Financial Performance - As of March 31, 2024, the Company reported a net income of $588,681, consisting of interest earned on investments held in the Trust Account of $846,150, offset by operating costs of $257,469[139]. - The Company had cash of $25,017 and a working capital deficit of $4,605,760 as of March 31, 2024[140]. - Shareholders redeemed an aggregate of 15,799,245 Class A ordinary shares for approximately $167,831,206 at a redemption price of about $10.62 per share[132]. - The balance in the Trust Account was approximately $70.7 million as of March 31, 2024, after accounting for redemptions[129]. Business Combination - The Company intends to use substantially all funds in the Trust Account to complete a Business Combination, with remaining proceeds used for working capital[130]. - The Company has until March 3, 2025, to consummate a Business Combination or face mandatory liquidation[141]. Financing and Debt - The Company issued a Sponsor Convertible Promissory Note for up to $613,207 for working capital requirements, with $613,207 outstanding as of March 31, 2024[136]. - The Company also issued a VP Convertible Promissory Note for up to $1,650,943, with $1,650,941 borrowed against it as of March 31, 2024[137]. - The company does not have any long-term debt, capital lease obligations, or operating lease obligations, with deferred underwriting commissions amounting to $8,105,480 from the IPO[143]. IPO and Offering Costs - Offering costs for the IPO and the exercise of the underwriters' over-allotment option amounted to $10,718,994[127]. - The Company generated gross proceeds of $220,099,630 from the sale of 20,000,000 Units at a price of $10.00 per Unit during the IPO[124]. Accounting and Reporting - As of March 31, 2024, the company has no off-balance sheet financing arrangements, obligations, assets, or liabilities[142]. - The company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new or revised accounting standards[144]. - The company is evaluating the benefits of reduced reporting requirements under the JOBS Act, which may exempt it from certain disclosures for five years post-IPO[145]. - The company accounts for ordinary shares subject to possible redemption as temporary equity, reflecting uncertain future events[148]. - Warrants are classified based on specific terms, with management concluding that both Public Warrants and Private Placement Warrants qualify for equity accounting treatment[149]. - The company is classified as a smaller reporting company and is not required to provide additional market risk disclosures[150].
Valuence Merger I(VMCA) - 2024 Q1 - Quarterly Report