[SCHEDULE 13D] Talon Capital Corp. SEC Filing
Filing Impact
Filing Sentiment
Form Type
SCHEDULE 13D
Talon Capital Sponsor LLC and Charles S. Leykum report beneficial ownership of 8,790,000 ordinary shares, representing 25.9% of Talon Capital Corp.'s outstanding ordinary shares on a 33,939,000 share base. The holdings consist of 530,000 Class A ordinary shares acquired as private placement units and 8,260,000 Founder (Class B) shares that are convertible into Class A shares one-for-one upon an initial business combination. The Sponsor paid an aggregate of $5,325,000 for the reported shares using its working capital.
The filing discloses voting and lock-up arrangements: the Sponsor agreed to vote in favor of any proposed business combination, not to redeem certain public shares in connection with that vote, and the Placement Units and underlying securities are subject to transfer restrictions until 30 days after a business combination. Registration and indemnity provisions are also summarized and incorporated by reference to agreements filed as exhibits.
Positive
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Insights
TL;DR Sponsor ownership of 25.9% is material but typical for SPAC sponsors; financing and lock-ups align sponsor incentives with completing a business combination.
The Sponsor and Mr. Leykum report joint beneficial ownership of 8.79 million shares (25.9%). The Sponsor funded the positions with $5.325 million of working capital and holds founder shares plus 530,000 placement units bought at IPO. The reported agreements (Founder Shares Subscription, Private Placement Units Purchase Agreement, Insider Letter, Registration Rights Agreement) create enforcement of voting commitments and transfer restrictions and provide customary registration rights. For analysts, the key takeaways are concentrated sponsor ownership, aligned incentives to consummate a deal, and potential overhang from lock-up expiration.
TL;DR Reporting shows meaningful sponsor control and contractual commitments that materially affect shareholder rights and post-IPO governance.
The Sponsor's 25.9% stake and the Insider Letter provisions (voting in favor of a business combination, restrictions on redemptions, and non‑participation in liquidation distributions) materially shape governance outcomes for public shareholders. The Sponsor also agreed to indemnify certain claims that could protect the Trust Account value for public holders. Lock-up terms for the private placement units limit transferability until 30 days after a business combination, concentrating control through the transaction window. These features are material to investor governance and liquidity expectations.
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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549 |
SCHEDULE 13D
Under the Securities Exchange Act of 1934
|
Talon Capital Corp. (Name of Issuer) |
Class A Ordinary Shares, $0.0001 par value (Title of Class of Securities) |
G86652107 (CUSIP Number) |
Charles Leykum, CEO Talon Capital Corp., 440 Louisiana Street, Suite 1050 Houston, TX, 77002 (281) 407-0686 (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) |
09/10/2025 (Date of Event Which Requires Filing of This Statement) |
If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§ 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box.
The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the
Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other
provisions of the Act (however, see the Notes).
SCHEDULE 13D
|
| CUSIP No. | G86652107 |
| 1 |
Name of reporting person
TALON CAPITAL SPONSOR LLC | ||||||||
| 2 | Check the appropriate box if a member of a Group (See Instructions)
(a)
(b) | ||||||||
| 3 | SEC use only | ||||||||
| 4 |
Source of funds (See Instructions)
WC | ||||||||
| 5 |
Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)
| ||||||||
| 6 | Citizenship or place of organization
DELAWARE
| ||||||||
| Number of Shares Beneficially Owned by Each Reporting Person With: |
| ||||||||
| 11 | Aggregate amount beneficially owned by each reporting person
8,790,000.00 | ||||||||
| 12 | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)
| ||||||||
| 13 | Percent of class represented by amount in Row (11)
25.9 % | ||||||||
| 14 | Type of Reporting Person (See Instructions)
OO |
Comment for Type of Reporting Person:
(1) Includes 530,000 of the Issuer's Class A ordinary shares, $0.0001 par value ("Class A Ordinary Shares") and 8,260,000 of the Issuer's Class B ordinary shares, $0.0001 par value ("Class B Ordinary Shares" and, together with the Class A Ordinary Shares, the "Ordinary Shares"), which are automatically convertible into Class A Ordinary Shares at the time of the Issuer's initial business combination on a one-for-one basis, or at any time prior to the Issuer's initial business combination, at the option of the holder, subject to adjustment as more fully described under the heading "Description of Securities--Ordinary Shares" in the Issuer's registration statement on Form S-1 (File No. 333-289674). The 530,000 Class A Ordinary Shares are included in units (each unit consisting of one Class A Ordinary Share and one-third of one redeemable warrant), acquired pursuant to a Private Placement Units Purchase Agreement by and between Talon Capital Sponsor LLC (the "Sponsor") and the Issuer.
