalments, transfer and transmission, forfeiture, lien, surrender and otherwise.
GENERAL MEETINGS
68. All general meetings other than annual general meetings shall be called extraordinary general meetings.
69. The Company may but shall not (unless required by the Act) be obliged to, in each year hold a general meeting as its annual general meeting and shall specify the meeting as such in the notices calling it. Any annual general meeting shall be held at such time and place as the Directors shall appoint. At these meetings the report of the Directors (if any) shall be presented.
70. The Directors, the chief executive officer or the chairperson of the board of Directors may call general meetings, and, for the avoidance of doubt, the Members shall not have the ability to call general meetings.
71. Members seeking to bring business before the annual general meeting or to nominate candidates for appointment as Directors at the annual general meeting must deliver notice to the principal executive offices of the Company not later than the close of business on the 90th day nor earlier than the close of business on the 150th day prior to the anniversary date of the immediately preceding annual general meeting or, if the Company did not hold an annual general meeting the previous year, or if the date of the current year’s annual general meeting has been changed by more than 30 days from the date of the previous year’s annual general meeting, then the deadline shall be set by the board of Directors with such deadline being a reasonable time before the Company begins to print and send its related proxy materials.
NOTICE OF GENERAL MEETINGS
72. At least five clear days’ notice shall be given of any general meeting. Every notice shall specify the place, the day and the hour of the meeting and the general nature of the business to be conducted at the general meeting and shall be given in the manner hereinafter mentioned or in such other manner if any as may be prescribed by the Company, provided that a general meeting of the Company shall, whether or not the notice specified in this Article has been given and whether or not the provisions of the Articles regarding general meetings have been complied with, be deemed to have been duly convened if it is so agreed:
(a) in the case of an annual general meeting, by all of the Members entitled to attend and vote at the meeting; and
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(b) in the case of an extraordinary general meeting, by a majority in number of the Members having a right to attend and vote at the meeting, together holding not less than 95% in par value of the Shares giving that right.
73. The notice convening a meeting to pass a Special Resolution shall specify the intention to propose the resolution as a Special Resolution.
74. The accidental omission to give notice of a meeting to, or the non-receipt of a notice of a meeting by, any member entitled to receive notice shall not invalidate the proceedings at that general meeting.
PROCEEDINGS AT GENERAL MEETINGS
75. No business shall be transacted at any general meeting unless a quorum of Members is present at the time when the meeting proceeds to business. The holders of one-third of the Shares being individuals present in person or by proxy or if a corporation or other non-natural person by its duly authorised representative or proxy shall be a quorum.
76. A person may participate at a general meeting by conference telephone or other communications equipment by means of which all the persons participating in the meeting can communicate with each other. Participation by a person in a general meeting in this manner is treated as presence in person at that meeting.
77. If a quorum is not present within half an hour from the time appointed for the meeting to commence, the meeting shall stand adjourned to the same day in the next week at the same time and/or place or to such other day, time and/or place as the Directors may determine, and if at the adjourned meeting a quorum is not present within half an hour from the time appointed for the meeting to commence, the Members present shall be a quorum.
78. The Directors may, at any time prior to the time appointed for the meeting to commence, appoint any person to act as chairperson of a general meeting of the Company or, if the Directors do not make any such appointment, the chairperson, if any, of the board of Directors shall preside as chairperson at such general meeting. If there is no such chairperson, or if the person shall not be present within 15 minutes after the time appointed for the meeting to commence, or is unwilling to act, the Directors present shall elect one of their number to be chairperson of the meeting. The chairperson of the meeting at a general meeting of the Company may adopt rules and regulations for the conduct of general meetings which may have the effect of precluding the conduct of certain business at a general meeting if the rules and regulations are not followed.
79. If at any general meeting no Director is willing to act as chairperson or if no Director is present within fifteen minutes after the time appointed for holding the meeting, the Members present shall choose one of their number to be chairperson of the meeting.
80. The chairperson may, with the consent of any meeting at which a quorum is present (and shall if so directed by the meeting), adjourn the meeting from time to time and from place to place but no business shall be transacted at any adjourned meeting other than the business left unfinished at the meeting from which the adjournment took place.
81. When a general meeting is adjourned for thirty days or more, notice of the adjourned meeting shall be given as in the case of an original meeting. Save as aforesaid, it shall not be necessary to give any notice of an adjournment or of the business to be transacted at an adjourned meeting.
82. If, prior to a Business Combination, a notice is issued in respect of a general meeting and the Directors, in their absolute discretion, consider that it is impractical or undesirable for any reason to hold that general meeting at the place, the day and the hour specified in the notice calling such general meeting, the Directors may postpone the general meeting to another place, day and/or hour provided that notice of the place, the day and the hour of the rearranged general meeting is promptly given to all Members. No business shall be transacted at any postponed meeting other than the business specified in the notice of the original meeting.
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83. When a general meeting is postponed for 30 days or more, notice of the postponed meeting shall be given as in the case of an original meeting. Otherwise, it shall not be necessary to give any such notice of a postponed meeting. All proxy forms submitted for the original general meeting shall remain valid for the postponed meeting. The Directors may postpone a general meeting which has already been postponed.
84. At any general meeting, a resolution put to the vote of the meeting shall be decided on a poll.
85. A poll shall be taken as the chairperson directs, and the result of the poll shall be deemed to be the resolution of the general meeting at which the poll was demanded.
86. A poll demanded on the election of a chairperson or on a question of adjournment shall be taken forthwith. A poll demanded on any other question shall be taken at such date, time and place as the chairperson of the general meeting directs, and any business other than that upon which a poll has been demanded or is contingent thereon may proceed pending the taking of the poll.
87. In the case of an equality of votes, the chairperson of the meeting shall be entitled to a second or casting vote.
VOTES OF MEMBERS
88. Subject to any rights or restrictions attached to any Shares, including as set out at Articles 115 and 179, every Member present in any such manner shall have one vote for every Share of which they are the holder.
89. In the case of joint holders, the vote of the senior holder who tenders a vote, whether in person or by proxy (or, in the case of a corporation or other non-natural person, by its duly authorised representative or proxy, shall be accepted to the exclusion of the votes of the other joint holders and, for this purpose, seniority shall be determined by the order in which the names stand in the Register of Members.
90. A Member of unsound mind, or in respect of whom an order has been made by any court having jurisdiction in lunacy, may vote by their committee, receiver, curator bonis or other person on such Member’s behalf appointed by that court, and any such committee, receiver, curator bonis or other person may vote by proxy.
91. No person shall be entitled to vote at any general meeting unless they are registered as a Member on the record date for such meeting nor unless all calls or other monies then payable by them in respect of Shares have been paid.
92. No objection shall be raised to the qualification of any voter except at the meeting or adjourned general meeting at which the vote objected to is given or tendered, and every vote not disallowed at such meeting shall be valid. Any objection made in due time shall be referred to the chairperson whose decision shall be final and conclusive.
