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Ares Acquisition II(AACT) - 2023 Q2 - Quarterly Report
AACTAres Acquisition II(AACT)2023-08-10 22:42

Financial Performance - For the three months ended June 30, 2023, the company reported a net income of 3,565,936,primarilyfrominvestmentincomeof3,565,936, primarily from investment income of 3,873,223, with general and administrative costs of 307,287[103].−Thecompanyhasnotgeneratedanyoperatingrevenuesandreliesonnon−operatingincomefrominterestoninvestments[102].FinancialPosition−AsofJune30,2023,thecompanyhadapproximately307,287[103]. - The company has not generated any operating revenues and relies on non-operating income from interest on investments[102]. Financial Position - As of June 30, 2023, the company had approximately 2,520,846 in its operating bank account and working capital of approximately 3.0million[104].−Thecompanyhasincurredatotalof3.0 million[104]. - The company has incurred a total of 366,781 in loans from its Sponsor, which was fully repaid on April 25, 2023[104]. - The company has no long-term debt obligations or off-balance sheet arrangements as of June 30, 2023[107]. - As of June 30, 2023, the company has 50,000,000 Class A ordinary shares subject to possible redemption, classified as temporary equity[114]. Agreements and Fees - The company has entered into a monthly administrative service fee agreement of 16,667withitsSponsorforgeneralandadministrativeservices[108].−Adeferredfeeof16,667 with its Sponsor for general and administrative services[108]. - A deferred fee of 17,500,000 is payable to underwriters, which will be waived if the company does not complete an initial business combination[109]. - The company has contingent fees of approximately $0.7 million with a service provider, payable only if a Business Combination is consummated[110]. Economic Factors - The company has evaluated the impact of inflation and rising interest rates, concluding that these factors could negatively affect its financial position and ability to complete an initial business combination[106].