(2) Excludes 176,667 Class A Ordinary Shares which will be issued upon the exercise of 176,667 warrants included in the private placement units.
SCHEDULE 13D
|
| CUSIP No. | G86652107 |
| 1 |
Name of reporting person
Charles S. Leykum | ||||||||
| 2 | Check the appropriate box if a member of a Group (See Instructions)
(a)
(b) | ||||||||
| 3 | SEC use only | ||||||||
| 4 |
Source of funds (See Instructions)
OO | ||||||||
| 5 |
Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)
| ||||||||
| 6 | Citizenship or place of organization
UNITED STATES
| ||||||||
| Number of Shares Beneficially Owned by Each Reporting Person With: |
| ||||||||
| 11 | Aggregate amount beneficially owned by each reporting person
8,790,000.00 | ||||||||
| 12 | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)
| ||||||||
| 13 | Percent of class represented by amount in Row (11)
25.9 % | ||||||||
| 14 | Type of Reporting Person (See Instructions)
IN |
Comment for Type of Reporting Person:
(1) Includes 530,000 of the Issuer's Class A ordinary shares, $0.0001 par value ("Class A Ordinary Shares") and 8,260,000 of the Issuer's Class B ordinary shares, $0.0001 par value ("Class B Ordinary Shares" and, together with the Class A Ordinary Shares, the "Ordinary Shares"), which are automatically convertible into Class A Ordinary Shares at the time of the Issuer's initial business combination on a one-for-one basis, or at any time prior to the Issuer's initial business combination, at the option of the holder, subject to adjustment as more fully described under the heading "Description of Securities--Ordinary Shares" in the Issuer's registration statement on Form S-1 (File No. 333-289674). The 530,000 Class A Ordinary Shares are included in units (each unit consisting of one Class A Ordinary Share and one-third of one redeemable warrant), acquired pursuant to a Private Placement Units Purchase Agreement by and between Talon Capital Sponsor LLC (the "Sponsor") and the Issuer.
(2) The Sponsor is the record holder of the shares reported herein. Mr. Charles S. Leykum is the managing member of Talon Capital Holdings, LLC, which is the managing member of the Sponsor. Therefore Mr. Leykum may be deemed to beneficially own the 530,000 Class A ordinary shares and 8,260,000 Class B ordinary shares, and ultimately exercise voting and dispositive power over the Class A ordinary shares and Class B ordinary shares held by the Sponsor. Mr. Leykum disclaims beneficial ownership of these shares except to the extent of any pecuniary interest therein.
(3) Excludes 176,667 Class A Ordinary Shares which will be issued upon the exercise of 176,667 warrants included in the private placement units.
SCHEDULE 13D
|
| Item 1. | Security and Issuer |
| (a) | Title of Class of Securities:
Class A Ordinary Shares, $0.0001 par value |
| (b) | Name of Issuer:
Talon Capital Corp. |
| (c) | Address of Issuer's Principal Executive Offices:
440 Louisiana Street, Suite 1050, Houston,
TEXAS
, 77002. |
| Item 2. | Identity and Background |
| (a) | This statement is filed by: (i) the Sponsor, which is the holder of record of approximately 25.9% of the issued and outstanding Ordinary Shares (33,939,000) based on the number of Class A Ordinary Shares (25,679,000) and Class B Ordinary Shares (8,260,000) outstanding as of September 16, 2025, as reported by the Issuer in its Current Report on Form 8-K, filed by the Issuer with the Securities and Exchange Commission (the "SEC") on September 16, 2025; and (ii) Mr. Charles S. Leykum, who is the managing member of Talon Capital Holdings, LLC, which is the managing member of the Sponsor. Therefore, Mr. Leykum may be deemed to beneficially own the 530,000 Class A ordinary shares and 8,260,000 Class B ordinary shares, and ultimately exercise voting and dispositive power over the Class A ordinary shares and Class B ordinary shares held by the Sponsor. All disclosures herein with respect to any Reporting Person are made only by such Reporting Person. Any disclosures herein with respect to persons other than the Reporting Persons are made on information and belief after making inquiry to the appropriate party. |
