Financial Performance - For the three months ended March 31, 2022, the company reported a net loss of $590,409, which included $530,687 in professional fees and administrative expenses, and a loss of $59,722 on marketable securities in the Trust Account[89]. - Net cash used in operating activities for the three months ended March 31, 2022, was $802,186, primarily due to the net loss and changes in working capital[92]. - The company has not engaged in any operations or generated operating revenues to date, focusing instead on organizational activities and searching for a prospective initial Business Combination[88]. Cash and Working Capital - As of March 31, 2022, the company had $800,727 in cash held outside of the Trust Account and a working capital surplus of $853,883[90]. - The company incurred $116,150,000 in net cash used in investing activities due to the IPO proceeds deposited into the Trust Account[92]. Business Combination and Financing - The company has until January 13, 2023, to consummate a Business Combination, after which mandatory liquidation and dissolution will occur if not completed[94]. - The company may need to obtain additional financing to complete its Business Combination or to address potential redemptions of public shares[93]. - The company has engaged A.G.P. as an advisor for its initial Business Combination, with a fee of 4.5% of the gross proceeds of the IPO, amounting to $5,175,000[100]. Revenue Generation - The company generated non-operating income in the form of interest income from the IPO proceeds placed in the Trust Account, but does not expect to generate operating revenues until after completing its initial Business Combination[88]. Regulatory Classification - The company is classified as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new or revised accounting standards[95].
Western Acquisition Ventures(WAVS) - 2022 Q1 - Quarterly Report