93. On a poll or a show of hands votes may be given personally or by proxy. Votes may be cast either personally or by proxy (or in the case of a corporation or other non-natural person by its duly authorised representative or proxy). A Member may appoint more than one proxy or the same proxy under one or more instruments to attend and vote at a meeting. Where a Member appoints more than one proxy the instrument of proxy shall specify the number of Shares in respect of which each proxy is entitled to exercise the related votes.
94. A Member holding more than one Share need not cast the votes in respect of their Shares in the same way on any resolution and therefore may vote a Share or some or all such Shares either for or against a resolution and/or abstain from voting a Share or some or all of the Shares and, subject to the terms of the instrument appointing the proxy, a proxy appointed under one or more instruments may vote a Share or some or all of the Shares in respect of which they are appointed either for or against a resolution and/or abstain from voting a Share or some or all of the Shares in respect of which they are appointed.
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RESOLUTIONS IN WRITING
95. A resolution (including a Special Resolution) in writing (in one or more counterparts) signed by or on behalf of all the Members for the time being entitled to receive notice of and to attend and vote at general meetings (or, being corporations or other non-natural persons, signed by their duly authorised representatives) shall be as valid and effective as if the resolution had been passed at a general meeting of the Company duly convened and held.
PROXIES
96. The instrument appointing a proxy shall be in writing and shall be executed under the hand of the appointer or of their attorney duly authorised in writing or, if the appointer is a corporation or other non-natural person, under the hand of its duly authorised representative. A proxy need not be a Member.
97. The Directors may, in the notice convening any meeting or adjourned meeting, or in an instrument of proxy sent out by the Company, specify the manner by which the instrument appointing a proxy shall be deposited and the place and the time (being not later than the time appointed for the commencement of the meeting or adjourned meeting to which the proxy relates) at which the instrument appointing a proxy shall be deposited. In the absence of any such direction from the Directors in the notice convening any meeting or adjourned meeting or in an instrument of proxy sent out by the Company, the instrument appointing a proxy shall be deposited physically at the Registered Office not less than 48 hours before the time appointed for the meeting or adjourned meeting to commence at which the person named in the instrument proposes to vote.
98. The chairperson may in any event at their discretion declare that an instrument of proxy shall be deemed to have been duly deposited. An instrument of proxy that is not deposited in the manner permitted, or which has not been declared to have been duly deposited by the chairperson, shall be invalid.
99. The instrument appointing a proxy may be in any usual or common form (or such other form as the Directors may approve) and may be expressed to be for a particular meeting or any adjournment thereof or generally until revoked. An instrument appointing a proxy shall be deemed to include the power to demand or join or concur in demanding a poll.
100. A vote given in accordance with the terms of an instrument of proxy shall be valid notwithstanding the previous death or insanity of the principal or revocation of the proxy or of the authority under which the proxy was executed, or the transfer of the Share in respect of which the proxy is given, unless notice in writing of such death, insanity, revocation or transfer as aforesaid shall have been received by the Company at its Registered Office before the commencement of the general meeting or adjourned meeting at which it is sought to use the proxy.
CORPORATIONS ACTING BY REPRESENTATIVES AT MEETINGS
101. Any corporation or other non-natural person which is a Member of the Company may, in accordance with its constitutional documents or, in the absence of such provision, by resolution of its directors or other governing body, authorise such person as it thinks fit to act as its representative at any meeting of the Company or of any class of Members of the Company and the person so authorised shall be entitled to exercise the same powers on behalf of the corporation which they represent as that corporation could exercise if it were an individual Member.
102. If a Clearing House (or its nominee(s)), being a corporation, is a Member, it may authorise such persons as it sees fit to act as its representative at any meeting of the Company or at any meeting of any class of Members provided that the authorisation shall specify the number and class of Shares in respect of which each such representative is so authorised. Each person so authorised under the provisions of this Article shall be deemed to have been duly authorised without further evidence of the facts and be entitled to exercise the same rights and powers on behalf of the Clearing House (or its nominee(s)) as if such person was the registered holder of such Shares held by the Clearing House (or its nominee(s)).
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SHARES THAT MAY NOT BE VOTED
103. Shares in the Company that are beneficially owned by the Company shall not be voted, directly or indirectly, at any meeting and shall not be counted in determining the total number of outstanding Shares at any given time.
DIRECTORS AND OFFICERS
104. Until otherwise determined by the Company in general meeting, the number of Directors shall not be less than one.
105. A Director or officer of the Company may, notwithstanding his interest, be counted in the quorum present at any meeting at which he or any other Director or officer is appointed to hold any such office or place of profit under the Company or at which the terms of any such appointment are arranged and he may vote on any such appointment or arrangement other than his own appointment or the arrangement of the terms thereof.
POWERS OF DIRECTORS
106. Subject to the provisions of the Act, the Memorandum and the Articles and to any directions given by Special Resolution, the business of the Company shall be managed by the Directors, who may exercise all the powers of the Company. No alteration of the Memorandum or Articles and no such direction shall invalidate any prior act of the Directors which would have been valid if that alteration had not been made or that direction had not been given. A duly convened meeting of Directors at which a quorum is present may exercise all powers exercisable by the Directors.
107. All cheques, promissory notes, drafts, bills of exchange and other negotiable instruments, and all receipts for moneys paid to the Company, shall be signed, drawn, accepted, endorsed or otherwise executed, as the case may be, in such manner as the Directors shall from time to time by resolution determine.
108. The Directors shall cause minutes to be made in books provided for the purpose:
(a) of all appointments of officers of the Company made by the Directors;
(b) of the names of the Directors present at each meeting of the Directors and of any committee of the Directors; and
of all resolutions and proceedings at each meeting of the Company and of the Directors and of any committee of the Directors.
109. The Directors may, on behalf of the Company, pay a gratuity or pension or allowance on retirement to any Director who has held any other salaried office or place of profit with the Company or to their surviving spouse, civil partner or dependants and may make contributions to any fund and pay premiums for the purchase or provision of any such gratuity, pension or allowance.
110. The Directors may exercise all the powers of the Company to borrow money and to mortgage or charge its undertaking, property and assets (present and future) and uncalled capital, or any part thereof, and to issue debentures, debenture stock, bonds and other such securities whether outright or as security for any debt, liability or obligation of the Company or of any third party.
APPOINTMENT AND REMOVAL OF DIRECTORS
111. Prior to the consummation of the initial Business Combination, the Company may only by Ordinary Resolution of the Class B Shares (“Class B Ordinary Resolution”) appoint any person to be a Director or may only by Class B Ordinary Resolution remove any Director.
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112. The Directors may appoint any person to be a Director, either to fill a vacancy or as an additional Director provided that the appointment does not cause the number of Directors to exceed any number fixed by or in accordance with the Articles as the maximum number of Directors.
113. After the consummation of a Business Combination, the Company may by Ordinary Resolution appoint any person to be a Director or may by Ordinary Resolution remove any Director.
114. Prior to the consummation of a Business Combination, Article 111 may only be amended by a Special Resolution passed by at least nine-tenths of such Members as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at a general meeting of which notice specifying the intention to propose the resolution as a Special Resolution has been given, or by way of unanimous written resolution.