| (b) | The address of the principal business and principal office of each of the Sponsor and Charles S. Leykum, is 440 Louisiana Street, Suite 1050, Houston, TX 77002. |
| (c) | The Sponsor's principal business is to act as the Issuer's sponsor. |
| (d) | None of the Reporting Persons has, during the last five years, been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors). |
| (e) | None of the Reporting Persons has, during the last five years, been a party to civil proceeding of a judicial administrative body of competent jurisdiction and, as a result of such proceeding, was, or is subject to, a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding any violation with respect to such laws. |
| (f) | The Sponsor is a Delaware limited liability company. Mr. Leykum is a United States citizen. |
| Item 3. | Source and Amount of Funds or Other Consideration |
The aggregate purchase price for the Ordinary Shares currently beneficially owned by the Reporting Persons was $5,325,000. The source of these funds was the working capital of the Sponsor. | |
| Item 4. | Purpose of Transaction |
In connection with the organization of the Issuer, on May 19, 2025, the Sponsor paid $25,000, or approximately $0.004 per share, to cover certain of the Issuer's offering costs in exchange for 5,750,000 Class B Ordinary Shares (the "Founder Shares"), pursuant to the Founder Shares Subscription Agreement dated as of May 19, 2025 between the Sponsor and the Issuer (the "Founder Share Purchase Agreement") as more fully described in Item 6 of this Section 13D, which information is incorporated by reference. On August 8, 2025, the Issuer effected a 1 for 1.5 share split of the Founder Shares resulting in the Sponsor holding an aggregate of 8,625,000 Founder Shares. On August 19, 2025, the Sponsor transferred 20,000 Founder Shares to each of the independent directors at a purchase price of approximately $0.003 per share. As a result of the partial exercise and the forfeiture of the over-allotment option by the underwriters, 325,000 Founder Shares were forfeited by the Sponsor, resulting in the Sponsor holding 8,260,000 Founder Shares.
On September 10, 2025, simultaneously with the consummation of the Issuer's Initial Public Offering (the "IPO"), the Sponsor purchased 530,000 units ("Placement Units") of the Issuer at $10.00 per Placement Unit, pursuant to a Private Placement Units Purchase Agreement, dated as of September 10, 2025, by and between the Issuer and the Sponsor (the "Placement Units Purchase Agreement"), as more fully described in Item 6 of this Schedule 13D, which information is incorporated herein by reference. Each Placement Unit consists of one Class A Ordinary Share and one-third of one redeemable warrant (as described more fully in the Issuer's Final Prospectus dated September 8, 2025).
The Ordinary Shares owned by the Reporting Persons have been acquired for investment purposes. The Reporting Persons may make further acquisitions of the Ordinary Shares from time to time and, subject to certain restrictions, may dispose of any or all of the Ordinary Shares held by the Reporting Persons at any time depending on an ongoing evaluation of the investment in such securities, prevailing market conditions, other investment opportunities and other factors. However, certain of such shares are subject to certain lock-up restrictions as further described in Item 6 below. Except for the foregoing, the Reporting Persons have no plans or proposals which relate to, or could result in, any of the matters referred to in paragraphs (a) and (c) through (j) of Item 4 of Schedule 13D. With respect to paragraph (b) of Item 4, the Issuer is a blank check company formed for the purpose of effecting a merger, amalgamation, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses.
