IPO and Financial Overview - The company completed its IPO on December 14, 2021, raising gross proceeds of $287.5 million from the sale of 28,750,000 units at $10.00 per unit[120]. - As of March 31, 2023, the company reported a net income of approximately $1.3 million, driven by $3.1 million in investment income, offset by $1.4 million in operating expenses[133]. - The company incurred operating expenses of approximately $1.4 million for the three months ended March 31, 2023, which included $1.3 million in general and administrative expenses[133]. - The company had a net loss of approximately $426,000 for the three months ended March 31, 2022, with operating expenses of $453,000[134]. Business Combination and Liquidity - The company has until June 14, 2023, to complete its initial Business Combination, with the possibility of extending this period by up to nine months[124]. - The company has raised substantial doubt about its ability to continue as a going concern, with liquidity needs and mandatory liquidation considerations[127][128]. - The company has deposited approximately $290.4 million into a segregated trust account, which is invested in U.S. government securities[122]. - The company is subject to a new 1% excise tax on stock repurchases effective January 1, 2023, which may impact cash available for Business Combinations[131]. Share Structure and Accounting - The company has two classes of shares: Class A common stock and Class B common stock, with net loss per common share calculated by dividing the net loss by the weighted average shares outstanding[145]. - The company has issued a total of 25,500,000 warrants for Class A common stock, which are not included in the diluted net income (loss) per share calculation due to their anti-dilutive nature[146]. - All outstanding shares of Class A common stock are presented at redemption value as temporary equity, outside of the stockholders' equity section[143]. - The company recognizes changes in the redemption value of Class A common stock immediately, adjusting the carrying value to equal the redemption value at the end of the reporting period[144]. Administrative and Reporting Matters - The company has agreed to pay $20,000 per month for administrative support services starting December 9, 2021[139]. - The underwriter received an underwriting discount of approximately $5.3 million on the IPO, with an additional deferred fee of approximately $10.1 million payable upon completion of an initial Business Combination[136][137]. - As of March 31, 2023, the company reported no off-balance sheet arrangements or contractual obligations[149]. - The company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new or revised accounting standards[150]. - The company does not use derivative instruments to hedge exposures to cash flow, market, or foreign currency risks[141]. - The classification of derivative instruments is reassessed at the end of each reporting period[142]. - The company does not believe that any recently issued accounting pronouncements will have a material effect on its condensed balance sheets[148]. - The company is evaluating the benefits of relying on reduced reporting requirements provided by the JOBS Act[151].
Power & Digital Infrastructure Acquisition II (XPDB) - 2023 Q1 - Quarterly Report