VACATION OF OFFICE OF DIRECTOR
115. The office of Director shall, ipso facto, be vacated if the Director:
(a) the Director gives notice in writing to the Company that they resign the office of Director; or
(b) the Director is absent (for the avoidance of doubt, without being represented by proxy) from three consecutive meetings of the board of Directors without special leave of absence from the Directors, and the Directors pass a resolution that they have by reason of such absence vacated office; or
(c) the Director dies, becomes bankrupt or makes any arrangement or composition with their creditors generally; or
(d) the Director is found to be or becomes of unsound mind; or
(e) all of the other Directors (being not less than two in number) determine that the Director should be removed as a Director, either by a resolution passed by all of the other Directors at a meeting of the Directors duly convened and held in accordance with the Articles or by a resolution in writing signed by all of the other Directors.
PROCEEDINGS OF DIRECTORS
116. The quorum necessary for the transaction of the business of the Directors may be fixed by the Directors and, unless so fixed, shall be two provided always that, if there is only a sole Director, that Director shall be a quorum and such Director may transact business by written resolution as if a meeting were being held under the provisions of these Articles.
117. Subject to the provisions of the Articles, the Directors may regulate their proceedings as they think fit. Questions arising at any meeting shall be decided by a majority of votes. In the case of an equality of votes, the chairperson shall have a second or casting vote.
118. A person may participate in a meeting of the Directors or any committee of Directors by conference telephone or other communications equipment by means of which all the persons participating in the meeting can communicate with each other at the same time. Participation by a person in a meeting in this manner is treated as presence in person at that meeting. Unless otherwise determined by the Directors, the meeting shall be deemed to be held at the place where the chairperson is located at the start of the meeting.
119. A resolution in writing (in one or more counterparts) signed by all the Directors or all the members of a committee of the Directors or, in the case of a resolution in writing relating to the removal of any Director or the vacation of office by any Director, all of the Directors other than the Director who is the subject of such resolution shall be as valid and effectual as if it had been passed at a meeting of the Directors, or committee of Directors as the case may be, duly convened and held.
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120. A Director may, or other Officer on the direction of a Director shall, call a meeting of the Directors by at least two days’ notice in writing to every Director which notice shall set forth the general nature of the business to be considered unless notice is waived by all the Directors either at, before or after the meeting is held. To any such notice of a meeting of the Directors all the provisions of the Articles relating to the giving of notices by the Company to the Members shall apply mutatis mutandis.
121. The continuing Directors or sole continuing Director may act notwithstanding any vacancy in their body, but, if and so long as their number is reduced below the number fixed by or pursuant to these Articles as the necessary quorum of Directors, the continuing Directors or Director may act for the purpose of increasing the number of Directors to that number, or of summoning a general meeting of the Company, but for no other purpose.
122. The Directors may elect a chairperson of their board and determine the period for which they are to hold office but if no such chairperson is elected, or if at any meeting the chairperson is not present within five minutes after the time appointed for holding the same, the Directors present may choose one of their number to be chairperson of the meeting.
123. All acts done by any meeting of the Directors or of a committee of the Directors shall, notwithstanding that it is afterwards discovered that there was some defect in the appointment of any Director, and/or that they or any of them were disqualified, and/or had vacated their office and/or were not entitled to vote, be as valid as if every such person had been duly appointed and/or not disqualified to be a Director and/or had not vacated their office and/or had been entitled to vote, as the case may be.
124. A Director may be represented at any meetings of the board of Directors by a proxy appointed in writing by that Director. The proxy shall count towards the quorum and the vote of the proxy shall for all purposes be deemed to be that of the appointing Director.
PRESUMPTION OF ASSENT
125. A Director who is present at a meeting of the board of Directors at which action on any Company matter is taken shall be presumed to have assented to the action taken unless his dissent shall be entered in the minutes of the meeting or unless they shall file their written dissent from such action with the person acting as the chairperson or secretary of the meeting before the adjournment thereof or shall forward such dissent by registered post to the person immediately after the adjournment of the meeting. Such right to dissent shall not apply to a Director who voted in favour of such action.
DIRECTORS’ INTERESTS
126. A Director may hold any other office or place of profit under the Company (other than the office of Auditor) in conjunction with their office of Director for such period and on such terms as to remuneration and otherwise as the Directors may determine.
127. A Director may act on their own or by, through or on behalf of their firm in a professional capacity for the Company and they or their firm shall be entitled to remuneration for professional services as if they were not a Director.
128. A Director may be or become a director or other officer of or otherwise interested in any company promoted by the Company or in which the Company may be interested as a shareholder, a contracting party or otherwise, and no such Director shall be accountable to the Company for any remuneration or other benefits received by them as a director or officer of, or from their interest in, such other company.
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129. No person shall be disqualified from the office of Director or prevented by such office from contracting with the Company, either as vendor, purchaser or otherwise, nor shall any such contract or any contract or transaction entered into by or on behalf of the Company in which any Director shall be in any way interested be or be liable to be avoided, nor shall any Director so contracting or being so interested be liable to account to the Company for any profit realised by or arising in connection with any such contract or transaction by reason of such Director holding office or of the fiduciary relationship thereby established. A Director shall be at liberty to vote in respect of any contract or transaction in which they are interested provided that the nature of the interest of any Director in any such contract or transaction shall be disclosed by them at or prior to its consideration and any vote thereon.
130. A general notice that a Director is a shareholder, director, officer or employee of any specified firm or company and is to be regarded as interested in any transaction with such firm or company shall be sufficient disclosure for the purposes of voting on a resolution in respect of a contract or transaction in which they have an interest, and after such general notice it shall not be necessary to give special notice relating to any particular transaction.
MINUTES
131. Directors shall cause minutes to be made in books kept for the purpose of recording all appointments of Officers made by the Directors, all proceedings at meetings of the Company or the holders of any class of Shares and of the Directors, and of committees of the Directors, including the names of the Directors present at each meeting.
DELEGATION OF DIRECTORS’ POWERS
132. The Directors may delegate any of their powers, authorities and discretions, including the power to sub-delegate, to any committee consisting of one or more Directors (including, without limitation, the Audit Committee and the Compensation Committee). Any such delegation may be made subject to any conditions the Directors may impose and either collaterally with or to the exclusion of their own powers and any such delegation may be revoked or altered by the Directors. Subject to any such conditions, the proceedings of a committee of Directors shall be governed by the Articles regulating the proceedings of Directors, so far as they are capable of applying.
133. The Directors may establish any committees, local boards or agencies or appoint any person to be a manager or agent for managing the affairs of the Company and may appoint any person to be a member of such committees, local boards or agencies. Any such appointment may be made subject to any conditions the Directors may impose, and either collaterally with or to the exclusion of their own powers and any such appointment may be revoked or altered by the Directors. Subject to any such conditions, the proceedings of any such committee, local board or agency shall be governed by the Articles regulating the proceedings of Directors, so far as they are capable of applying.
