Financial Performance - The company reported a net loss of $223,807 for the three months ended June 30, 2024, with general and administrative expenses of $626,004 and interest income of $664,259[107]. - For the six months ended June 30, 2024, the company had a net loss of $1,047,849, which included general and administrative expenses of $1,352,759 and interest income of $1,684,947[107]. - As of June 30, 2024, the company had a working capital deficit of $5,365,129[113]. - The Company incurred $180,000 for administrative support services for the six months ended June 30, 2024, with $466,452 in accrued expenses as of the same date[125]. Cash and Investments - As of June 30, 2024, the company had cash, investments, and marketable securities held in the Trust Account totaling $51,511,443[115]. - As of June 30, 2024, the Company withdrew $337,010 from the Trust Account to pay franchise and income taxes[120]. Public Offering and Financing - The company raised gross proceeds of $220,000,000 from its Public Offering of 22,000,000 units, with an additional $28,693,420 from the partial exercise of the over-allotment option[110]. - The company incurred $14,181,568 in IPO transaction costs, including $4,973,868 in underwriting fees[111]. - The underwriter earned a cash underwriting discount of 2% of the gross proceeds from the Public Offering, totaling $4,973,868, and a deferred underwriting discount of 3.5%, amounting to $8,704,270[128]. - The Company may need additional financing to complete its Business Combination or to redeem a significant number of public shares[122]. Shareholder Actions and Amendments - On September 19, 2023, stockholders approved a Charter Amendment extending the deadline for the initial business combination to January 19, 2024, with 9,239,192 shares redeemed for approximately $96,791,644[101]. - On January 19, 2024, stockholders approved a further extension to December 20, 2024, with 10,872,266 shares redeemed for approximately $115,489,643[104]. - The company entered into non-redemption agreements with third parties, agreeing to issue 1,610,000 Class A Shares in exchange for commitments not to redeem public shares[102]. Business Combination and Liquidation - The Company has until December 20, 2024, to consummate a Business Combination, after which a mandatory liquidation will occur if not completed[123]. - As of June 30, 2024, 4,757,884 shares of Class A common stock are presented at redemption value as temporary equity[131]. Debt and Obligations - The Company has a Promissory Note with the Sponsor, which was amended to increase the aggregate principal amount from $1,500,000 to $3,000,000[114]. - The Company plans to repay the Capital Contribution to Polar by issuing 1.0 share of Common Stock for each dollar of the Capital Contribution funded prior to the Closing[118]. Advisory and Internal Controls - The Company engaged Cohen & Company Capital Markets to provide financial advisory services, with fees based on a percentage of the proceeds from the Public Offering[130]. - There were no changes in internal control over financial reporting during the most recent fiscal quarter that materially affected the Company's internal controls[137].
FTAC Emerald Acquisition (EMLD) - 2024 Q2 - Quarterly Report