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FTAC Emerald Acquisition Corp.(FLD) - 2024 Q2 - Quarterly Report
FLDFTAC Emerald Acquisition Corp.(FLD)2024-08-09 20:30

Financial Performance - As of June 30, 2024, the company recorded a net loss of 223,807,withgeneralandadministrativeexpensesamountingto223,807, with general and administrative expenses amounting to 626,004 and interest income of 664,259frominvestmentsheldintheTrustAccount[123].−ForthesixmonthsendedJune30,2024,thecompanyreportedanetlossof664,259 from investments held in the Trust Account [123]. - For the six months ended June 30, 2024, the company reported a net loss of 1,047,849, which included general and administrative expenses of 1,352,759andinterestincomeof1,352,759 and interest income of 1,684,947 [124]. - As of June 30, 2024, the company had a working capital deficit of 5,365,129[132].−TheCompanyincurred5,365,129 [132]. - The Company incurred 14,181,568 in IPO transaction costs, including 4,973,868inunderwritingfees[130].−TheCompanyincurred4,973,868 in underwriting fees [130]. - The Company incurred 180,000 for administrative support services for the six months ended June 30, 2024, with 466,452inaccruedexpensesasofthesamedate[145].TrustAccountandInvestments−Thecompanyhadcash,investments,andmarketablesecuritiesheldintheTrustAccounttotaling466,452 in accrued expenses as of the same date [145]. Trust Account and Investments - The company had cash, investments, and marketable securities held in the Trust Account totaling 51,511,443 as of June 30, 2024 [134]. - The Company intends to use substantially all funds held in the Trust Account, including interest earned, to complete its Business Combination, having withdrawn 337,010fortaxesduringtheperiodendedJune30,2024[139].−AsofJune30,2024,4,757,884sharesofClassAcommonstockarepresentedatredemptionvalueastemporaryequity,reflectingthepotentialformandatoryredemption[152].BusinessCombinationandExtensions−OnSeptember19,2023,stockholdersapprovedanextensionofthedeadlineforthecompanytocompleteitsinitialbusinesscombinationfromSeptember20,2023,toJanuary19,2024[117].−OnJanuary19,2024,stockholdersapprovedanotherextensionofthedeadlinetocompletetheinitialbusinesscombinationtoDecember20,2024[120].−TheCompanyhasuntilDecember20,2024,toconsummateaBusinessCombination,withsubstantialdoubtraisedaboutitsabilitytocontinueasagoingconcernifnotcompletedbythisdate[142].−TheCompanymayneedadditionalfinancingtocompleteitsBusinessCombinationortomeetobligationsifasignificantnumberofpublicsharesareredeemed[141].ShareholderActivity−DuringtheSeptember19,2023meeting,holdersof9,239,192sharesofredeemableClassAcommonstockredeemedtheirsharesforapproximately337,010 for taxes during the period ended June 30, 2024 [139]. - As of June 30, 2024, 4,757,884 shares of Class A common stock are presented at redemption value as temporary equity, reflecting the potential for mandatory redemption [152]. Business Combination and Extensions - On September 19, 2023, stockholders approved an extension of the deadline for the company to complete its initial business combination from September 20, 2023, to January 19, 2024 [117]. - On January 19, 2024, stockholders approved another extension of the deadline to complete the initial business combination to December 20, 2024 [120]. - The Company has until December 20, 2024, to consummate a Business Combination, with substantial doubt raised about its ability to continue as a going concern if not completed by this date [142]. - The Company may need additional financing to complete its Business Combination or to meet obligations if a significant number of public shares are redeemed [141]. Shareholder Activity - During the September 19, 2023 meeting, holders of 9,239,192 shares of redeemable Class A common stock redeemed their shares for approximately 96,791,644 at a price of 10.4762pershare[117].−IntheJanuary19,2024meeting,holdersof10,872,266sharesofredeemableClassAcommonstockredeemedtheirsharesforapproximately10.4762 per share [117]. - In the January 19, 2024 meeting, holders of 10,872,266 shares of redeemable Class A common stock redeemed their shares for approximately 115,489,643 at a price of 10.6224 per share [120]. Financial Advisory and Support - The Company has engaged Cohen & Company Capital Markets for financial advisory services, with fees based on a percentage of the proceeds from the Public Offering [150]. - The underwriter earned a cash underwriting discount of 4,973,868, with a deferred underwriting discount of $8,704,270, which was waived on October 18, 2023 [148]. Financial Position and Controls - The Company has no long-term debt obligations or capital lease obligations as of the reporting date [144]. - The Company has no off-balance sheet financing arrangements as of June 30, 2024, and does not participate in transactions that create relationships with unconsolidated entities [143]. - The Company’s disclosure controls and procedures were evaluated as effective as of June 30, 2024 [156].