134. The Directors may adopt formal written charters for committees and, if so adopted, shall review and assess the adequacy of such formal written charters on an annual basis as may be required from time to time by the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law. Each of these committees shall be empowered to do all things necessary to exercise the rights of such committee set forth in the Articles and shall have such powers as the Directors may delegate pursuant to the Articles and as required by the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law. Each of the Audit Committee and the Compensation Committee, if established, shall consist of such number of Directors as the Directors shall from time to time determine (or such minimum number as may be required from time to time by the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law). For so long as any class of Shares is listed on the Designated Stock Exchange, the Audit Committee and the Compensation Committee shall be made up of such number of Independent Directors as is required from time to time by the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law.
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135. The Directors may by power of attorney or otherwise appoint any person to be the agent of the Company on such conditions as the Directors may determine, provided that the delegation is not to the exclusion of their own powers and may be revoked by the Directors at any time.
136. The Directors may by power of attorney or otherwise appoint any company, firm, person or body of persons, whether nominated directly or indirectly by the Directors, to be the attorney or authorised signatory of the Company for such purpose and with such powers, authorities and discretions (not exceeding those vested in or exercisable by the Directors under the Articles) and for such period and subject to such conditions as they may think fit, and any such powers of attorney or other appointment may contain such provisions for the protection and convenience of persons dealing with any such attorneys or authorised signatories as the Directors may think fit and may also authorise any such attorney or authorised signatory to delegate all or any of the powers, authorities and discretions vested in them.
137. The Directors may appoint such Officers as they consider necessary on such terms, at such remuneration and to perform such duties, and subject to such provisions as to disqualification and removal as the Directors may think fit. Unless otherwise specified in the terms of their appointment an Officer may be removed by resolution of the Directors or Members. An Officer may vacate their office at any time if they give notice in writing to the Company that they resign their office. Such Officers may consist of a Chairman of the Board, Chief Executive Officers, a President, a Chief Operating Officer, a Chief Financial Officer, Vice Presidents, a Secretary, Assistant Secretaries, a Treasurer and such other offices as may be determined by the Directors.
NO MINIMUM SHAREHOLDING
138. The Company in general meeting may fix a minimum shareholding required to be held by a Director, but unless and until such a shareholding qualification is fixed a Director is not required to hold Shares.
REMUNERATION OF DIRECTORS
139. The remuneration to be paid to the Directors, if any, shall be such remuneration as the Directors shall determine, provided that no cash remuneration shall be paid to any Director by the Company prior to the consummation of a Business Combination. The Directors shall also, whether prior to or after the consummation of a Business Combination, be entitled to be paid all travelling, hotel and other expenses properly incurred by them in connection with their attendance at meetings of Directors or committees of Directors, or general meetings of the Company, or separate meetings of the holders of any class of Shares or debentures of the Company, or otherwise in connection with the business of the Company or the discharge of their duties as a Director, or to receive a fixed allowance in respect thereof as may be determined by the Directors, or a combination partly of one such method and partly the other.
140. Directors may by resolution approve additional remuneration to any Director for any services which in the opinion of the Directors go beyond that Director’s ordinary routine work as a Director. Any fees paid to a Director who is also counsel, attorney or solicitor to the Company, or otherwise serves it in a professional capacity shall be in addition to their remuneration as a Director.
SEAL
141. (a) The Company may, if the Directors so determine, have a Seal. The Seal shall only be used by the authority of the Directors or of a committee of the Directors authorised by the Directors. Every instrument to which the Seal has been affixed shall be signed by one person who shall be either a Director some Officer or other person appointed by the Directors for the purpose.
(b) The Company may have for use in any place or places outside the Cayman Islands a duplicate Seal or Seals each of which shall be a facsimile of the Common Seal of the Company and, if the Directors so determine, with the addition on its face of the name of every place where it is to be used.
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(c) A Director or Officer or representative or attorney of the Company may without further authority of the Directors affix the Seal of the Company over their signature alone to any document of the Company required to be authenticated by them under Seal or to be filed with the Registrar of Companies in the Cayman Islands or elsewhere wheresoever.
DIVIDENDS, DISTRIBUTIONS AND RESERVES
142. Subject to the Act and this Article and except as otherwise provided by the rights attached to any Shares, the Directors may resolve to pay Dividends and other distributions on Shares in issue and authorise payment of the Dividends or other distributions out of the funds of the Company lawfully available therefor. A Dividend shall be deemed to be an interim Dividend unless the terms of the resolution pursuant to which the Directors resolve to pay such Dividend specifically state that such Dividend shall be a final Dividend. No Dividend or other distribution shall be paid except out of the realised or unrealised profits of the Company, out of the share premium account or as otherwise permitted by law.
143. The Directors may deduct from any dividend or distribution payable to any Member all sums of money (if any) presently payable by the Member to the Company on account of calls or otherwise.
144. Except as otherwise provided by the rights attached to any Shares, all Dividends and other distributions shall be paid according to the par value of the Shares that a Member holds. If any Share is issued on terms providing that it shall rank for Dividend as from a particular date, that Share shall rank for Dividend accordingly.
145. The Directors may, before declaring any dividends or distributions, set aside such sums as they think proper as a reserve or reserves which shall, at the discretion of the Directors, be applicable for any purpose of the Company and pending such application may, at the like discretion, either be employed in the business of the Company or be invested in such investments (other than shares of the Company) as the Directors may from time to time think fit. The Directors may also, without placing the same to reserve, carry forward any profits which they may think prudent not to dividend.
146. No dividend or distribution shall be payable except out of the profits of the Company, realised or unrealised, or out of the share premium account or as otherwise permitted by the Act.
147. Subject to the rights of persons, if any, entitled to shares with special rights as to dividends or distributions, all dividends or distributions shall be declared and paid according to the amounts paid or credited as paid on the Shares in respect whereof the dividend is paid but no amount paid or credited as paid on a share in advance of calls shall be treated for the purposes of this Article as paid on the share.
148. The Directors may resolve that any dividend or distribution may be paid either wholly or partly by the distribution of specific assets and, in particular, of paid-up shares or debentures of any other company or in any one or more of such ways. Where any difficulty arises in regard to such distribution, the Directors may settle the same as they think expedient and, in particular, may issue fractional certificates and fix the value for distribution of such specific assets or any part thereof and may determine that cash payments shall be made to any Members upon the footing of the value so fixed, in order to adjust the rights of all Members, and may vest any such specific assets in trustees upon trust for the Members entitled to the dividend as may seem expedient to the Directors.
149. Any dividend, other distribution, interest or other monies payable in cash in respect of Shares may be paid by wire transfer to the holder or by cheque or warrant sent through the post directed to the registered address of the holder or, in the case of joint holders, to the registered address of the holder who is first named on the Register of Members or to such person and to such address as such holder or joint holders may in writing direct. Every such cheque or warrant shall be made payable to the order of the person to whom it is sent. Any one of two or more joint holders may give effectual receipts for any Dividends, other distributions, bonuses, or other monies payable in respect of the Share held by them as joint holders.
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150. No dividend or other distribution shall bear interest against the Company.
151. Any Dividend or other distribution which cannot be paid to a Member and/or which remains unclaimed after six months from the date on which such Dividend or other distribution becomes payable may, in the discretion of the Directors, be paid into a separate account in the Company’s name, provided that the Company shall not be constituted as a trustee in respect of that account and the Dividend or other distribution shall remain as a debt due to the Member. Any Dividend or other distribution which remains unclaimed after a period of six years from the date on which such Dividend or other distribution becomes payable shall be forfeited and shall revert to the Company.
