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Mountain Crest Acquisition Corp. V(MCAGU) - 2023 Q2 - Quarterly Report
MCAGUMountain Crest Acquisition Corp. V(MCAGU)2023-08-21 21:29

Financial Performance - For the three months ended June 30, 2023, the company reported a net loss of 206,112,withgeneralandadministrativeexpensesof206,112, with general and administrative expenses of 322,349 and interest earned on investments held in the Trust Account amounting to 148,448[139].−ForthesixmonthsendedJune30,2023,thecompanyhadanetlossof148,448[139]. - For the six months ended June 30, 2023, the company had a net loss of 249,448, which included general and administrative expenses of 540,579andinterestearnedoninvestmentsheldintheTrustAccountof540,579 and interest earned on investments held in the Trust Account of 365,845[142]. - As of June 30, 2023, the company had cash of 96,449heldoutsidetheTrustAccountforgeneralworkingcapitalpurposes[151].−Thecompanyhasnolong−termdebtoroff−balancesheetarrangementsasofJune30,2023[158].−Thecompanydoesnothaveanydilutivesecuritiesthatcouldaffecttheearningspersharecalculation[164].InitialPublicOffering−Thecompanygeneratedgrossproceedsof96,449 held outside the Trust Account for general working capital purposes[151]. - The company has no long-term debt or off-balance sheet arrangements as of June 30, 2023[158]. - The company does not have any dilutive securities that could affect the earnings per share calculation[164]. Initial Public Offering - The company generated gross proceeds of 60,000,000 from the Initial Public Offering of 6,000,000 Units at 10.00perUnit[144].−Thecompanyincurredtransactioncostsof10.00 per Unit[144]. - The company incurred transaction costs of 5,090,361 related to the Initial Public Offering, which included 1,380,000inunderwritingfees[146].−Theunderwritersareentitledtoadeferredfeeof1,380,000 in underwriting fees[146]. - The underwriters are entitled to a deferred fee of 0.30 per unit, totaling 2,070,000,payableonlyifthecompanycompletesaBusinessCombination[160].−ThecompanyhasinvestedIPOproceedsinU.S.governmenttreasuryobligationsormoneymarketfunds,minimizingexposuretointerestraterisk[168].ComplianceandRegulatoryMatters−ThecompanyreceivedanoticefromNasdaqonApril3,2023,indicatingitfailedtomeetthe2,070,000, payable only if the company completes a Business Combination[160]. - The company has invested IPO proceeds in U.S. government treasury obligations or money market funds, minimizing exposure to interest rate risk[168]. Compliance and Regulatory Matters - The company received a notice from Nasdaq on April 3, 2023, indicating it failed to meet the 50,000,000 market value of listed securities requirement for continued listing[129]. - The company has until October 2, 2023, to regain compliance with the market value of listed securities requirement[129]. - The company plans to submit a public document to Nasdaq by November 14, 2023, to maintain compliance with the publicly held shares requirement[135]. Business Combination - The company extended its Combination Period from May 16, 2023, to February 16, 2024, following stockholder approval on May 12, 2023[131]. - On June 8, 2023, the company received a termination notice from AUM, which ended the Business Combination Agreement[126]. - The company has until February 16, 2024, to consummate a Business Combination, with substantial doubt about its ability to continue as a going concern if not completed by this date[157]. - The company may need additional financing to complete its Business Combination or to address working capital deficiencies[155]. Promissory Notes - The company issued a non-interest bearing, unsecured promissory note of 300,000totheSponsor,dueuponconsummationoftheinitialbusinesscombination[153].−AsofJune30,2023,therewas300,000 to the Sponsor, due upon consummation of the initial business combination[153]. - As of June 30, 2023, there was 102,877 outstanding under a promissory note with UHY Advisors, with $2,052 of interest accrued[154]. - The company has extended the due date of a promissory note to October 31, 2023, with potential forgiveness of accrued finance charges if paid in full[154].