Under various agreements between the Issuer and the Reporting Persons as further described in Item 6 below, the Reporting Persons have agreed (A) to vote their shares in favor of any proposed business combination and (B) not to redeem any shares in connection with a shareholder vote (or tender offer) to approve (or in connection with) a proposed initial business combination. The Reporting Persons may, at any time and from time to time, review or reconsider their position, change their purpose or formulate plans or proposals with respect to the Issuer. | |
| Item 5. | Interest in Securities of the Issuer |
| (a) | The aggregate number and percentage of Ordinary Shares beneficially owned by the Reporting Persons (on the basis of a total of 33,939,000 Ordinary Shares, including 25,679,000 Class A ordinary shares and 8,260,000 Class B Ordinary Shares outstanding as of September 16, 2025, as reported by the Issuer in its Current Report on Form 8-K, filed by the Issuer with the SEC on September 16, 2025) are as follows:
Sponsor - Amount beneficially owned: 8,790,000 and Percentage: 25.9%; and
Charles S. Leykum - Amount beneficially owned: 8,790,000 and Percentage: 25.9%. |
| (b) | The aggregate number and percentage of Ordinary Shares beneficially owned by the Reporting Persons on the basis of a total of 33,939,000 Ordinary Shares, including 25,679,000 Class A ordinary shares and 8,260,000 Class B Ordinary Shares outstanding as of September 16, 2025, as reported by the Issuer in its Current Report on Form 8-K, filed by the Issuer with the SEC on September 16, 2025) are as follows:
Sponsor
Number of shares to which the Reporting Person has:
i. Sole power to vote or to direct the vote: 8,790,000,
ii. Shared power to vote or to direct the vote: 0,
iii. Sole power to dispose or to direct the disposition of: 8,790,000, and
iv. Shared power to dispose or to direct the disposition of: 0;
Charles S. Leykum
Number of shares to which the Reporting Person has:
i. Sole power to vote or to direct the vote: 8,790,000,
ii. Shared power to vote or to direct the vote: 0,
iii. Sole power to dispose or to direct the disposition of: 8,790,000,
iv. Shared power to dispose or to direct the disposition of: 0.
Mr. Charles S. Leykum is the managing member of Talon Capital Holdings, LLC, which is the managing member of the Sponsor. Therefore Mr. Leykum may be deemed to beneficially own the 530,000 Class A ordinary shares and 8,260,000 Class B ordinary shares, and ultimately exercise voting and dispositive power over the Class A ordinary shares and Class B ordinary shares held by the Sponsor. Mr. Leykum disclaims any beneficial ownership of the securities held by the Sponsor other than to the extent of any pecuniary interest he may have therein, directly or indirectly. |
| (c) | None of the Reporting Persons has effected any transactions of Ordinary Shares during the 60 days preceding the date of this report, except as described in Item 4 and Item 6 of this Schedule 13D, which information is incorporated herein by reference. |
| (d) | Not applicable. |
| (e) | Not applicable. |
| Item 6. | Contracts, Arrangements, Understandings or Relationships With Respect to Securities of the Issuer |
Founder Shares Subscription Agreement between the Issuer and Sponsor
On May 19, 2025, the Sponsor paid $25,000, or approximately $0.004 per share, to cover certain of the Issuer's offering costs in exchange for 5,750,000 Class B Ordinary Shares (the "Founder Shares"). The description of the Founder Shares Subscription Agreement is qualified in its entirety by reference to the full text of such agreement, a copy of which was filed as Exhibit 10.2 to the Registration Statement on Form S-1 initially filed by the Issuer with the SEC on August 15, 2025 (and is incorporated by reference herein as Exhibit 10.1).
Private Placement Units Purchase Agreement
On September 8, 2025, simultaneously with the consummation of the IPO, the Sponsor purchased 530,000 Placement Units pursuant to the Private Placement Units Purchase Agreement. The Placement Units and the securities underlying such Placement Units are subject to a lock up provision in the Private Placement Units Purchase Agreement, which provides that such securities shall not be transferable, saleable or assignable until 30 days after the consummation of the Issuer's initial business combination, subject to certain limited exceptions as described in the Insider Letter (as defined below). The description of the Private Placement Units Purchase Agreement is qualified in its entirety by reference to the full text of such agreement, a copy of which was filed by the Issuer as Exhibit 10.4 to the Current Report on Form 8-K filed by the Issuer with the SEC on September 12, 2025 (and is incorporated by reference herein as Exhibit 10.2).
