Timer Prescaler Application Clarification

I did not understand the significance of the number 65536 in the below code

pHandle->OvfFreq = (uint16_t)(pHandle->TIMClockFreq / 65536U);
/* Set fixed to 150 ms */
      pHandle->HallTimeout = 150U;
 /* Compute the prescaler to the closet value of the TimeOut (in mS )*/
    pHandle->HALLMaxRatio = (pHandle->HallTimeout * pHandle->OvfFreq) / 1000U ;

    /* Align MaxPeriod to a multiple of Overflow.*/
    pHandle->MaxPeriod = pHandle->HALLMaxRatio * 65536UL;

My main confusion is how the OvfFreq with division of 65536 help the code to reduce the calculations. According to my understanding if TIMClockFreq = 170MHz then the time is T = 1/170Mhz i get overflow after 65535, so if the number of overflows are OverflowCnt then the total time elapsed will be 65535*1/170MHz*OverflowCnt + Input capture timer registers.

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