CAPITALISATION OF PROFITS
152. The Directors may at any time capitalise any sum standing to the credit of any of the Company’s reserve accounts or funds (including the share premium account and capital redemption reserve fund) or any sum standing to the credit of the profit and loss account or otherwise available for distribution; appropriate such sum to Members in the proportions in which such sum would have been divisible amongst such Members had the same been a distribution of profits by way of Dividend or other distribution; and apply such sum on their behalf in paying up in full unissued Shares for allotment and distribution credited as fully paid-up to and amongst them in the proportion aforesaid. In such event the Directors shall do all acts and things required to give effect to such capitalisation, with full power given to the Directors to make such provisions as they think fit in the case of Shares becoming distributable in fractions (including provisions whereby the benefit of fractional entitlements accrue to the Company rather than to the Members concerned). The Directors may authorise any person to enter on behalf of all of the Members interested into an agreement with the Company providing for such capitalisation and matters incidental or relating thereto and any agreement made under such authority shall be effective and binding on all such Members and the Company.
BOOKS OF ACCOUNT
153. The Directors shall cause proper books of account (including, where applicable, material underlying documentation including contracts and invoices) to be kept with respect to:
(a) all sums of money received and expended by the Company and the matters in respect of which the receipt and expenditure takes place;
(b) all sales and purchases of goods by the Company; and
(c) the assets and liabilities of the Company.
Proper books of account shall not be deemed to be kept with respect to the matters aforesaid if there are not kept such books of account as are necessary to give a true and fair view of the state of the Company’s affairs and to explain its transactions.
154. The Directors shall determine whether and to what extent and at what times and places and under what conditions or regulations the accounts and books of the Company or any of them shall be open to the inspection of Members not being Directors and no Member (not being a Director) shall have any right of inspecting any account or book or document of the Company except as conferred by law or authorised by the Directors or by the Company in general meeting.
155. The Directors may cause to be prepared and to be laid before the Company in general meeting profit and loss accounts, balance sheets, group accounts (if any) and such other reports and accounts as may be required by law.
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AUDIT
156. The Directors may appoint an Auditor of the Company who shall hold office on such terms as the Directors determine.
157. The remuneration of the Auditor shall be fixed by the Audit Committee, if one exists.
158. Without prejudice to the freedom of the Directors to establish any other committee, if the Shares (or depositary receipts therefor) are listed or quoted on the Designated Stock Exchange, and if required by the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law, the Directors shall establish and maintain an Audit Committee as a committee of the Directors and shall adopt a formal written Audit Committee charter and review and assess the adequacy of the formal written charter on an annual basis. The composition and responsibilities of the Audit Committee shall comply with the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law. The Audit Committee shall meet at least once every financial quarter, or more frequently as circumstances dictate.
159. If the shares (or depositary receipts therefor) are listed or quoted on the Designated Stock Exchange, the Company shall conduct an appropriate review of all related party transactions on an ongoing basis and shall utilise the Audit Committee for the review and approval of potential conflicts of interest.
160. If the office of Auditor becomes vacant by resignation or death of the Auditor, or by their becoming incapable of acting by reason of illness or other disability at a time when their services are required, the Directors shall fill the vacancy and determine the remuneration of such Auditor.
161. Every Auditor of the Company shall have a right of access at all times to the books and accounts and vouchers of the Company and shall be entitled to require from the Directors and Officers of the Company such information and explanation as may be necessary for the performance of the duties of the auditors.
162. Auditors shall, if so required by the Directors, make a report on the accounts of the Company during their tenure of office at the next annual general meeting following their appointment in the case of a company which is registered with the Registrar of Companies as an ordinary company, and at the next extraordinary general meeting following their appointment in the case of a company which is registered with the Registrar of Companies as an exempted company, and at any other time during their term of office, upon request of the Directors or any general meeting of the Members.
163. Any payment made to members of the Audit Committee (if one exists) shall require the review and approval of the Directors, with any Director interested in such payment abstaining from such review and approval.
164. The Audit Committee shall monitor compliance with the terms of the IPO and, if any non-compliance is identified, the Audit Committee shall be charged with the responsibility to take all action necessary to rectify such non-compliance or otherwise cause compliance with the terms of the IPO.
165. At least one member of the Audit Committee shall be an “audit committee financial expert” as determined by the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or otherwise under Applicable Law. The “audit committee financial expert” shall have such past employment experience in finance or accounting, requisite professional certification in accounting, or any other comparable experience or background which results in the individual’s financial sophistication.
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NOTICES
166. Notices shall be in writing and may be given by the Company to any Member either personally or by sending it by courier, post, telex, fax or email to such Member or to such Member’s address as shown in the Register of Members (or where the notice is given by email by sending it to the email address provided by such Member). Notice may also be served Notice may also be served by Electronic Communication in accordance with the rules and regulations of the Designated Stock Exchange, the Securities and Exchange Commission and/or any other competent regulatory authority or by placing it on the Company’s Website.
167. Where a notice is sent by
(a) courier; service of the notice shall be deemed to be effected by delivery of the notice to a courier company, and shall be deemed to have been received on the third day (not including Saturdays or Sundays or public holidays) following the day on which the notice was delivered to the courier;
(b) post, service of the notice shall be deemed to be effected by properly addressing, pre-paying and posting a letter containing the notice and shall be deemed to have been received on the fifth day (not including Saturdays or Sundays or public holidays in the Cayman Islands) following the day on which the notice was posted;
(c) telex or fax; service of the notice shall be deemed to be effected by properly addressing and sending such notice and shall be deemed to have been received on the same day that it was transmitted;
(d) email or other Electronic Communication; service of the notice shall be deemed to be effected by transmitting the email to the email address provided by the intended recipient and shall be deemed to have been received on the same day that it was sent, and it shall not be necessary for the receipt of the email to be acknowledged by the recipient; and
(e) placing it on the Company’s Website; service of the notice shall be deemed to have been effected one hour after the notice or document was placed on the Company’s Website.
168. A notice may be given by the Company to the person or persons which the Company has been advised are entitled to a Share or Shares in consequence of the death or bankruptcy of a Member in the same manner as other notices which are required to be given under the Articles and shall be addressed to them by name, or by the title of representatives of the deceased, or trustee of the bankrupt, or by any like description at the address supplied for that purpose by the persons claiming to be so entitled, or at the option of the Company by giving the notice in any manner in which the same might have been given if the death or bankruptcy had not occurred.
169. Notice of every general meeting shall be given in any manner authorised by the Articles to every holder of Shares carrying an entitlement to receive such notice on the record date for such meeting except that in the case of joint holders the notice shall be sufficient if given to the joint holder first named in the Register of Members and every person upon whom the ownership of a Share devolves because they are a legal personal representative or a trustee in bankruptcy of a Member where the Member but for their death or bankruptcy would be entitled to receive notice of the meeting, and no other person shall be entitled to receive notices of general meetings.
