Financial Performance - For the three months ended March 31, 2024, the company reported a net income of $297,020, a decrease of 50.1% compared to $595,502 for the same period in 2023[92]. - The company has an accumulated deficit of $6,084,666 and a working capital deficit of $3,256,461 as of March 31, 2024, raising substantial doubt about its ability to continue as a going concern[94]. - The company expects to incur increased expenses as a result of being a public company, including legal and compliance costs[91]. Initial Public Offering - The company generated gross proceeds of $115,000,000 from its Initial Public Offering of 11,500,000 Units on April 5, 2022[95]. - The company incurred $5,704,741 in transaction costs related to the Initial Public Offering, including $2,300,000 in underwriting fees[95]. Business Combination - As of March 31, 2024, the company had investments held in the Trust Account amounting to $36,067,927, which are intended to be used for completing a Business Combination[96]. - On April 12, 2023, the company entered into a Merger Agreement with Future Dao Group Holding Limited, with a valuation of $350 million for the outstanding shares[108]. - The company plans to extend the deadline for consummating a Business Combination to August 5, 2024, following shareholder approval[105]. - The Merger Agreement was mutually terminated on October 6, 2023, with no fees or expenses required to be paid by either party[109]. - As of March 31, 2024, 3,202,416 public shares remain unredeemed after the exercise of redemption rights by shareholders[106]. Financial Instruments and Accounting - The company accounts for warrants based on specific terms, classifying them as either equity or liability instruments[111]. - Ordinary shares subject to possible redemption are classified as temporary equity and presented at redemption value[113]. - The company applies the two-class method for calculating net loss per ordinary share, excluding certain shares from the basic calculation[114]. - As of March 31, 2024, the company was not subject to any market or interest rate risk, with investments in U.S. government securities[117]. Debt and Obligations - The company has no long-term debt or capital lease obligations, but incurs a monthly fee of $10,000 to the Sponsor for administrative services[100].
Metal Sky Star Acquisition (MSSA) - 2024 Q1 - Quarterly Report