Financial Performance - The company had a net income of $71,378 for the three months ended March 31, 2023, despite incurring a loss of $926,172 from general and administrative expenses [140]. - The company incurred a franchise tax expense of $39,945 for the three months ended March 31, 2023 [140]. - Net income (loss) per common share is calculated by dividing net income (loss) by the weighted-average number of shares outstanding, with redeemable and non-redeemable shares presented as one class [157]. IPO and Capital Structure - The company completed its IPO on April 22, 2022, raising gross proceeds of $100,000,000 from the sale of 10,000,000 units [143]. - Offering costs related to the IPO were charged to stockholders' equity upon completion, consisting mainly of underwriting, legal, and accounting expenses [158]. - Common stock subject to possible redemption is classified as temporary equity and presented at redemption value, affecting the carrying value adjustments at the end of each reporting period [154]. Trust Account and Working Capital - As of March 31, 2023, the company had marketable securities held in the Trust Account amounting to $118,558,173 [146]. - Following the IPO, the company had a working capital deficit of $2,028,347 as of March 31, 2023 [147]. - Approximately $76.32 million was withdrawn from the Trust Account to pay stockholders who tendered 7,414,905 shares for redemption [135]. Business Combination and Merger - The company plans to issue 17.5 million shares of common stock to former security holders of NaturalShrimp upon the closing of the merger [130]. - The company has extended the deadline to complete a business combination to April 22, 2024, with the possibility of monthly extensions [134]. - A break-up fee of $3.0 million will be due if the merger agreement is terminated due to a default by either party [130]. Future Expenses and Accounting Changes - The company expects to incur increased expenses related to being a public company and due diligence for business combinations [139]. - The company is assessing the impact of ASU 2020-06, effective for smaller reporting companies after December 15, 2023, which simplifies accounting for certain financial instruments [159]. - Management believes that no other recently issued accounting pronouncements will have a material effect on the financial statements [160]. Equity and Warrant Accounting - The company has issued warrants that qualify for equity accounting treatment, recorded as a component of additional paid-in capital upon issuance [156].
Yotta Acquisition (YOTA) - 2023 Q1 - Quarterly Report