LIQUIDATION OF THE COMPANY
170. If the Company shall be wound up, the liquidator shall apply the assets of the Company in satisfaction of creditors’ claims in such manner and order as such liquidator thinks fit. Subject to the rights attaching to any Shares, in a winding up:
(a) If the assets available for distribution amongst the Members shall be insufficient to repay the whole of the Company’s issued share capital, such assets shall be distributed so that, as nearly as may be, the losses shall be borne by the Members in proportion to the par value of the Shares held by them; or
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(b) The assets available for distribution amongst the Members shall be more than sufficient to repay the whole of the Company’s issued share capital at the commencement of the winding up, the surplus shall be distributed amongst the Members in proportion to the par value of the Shares held by them at the commencement of the winding up subject to a deduction from those Shares in respect of which there are monies due, of all monies payable to the Company for unpaid calls or otherwise.
171. If the Company shall be wound up the liquidator may, subject to the rights attaching to any Shares and with the approval of a Special Resolution of the Company and any other approval required by the Act, divide amongst the Members in kind the whole or any part of the assets of the Company (whether such assets shall consist of property of the same kind or not) and may for that purpose value any assets and determine how the division shall be carried out as between the Members or different classes of Members. The liquidator may, with the like approval, vest the whole or any part of such assets in trustees upon such trusts for the benefit of the Members as the liquidator, with the like approval, shall think fit, but so that no Member shall be compelled to accept any asset upon which there is a liability.
INDEMNITY
172. Every Director and Officer (which for the avoidance of doubt, shall not include auditors of the Company), together with every former Director and former Officer (each an “Indemnified Person”) shall to the maximum extent permitted by Cayman Islands law be indemnified out of the assets of the Company against any liability, action, proceeding, claim, demand, costs, damages or expenses, including legal expenses, whatsoever which they or any of them may incur as a result of any act or failure to act in carrying out their functions other than such liability (if any) that they may incur by reason of their own actual fraud, wilful neglect or wilful default. No Indemnified Person shall be liable to the Company for any loss or damage incurred by the Company as a result (whether direct or indirect) of the carrying out of their functions unless that liability arises through the actual fraud, wilful neglect or wilful default of such Indemnified Person. No person shall be found to have committed actual fraud, wilful neglect or wilful default under this Article unless or until a court of competent jurisdiction shall have made a finding to that effect.
173. The Company shall advance to each Indemnified Person reasonable attorneys’ fees and other costs and expenses incurred in connection with the defence of any action, suit, proceeding or investigation involving such Indemnified Person for which indemnity will or could be sought. In connection with any advance of any expenses hereunder, the Indemnified Person shall execute an undertaking to repay the advanced amount to the Company if it shall be determined by final judgment or other final adjudication that such Indemnified Person was not entitled to indemnification pursuant to this Article. If it shall be determined by a final judgment or other final adjudication that such Indemnified Person was not entitled to indemnification with respect to such judgment, costs or expenses, then such party shall not be indemnified with respect to such judgment, costs or expenses and any advancement shall be returned to the Company (without interest) by the Indemnified Person.
174. The Directors, on behalf of the Company, may purchase and maintain insurance for the benefit of any Director or Officer against any liability which, by virtue of any rule of law, would otherwise attach to such person in respect of any negligence, default, breach of duty or breach of trust of which such person may be guilty in relation to the Company.
FINANCIAL YEAR
175. Unless the Directors otherwise prescribe, the financial year of the Company shall end on 31st December in each year and, following the year of incorporation, shall begin on 1st January in each year.
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TRANSFER BY WAY OF CONTINUATION
176. If the Company is exempted as defined in the Act, it shall, subject to the provisions of the Act, and with the sanction of a Special Resolution, have the power to register by way of continuation as a body corporate under the laws of any jurisdiction outside the Cayman Islands and to be deregistered in the Cayman Islands.
177. Prior to the closing of a Business Combination:
(a) Only the Class B Shares shall carry the right to vote on any resolution of the shareholders to approve any transfer by way of continuation pursuant to this Article (including any Special Resolution required to amend the constitutional documents of the Company or to adopt new constitutional documents of the Company, in each case, as a result of the Company approving a transfer by way of continuation in a jurisdiction outside the Cayman Islands); and
(b) This Article 177(b) may only be amended by a Special Resolution passed by at least nine-tenths of such Members as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at a general meeting of which notice specifying the intention to propose the resolution as a Special Resolution has been given, or by way of unanimous written resolution.
MERGERS AND CONSOLIDATIONS
178. The Company shall, with the approval of a Special Resolution, have the power to merge or consolidate with one or more constituent companies (as defined in the Act), upon such terms as the Directors may determine.
BUSINESS COMBINATION
179. Notwithstanding any other provision of these Articles, Articles 179 through 192 (the “Business Combination Articles”) shall apply during the period commencing upon the adoption of these Articles and terminating upon the first to occur of the consummation of a Business Combination and the full distribution of the Trust Account pursuant to these Business Combination Articles. In the event of a conflict between any of the Business Combination Articles and any other Articles, the provisions of the Business Combination Articles shall prevail.
180. Prior to the consummation of a Business Combination, the Company shall either:
(a) submit such Business Combination to its Members for approval; or
(b) provide Members with the opportunity to have their Shares repurchased by means of a tender offer for a per-Share repurchase price payable in cash, equal to the aggregate amount then on deposit in the Trust Account, calculated as of two business days prior to the consummation of such Business Combination, including interest earned on the Trust Account (net of taxes paid or payable, if any), divided by the number of then issued Public Shares. Such obligation to repurchase Shares is subject to the completion of the proposed Business Combination to which it relates.
181. If the Company initiates any tender offer in accordance with Rule 13e-4 and Regulation 14E of the Exchange Act in connection with a proposed Business Combination, it shall file tender offer documents with the Securities and Exchange Commission prior to completing such Business Combination which contain substantially the same financial and other information about such Business Combination and the redemption rights as is required under Regulation 14A of the Exchange Act. If, alternatively, the Company holds a general meeting to approve a proposed Business Combination, the Company will conduct any redemptions in conjunction with a proxy solicitation pursuant to Regulation 14A of the Exchange Act, and not pursuant to the tender offer rules, and file proxy materials with the Securities and Exchange Commission.
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182. At a general meeting called for the purposes of approving a Business Combination pursuant to these Articles, in the event that such Business Combination is approved by Ordinary Resolution, the Company shall be authorised to consummate such Business Combination.
183. Any Member holding Public Shares who is not the Sponsor, a Founder, Officer or Director may, at least two business days’ prior to any vote on a Business Combination, elect to have their Public Shares redeemed for cash, in accordance with any applicable requirements provided for in the related proxy materials (the “Business Combination Redemption”), provided that no such Member acting together with any Affiliate of their or any other person with whom they are acting in concert or as a partnership, limited partnership, syndicate, or other group (including, for the avoidance of doubt, a “group” (as defined under Section 13 of the Exchange Act) for the purposes of acquiring, holding, or disposing of Shares may exercise this redemption right with respect to more than 15% of the Public Shares in the aggregate without the prior consent of the Company and provided further that any beneficial holder of Public Shares on whose behalf a redemption right is being exercised must identify itself to the Company in connection with any redemption election in order to validly redeem such Public Shares. If so demanded, the Company shall pay any such redeeming Member, regardless of whether they are voting for or against such proposed Business Combination, a per-Share redemption price payable in cash, equal to the aggregate amount then on deposit in the Trust Account calculated as of two business days prior to the consummation of the Business Combination, including interest earned on the Trust Account (such interest shall be net of taxes payable) and not previously released to the Company to pay its taxes, divided by the number of then issued Public Shares (such redemption price being referred to herein as the “Redemption Price”), but only in the event that the applicable proposed Business Combination is approved and in connection with its consummation.
