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IX Acquisition (IXAQ) - 2024 Q4 - Annual Report
IXAQIX Acquisition (IXAQ)2025-04-03 21:14

Financial Performance - For the year ended December 31, 2024, the company reported a net loss of approximately 2.3million,whichincluded2.3 million, which included 1.2 million in income from investments held in the Trust Account and 2.7millioninoperatingandformationexpenses[143].−FortheyearendedDecember31,2023,thecompanyachievedanetincomeofapproximately2.7 million in operating and formation expenses[143]. - For the year ended December 31, 2023, the company achieved a net income of approximately 4.0 million, driven by 4.7millioninincomefrominvestmentsheldintheTrustAccount[144].−Thecompanyhadaworkingcapitaldeficitofapproximately4.7 million in income from investments held in the Trust Account[144]. - The company had a working capital deficit of approximately 6.4 million as of December 31, 2024[147]. - The company incurred net cash used in operating activities of approximately 1.4millionfortheyearendedDecember31,2024[148].BusinessCombinationandExtensions−TheCompanyenteredintoaMergerAgreementwithAERKOMMInc.onMarch29,2024,tofacilitateabusinesscombination[86].−TheCompanyextendedtheDeadlineDateforbusinesscombinationfromJanuary12,2024,toFebruary12,2024,withamonthlyextensionpolicyconfirmedbytheboard[117].−TheCompanyapprovedtheSecondExtensionAmendmentallowingmonthlyextensionsuptotentimesuntilOctober12,2024[116].−TheCompanyheldanExtraordinaryMeetingonOctober9,2024,approvingtheThirdExtensionAmendmentformonthlyextensionsuntilOctober12,2025[130].−ThecompanyhasuntilOctober12,2025,toconsummateabusinesscombination,oritwillfacemandatoryliquidation[152].TrustAccountandInvestments−AsofNovember13,2023,theCompanyliquidatedinvestmentsintheTrustAccount,holdingapproximately1.4 million for the year ended December 31, 2024[148]. Business Combination and Extensions - The Company entered into a Merger Agreement with AERKOMM Inc. on March 29, 2024, to facilitate a business combination[86]. - The Company extended the Deadline Date for business combination from January 12, 2024, to February 12, 2024, with a monthly extension policy confirmed by the board[117]. - The Company approved the Second Extension Amendment allowing monthly extensions up to ten times until October 12, 2024[116]. - The Company held an Extraordinary Meeting on October 9, 2024, approving the Third Extension Amendment for monthly extensions until October 12, 2025[130]. - The company has until October 12, 2025, to consummate a business combination, or it will face mandatory liquidation[152]. Trust Account and Investments - As of November 13, 2023, the Company liquidated investments in the Trust Account, holding approximately 231.15 million in an interest-bearing demand deposit account[84]. - Following the redemptions, the balance in the Trust Account was approximately 48million[106].−AsofDecember31,2024,thecompanyhadapproximately48 million[106]. - As of December 31, 2024, the company had approximately 19 million in cash held in the Trust Account, intended for completing the initial business combination[151]. - The company plans to use substantially all funds in the Trust Account for the initial business combination and subsequent operations[151]. Shareholder Actions and Compliance - The Company received a Total Shareholders Notice from Nasdaq for not maintaining at least 400 total holders, with a compliance plan submitted by November 24, 2023[135]. - The company received a notice from Nasdaq on October 7, 2024, regarding non-compliance with Nasdaq IM 5101-2 due to not completing an initial business combination within 36 months[139]. - The company successfully requested a hearing before the Nasdaq Hearings Panel, which granted continued listing on the Nasdaq Global Market on August 5, 2024[138]. Funding and Investments - The Company completed its Initial Public Offering on October 12, 2021, raising total gross proceeds of 230millionfromthesaleof23millionUnitsat230 million from the sale of 23 million Units at 10.00 per Unit[82]. - The Company generated an additional 7.15millionfromthesaleof7,150,000PrivatePlacementWarrantsat7.15 million from the sale of 7,150,000 Private Placement Warrants at 1.00 per Warrant[83]. - A PIPE Investment of 35millionwasagreeduponat35 million was agreed upon at 11.50 per share, with efforts to secure a total of at least 65million[94][95].−TheCompanyhasengagedBenchmarkasanon−exclusivePIPEplacementagentforaprivateplacementofapproximately65 million[94][95]. - The Company has engaged Benchmark as a non-exclusive PIPE placement agent for a private placement of approximately 30 million[99]. - The sponsor agreed to deposit a loan of 160,000intotheTrustAccountforthefirstmonthoftheextension[107].−Thesponsordeposited160,000 into the Trust Account for the first month of the extension[107]. - The sponsor deposited 160,000 into the Company's Trust Account for each monthly extension from April to November 2023[125]. - The sponsor's contribution will be 50,000permonthneededtocompleteabusinesscombinationfollowingtheSecondExtensionAmendment[128].−Thesponsoragreedtodeposit50,000 per month needed to complete a business combination following the Second Extension Amendment[128]. - The sponsor agreed to deposit 48,311 per month for extension contributions from October 2024 through April 2025[122]. Regulatory and Accounting Changes - The Company adopted ASU 2023-07, which requires annual and interim disclosures of significant segment expenses and other segment items, effective for fiscal years beginning after December 15, 2023[169]. - The adoption of ASU 2023-07 had no material impact on the Company's financial statements[169]. - ASU 2023-09, effective for fiscal years beginning after December 15, 2024, requires expanded disclosures of income taxes paid, with early adoption permitted[170]. - Management does not anticipate that ASU 2023-09 will materially affect the Company's financial statements[170]. - The Company is classified as a smaller reporting company and is not required to provide certain market risk disclosures[172].