Insider Letter Agreement
On September 8, 2025, in connection with the IPO, the Issuer, the Sponsor and certain other parties thereto entered into a letter agreement (the "Insider Letter"). Pursuant to the Insider Letter, the Sponsor and the Issuer's officers and directors agreed (A) to vote their Founder Shares, any Ordinary Shares underlying the Placement Units and any public shares in favor of any proposed business combination, except that it or he shall not vote any Class A Ordinary Shares that it or he purchased after the Issuer publicly announces its intention to engage in such proposed business combination for or against such proposed business combination, (B) not to propose an amendment to the Issuer's Amended and Restated Memorandum and Articles of Association (i) that would modify the substance or timing of the Issuer's obligation to redeem 100% of the public shares if the Issuer does not consummate a business combination within 24 months after the closing of the Public Offering, or (ii) with respect to any other provision relating to the rights of holders of Class A Ordinary Shares or pre-initial business combination activity, unless the Issuer provides the holders of public shares with the opportunity to redeem such shares upon approval of any such amendment at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Issuer's trust account set up in connection with the IPO (the "Trust Account") including interest earned on the funds held in the Trust Account and net of taxes payable, divided by the number of then outstanding public shares, (C) not to redeem any Ordinary Shares in connection with a shareholder vote to approve the Issuer's proposed initial business combination or a vote to amend the provisions of the Issuer's Amended and Restated Memorandum and Articles of Association relating to shareholders' rights or pre-business combination activity and (D) that the Founder Shares and any Ordinary Shares underlying the Placement Units shall not participate in any liquidating distribution upon winding up if a business combination is not consummated. The Sponsor also agreed that, in the event of the liquidation of the Trust Account of the Issuer, it will indemnify and hold harmless the Issuer against any and all loss, liability, claims, damage and expense whatsoever which the Issuer may become subject to as a result of any claim by any vendor or other person (other than the Company's independent public accountants) who is owed money by the Issuer for services rendered or products sold to or contracted for the Issuer, or by any target business with which the Issuer has entered into a letter of intent, confidentiality or other similar agreement or business combination agreement, but only to the extent necessary to ensure that such loss, liability, claim, damage or expense does not reduce the amount of funds in the Trust Account below (i) $10.00 per public share or (ii) such lesser amount per public share held in the Trust Account as of the date of the liquidation of the Trust Account, due to reductions in value of the trust assets, in each case net of taxes payable, if any; provided that such indemnity shall not apply if such vendor or prospective target business executes an agreement waiving any claims against the Trust Account. The description of the Insider Letter is qualified in its entirety by reference to the full text of such agreement, a copy of which was filed by the Issuer as Exhibit 10.1 to the Form 8-K filed by the Issuer with the SEC on September 12, 2025 (and is incorporated by reference herein as Exhibit 10.3).
Registration Rights Agreement
On September 8, 2025, in connection with the IPO, the Issuer, the Sponsor and other security holders entered into a registration rights agreement with the Issuer, pursuant to which the Sponsor was granted certain demand and "piggyback" registration rights, which will be subject to customary conditions and limitations. The summary of such registration rights agreement contained herein is qualified in its entirety by reference to the full text of such agreement, a copy of which was filed by the Issuer as Exhibit 10.3 to the Form 8-K filed by the Issuer with the SEC on September 12, 2025 (and is incorporated by reference herein as Exhibit 10.4). | |
| Item 7. | Material to be Filed as Exhibits. |
Exhibit 10.1 - Founder Shares Subscription Agreement, dated as of May 19, 2025, by and between the Issuer and the Sponsor (incorporated by reference to Exhibit 10.2 to the Registration Statement on Form S-1 initially filed by the Issuer with the SEC on August 15, 2025).
Exhibit 10.2 - Private Placement Units Purchase Agreement, dated as of September 8, 2025, by and between the Issuer and the Sponsor (incorporated by reference to Exhibit 10.4 to the Current Report on Form 8-K filed by the Issuer with the SEC on September 12, 2025).
Exhibit 10.3 - Insider Letter Agreement, dated as of September 8, 2025, by and among the Issuer, the Sponsor and the Issuer's officers and directors (incorporated by reference to Exhibit 10.1 to the Current Report on Form 8-K filed by the Issuer with the SEC on September 12, 2025).
Exhibit 10.4 - Registration Rights Agreement, dated as of September 8, 2025, by and among the Issuer, the Sponsor and other security holders (incorporated by reference to Exhibit 10.3 to the Current Report on Form 8-K filed by the Issuer with the SEC on September 12, 2025).
Exhibit - 99.1 - Joint Filing Agreement, September 19, 2025, by and among the Reporting Persons. |
| SIGNATURE | |
After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.
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Comments accompanying signature:
* Tricia Branker is signing on behalf of each of Talon Capital Sponsor LLC and Charles S. Leykum, in each case, pursuant to power of attorney letters dated September 2, 2025 and September 3, 2025, respectively, which were previously filed with the Commission as Exhibit 24 to Form 4s filed by each of Talon Capital Sponsor LLC and Charles S. Leykum on September 8, 2025, respectively, which letters are incorporated by reference into this Schedule 13D. |