184. A Member may not withdraw a Redemption Notice once submitted to the Company unless the Directors determine (in their sole discretion) to permit the withdrawal of such redemption request (which they may do in whole or in part). The Directors (in their sole discretion) shall determine the timing of such Business Combination Redemption of Public Shares in order to facilitate the consummation and/or closing of a Business Combination.
185. In the event that:
(a) the Company does not consummate a Business Combination within 24 months from the consummation of the IPO or such later time as the Members may approve by Special Resolution in accordance with the Articles (the “Deadline Date”); or
(b) the Directors, acting in good faith, determine by resolution, and provide notice in writing to the Members, that the Company is unable to consummate a Business Combination by the Deadline Date,
the Company shall:
(i) cease all operations except for the purpose of winding up;
(ii) promptly as reasonably possible but not more than ten business days thereafter, redeem the Public Shares, at a per-Share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to the Company (net of taxes payable and less up to US$100,000 of interest to pay dissolution expenses), divided by the number of then Public Shares in issue, which redemption will completely extinguish public Members’ rights as Members (including the right to receive further liquidation distributions, if any); and
(iii) as promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining Members and the Directors, liquidate and dissolve,
subject in each case to its obligations under Cayman Islands law to provide for claims of creditors and other requirements of Applicable Law.
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186. In the event any amendment is made to the Articles (an “Amendment”):
(a) to modify the substance or timing of the Company’s obligation to allow redemption in connection with a Business Combination or redeem 100% of the Public Shares if the Company does not consummate a Business Combination by the Deadline Date, or such later time as the Members may approve by Special Resolution in accordance with the Articles; or
(b) with respect to any other material provision relating to Members’ rights or pre-Business Combination activity, any Member holding Public Shares who is not the Sponsor, a Founder, Officer or Director may, at least two business days’ prior to any vote on an Amendment, elect to have their Public Shares redeemed for cash, in accordance with any applicable requirements provided for in the related proxy materials (the “Amendment Redemption”), provided that no such Member acting together with any Affiliate of their or any other person with whom they are acting in concert or as a partnership, limited partnership, syndicate, or other group (including, for the avoidance of doubt, a “group” (as defined under Section 13 of the Exchange Act) for the purposes of acquiring, holding, or disposing of Shares may exercise this redemption right with respect to more than 15% of the Public Shares in the aggregate without the prior consent of the Company and provided further that any beneficial holder of Public Shares on whose behalf a redemption right is being exercised must identify itself to the Company in connection with any redemption election in order to validly redeem such Public Shares. If so demanded, the Company shall pay any such redeeming Member, regardless of whether they are voting for or against such proposed Amendment, the Redemption Price, but only in the event that the applicable proposed Amendment is approved. The Directors (in their sole discretion) shall determine the timing of any such Amendment Redemption.
187. A holder of Public Shares shall be entitled to receive distributions from the Trust Account only in the event of a Business Combination Redemption, an Amendment Redemption, a repurchase of Shares by means of a tender offer, or a distribution of the Trust Account pursuant to these Business Combination Articles. In no other circumstance shall a holder of Public Shares have any right or interest of any kind in the Trust Account.
188. Except in connection with the conversion of Class B Shares into Class A Shares pursuant to the Class B Ordinary Share Conversion Article hereof where the holders of such Shares have waived any right to receive funds from the Trust Account, after the issue of Public Shares, and prior to the consummation of a Business Combination, the Company shall not issue additional Shares or any other securities that would entitle the holders thereof to:
(a) receive funds from the Trust Account; or
(b) vote as a class with Public Shares on a Business Combination.
189. The uninterested Independent Directors shall approve any transaction or transactions between the Company and any of the following parties:
(a) any Member owning an interest in the voting power of the Company that gives such Member a significant influence over the Company; and
(b) any Director or Officer and any Affiliate of such Director or Officer.
190. A Director may vote in respect of a Business Combination in which such Director has a conflict of interest with respect to the evaluation of such Business Combination. Such Director must disclose such interest or conflict to the other Directors.
191. As long as the securities of the Company are listed on a Designated Stock Exchange, the Company must complete one or more Business Combinations having an aggregate fair market value of at least 80% of the assets held in the Trust Account (excluding the deferred underwriting commissions and taxes payable on the income earned on the Trust Account) at the time of the Company’s signing a definitive agreement in connection with a Business Combination. A Business Combination must not be solely effectuated with another blank cheque company or a similar company with nominal operations.
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192. The Company may enter into a Business Combination with a target business that is Affiliated with the Sponsor, a Founder, a Director or an Officer. In the event the Company seeks to consummate a Business Combination with a target that is Affiliated with the Sponsor, a Founder, a Director or an Officer, the Company, or a committee of Independent Directors, will obtain an opinion from an independent investment banking firm or another valuation or appraisal firm that regularly renders fairness opinions on the type of target business the Company is seeking to acquire that is a member of the United States Financial Industry Regulatory Authority or an independent accounting firm that the consideration to paid by the Company in connection with such a Business Combination is fair to the Company from a financial point of view.
193. The initial Business Combination must be approved by a majority of the Independent Directors.
CERTAIN TAX FILINGS
194. Each Tax Filing Authorised Person and any such other person, acting alone, as any Director shall designate from time to time, are authorised to file or execute and provide U.S. Internal Revenue Service tax forms SS-4, W-8 BEN, W-8 IMY, W-9, 8832 and 2553 and such other similar tax forms as are customary to file with any U.S. federal or state governmental authorities or foreign governmental authorities, or provide to withholding agents in connection with the formation, activities and/or elections of the Company and such other tax forms as may be approved from time to time by any Director or Officer. The Company further ratifies and approves any such filing made by any Tax Filing Authorised Person or such other person prior to the date of the Articles.
BUSINESS OPPORTUNITIES
195. To the fullest extent permitted by Applicable Law, no individual serving as a Director or an Officer (“Management”) shall have any duty, except and to the extent expressly assumed by contract, to refrain from engaging directly or indirectly in the same or similar business activities or lines of business as the Company. To the fullest extent permitted by Applicable Law, the Company renounces any interest or expectancy of the Company in, or in being offered an opportunity to participate in, any potential transaction or matter which may be a corporate opportunity for Management, on the one hand, and the Company, on the other. Except to the extent expressly assumed by contract, to the fullest extent permitted by Applicable Law, Management shall have no duty to communicate or offer any such corporate opportunity to the Company and shall not be liable to the Company or its Members for breach of any fiduciary duty as a Member, Director and/or Officer solely by reason of the fact that such party pursues or acquires such corporate opportunity for itself, directs such corporate opportunity to another person, or does not communicate information regarding such corporate opportunity to the Company.
196. Except as provided elsewhere in this Article, the Company hereby renounces any interest or expectancy of the Company in, or in being offered an opportunity to participate in, any potential transaction or matter which may be a corporate opportunity for both the Company and Management, about which a Director and/or Officer who is also a member of Management acquires knowledge.
197. To the extent a court might hold that the conduct of any activity related to a corporate opportunity that is renounced in this Article to be a breach of duty to the Company or its Members, the Company hereby waives, to the fullest extent permitted by Applicable Law, any and all claims and causes of action that the Company may have for such activities. To the fullest extent permitted by Applicable Law, the provisions of this Article apply equally to activities conducted in the future and that have been conducted in the past.
EXCLUSIVE JURISDICTION AND FORUM
198. Unless the Company consents in writing to the selection of an alternative forum, the courts of the Cayman Islands shall have exclusive jurisdiction over any claim or dispute arising out of or in connection with the Memorandum, the Articles or otherwise related in any way to each Member’s shareholding in the Company, including but not limited to:
(a) any derivative action or proceeding brought on behalf of the Company;
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(b) any action asserting a claim of breach of any fiduciary or other duty owed by any current or former Director, Officer or other employee of the Company to the Company or the Members;
(c) any action asserting a claim arising pursuant to any provision of the Act, the Memorandum or the Articles; or
(d) any action asserting a claim against the Company governed by the “Internal Affairs Doctrine” (as such concept is recognised under the laws of the United States of America).
199. Each Member irrevocably submits to the exclusive jurisdiction of the courts of the Cayman Islands over all such claims or disputes.
200. Without prejudice to any other rights or remedies that the Company may have, each Member acknowledges that damages alone would not be an adequate remedy for any breach of the selection of the courts of the Cayman Islands as exclusive forum and that accordingly the Company shall be entitled, without proof of special damages, to the remedies of injunction, specific performance or other equitable relief for any threatened or actual breach of the selection of the courts of the Cayman Islands as exclusive forum.
201. These Articles 197 to 200 inclusive shall not apply to any action or suits brought to enforce any liability or duty created by the United States Securities Act of 1933, as amended, the Exchange Act, or any claim for which the federal district courts of the United States of America are, as a matter of the laws of the United States, the sole and exclusive forum for determination of such a claim.
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PRELIMINARY COPY YOUR VOTE IS IMPORTANT. PLEASE VOTE TODAY. Vote by Internet - QUICK HHH EASY IMMEDIATE - 24 Hours a Day, 7 Days a Week or by Mail 2026 CSLM DIGITAL ASSET ACQUISITION CORP III, LTD Your Internet vote authorizes the named proxies to vote your shares in the same manner as if you marked, signed and returned your proxy card. Votes submitted electronically over the Internet must be received by 11: 59 p. m., Eastern Time, on November 6, 2026. INTERNET – www.cstproxyvote.com Use the Internet to vote your proxy. Have your proxy card available when you access the above website. Follow the prompts to vote your shares. VOTE AT THE MEETING – To attend the annual general meeting, visit: https:// www.cstproxy.com/ [ Ɣ ]/2026 MAIL – Mark, sign and date your proxy card and return it in the postage - paid envelope provided. P RO XY s FOLD HERE • DO NOT SEPARATE • INSERT IN ENVELOPE PROVIDED s THE BOARD OF DIRECTORS RECOMMENDS A VOTE “FOR” PROPOSALS 1, 2 AND 3. FOR AGAINST ABSTAIN 1. Name Change Proposal — To approve, as a special resolution, that the name of the Company be changed from “CSLM Digital Asset Acquisition Corp III, Ltd” to “First Digital Acquisition Corp Ltd.” FOR AGAINST ABSTAIN 2. Articles Amendment Proposal — To approve, as a special resolution, subject to the approval of the Name Change Proposal, that the Third Amended and Restated Memorandum and Articles of Association of the Company, a copy of which is attached to the accompanying proxy statement as Annex A, be adopted in substitution for, and to the exclusion of, the existing Second Amended and Restated Memorandum and Articles of Association of the Company to reflect the Name Change Proposal. FOR AGAINST ABSTAIN 3. Adjournment Proposal — To approve, as an ordinary resolution, the adjournment of the Annual General Meeting to a later date or dates, if necessary or convenient, to ensure that any required supplement or amendment to these proxy materials is provided to shareholders or to permit further solicitation and vote of proxies if, based upon the tabulated vote at the time of the Annual General Meeting, there are not sufficient votes to approve the Name Change Proposal or Articles Amendment Proposal or for any other reason approved by the Board of the Company. CONTROL NUMBER Signature Signature, if held jointly Date 2026. Note: Please sign exactly as name appears hereon. When shares are held by joint owners, both should sign. When signing as att orn ey, executor, administrator, trustee, guardian, or corporate officer, please give title as such. Please mark li k e t h is X your votes PLEASE DO NOT RETURN THE PROXY CARD IF YOU ARE VOTING ELECTRONICALLY.
2026 Important Notice Regarding the Internet Availability of Proxy Materials for the Annual General Meeting of Shareholders to be Held on November 10, 2026 To view the Proxy Statement and to attend the Annual General Meeting, please go to: https:// www.cstproxy.com/ [ Ɣ ]/2026 s FOLD HERE • DO NOT SEPARATE • INSERT IN ENVELOPE PROVIDED s PROXY THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS CSLM DIGITAL ASSET ACQUISITION CORP III, LTD ANNUAL GENERAL MEETING OF SHAREHOLDERS — NOVEMBER 10, 2026 The undersigned hereby appoints Vikas Mittal as proxy, with full power to appoint his substitute, and hereby authorizes him to represent and to vote, as designated on the reverse side hereof, all of the Class A ordinary shares and Class B ordinary shares of CSLM Digital Asset Acquisition Corp III, Ltd held of record by the undersigned at the close of business on October, 2026, the record date, at the Annual General Meeting of Shareholders of CSLM Digital Asset Acquisition Corp III, Ltd to be held on November 10, 2026 at 10: 00 a. m., New York time, at the offices of Loeb & Loeb LLP, 345 Park Avenue, New York, New York 10154, and virtually via teleconference using the following dial - in information, and at any adjournment or postponement thereof. THIS PROXY WHEN PROPERLY EXECUTED WILL BE VOTED AS INDICATED. IF NO CONTRARY INDICATION IS MADE, THIS PROXY WILL BE VOTED “FOR” PROPOSAL 1, “FOR” PROPOSAL 2 AND “FOR” PROPOSAL 3, AND, TO THE EXTENT PERMITTED, IN ACCORDANCE WITH THE JUDGMENT OF THE PERSON NAMED AS PROXY HEREIN ON PROCEDURAL MATTERS INCIDENT TO THE CONDUCT OF THE ANNUAL GENERAL MEETING. THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS. (Continued and to be marked, dated and signed on the other side)