Financial Performance - Net income for the three months ended August 31, 2024, was $200,474, compared to $116,225 for the same period in 2023, reflecting a growth of 72.4%[7] - Basic and diluted net income per ordinary share increased to $0.03 from $0.02 year-over-year, a rise of 50%[7] - Net income for the nine months ended August 31, 2024, was $724,116, a decrease of 9.3% compared to $798,474 for the same period in 2023[11] - Net income allocable to redeemable Class A ordinary shares for the three months ended August 31, 2024, was $200,474, compared to $64,801 for the same period in 2023, representing a 209% increase[55] - Basic and diluted net income per redeemable Class A ordinary share increased to $0.03 for the three months ended August 31, 2024, from $0.02 for the same period in 2023[55] Assets and Liabilities - Total current assets increased to $101,706 from $15,912, representing a growth of 537%[4] - Total liabilities rose to $8,775,838 from $7,153,390, indicating an increase of 22.6%[5] - Total assets decreased to $31,239,880 from $33,765,829, a decline of 7.5%[5] - Total current liabilities increased to $4,750,838 from $3,128,390, an increase of 51.7%[4] - The total assets held in the Trust Account amounted to $31,138,174 as of August 31, 2024, compared to $33,749,917 as of November 30, 2023[45] Cash Flow - Cash and marketable securities held in trust account decreased to $31,138,174 from $33,749,917, a decline of 7.7%[4] - Interest earned on marketable securities held in trust account for the nine months ended August 31, 2024, was $1,302,964, down from $1,590,292, a decrease of 18.1%[7] - Net cash used in operating activities improved to $(520,384) from $(701,818), reflecting a 25.8% reduction in cash outflow[11] - Cash withdrawn from trust in connection to redemption was $4,872,513, significantly lower than $87,980,621 in the previous period[11] - Cash at the end of the period increased to $40,533 from $39,475, showing a slight improvement[11] Business Combination and Operations - The Company has not commenced any operations and will not generate operating revenues until after completing a Business Combination[14] - The Company must complete a Business Combination with a fair market value equal to at least 80% of the net assets held in the Trust Account[19] - The Company has the right to extend the period to complete a business combination up to seven times for an additional one month each time, with a cost of $60,000 or $0.02 per ordinary share[32] - Management believes the Company will have sufficient working capital and borrowing capacity to meet its needs through the earlier of the consummation of a Business Combination or one year from the filing date[34] - The Company expects to incur significant costs in pursuit of its initial business combination, with no assurance of success[98] Shareholder Activity - The Company’s shareholders redeemed an aggregate of 8,373,932 ordinary shares in connection with the Charter Amendment filed on January 20, 2023[30] - On January 18, 2023, TETE's shareholders redeemed an aggregate of 8,373,932 ordinary shares, amounting to $86,353,885[78] - TETE's shareholders redeemed an aggregate of 149,359 ordinary shares on July 18, 2023, totaling $1,626,736[78] Financing and Capital Structure - The Company raised gross proceeds of $100,000,000 from its Initial Public Offering, with transaction costs totaling $8,482,742[15][16] - The Company generated gross proceeds of $115,000,000 from the sale of 11,500,000 Units at a purchase price of $10.00 per Unit during the Initial Public Offering[99] - The Company completed a private placement of 532,500 units at a purchase price of $10.00 per unit, generating gross proceeds of $5,325,000[61] - The underwriters exercised their over-allotment option, purchasing an additional 1,500,000 Option Units for gross proceeds of $15,000,000[74] - Offering costs associated with the Initial Public Offering amounted to $4,532,887, which were charged to additional paid-in capital[56] Legal and Compliance - The Company has not experienced losses on its cash account, which may exceed the Federal depository insurance coverage of $250,000[51] - The Company currently lacks the liquidity needed to sustain operations for at least one year from the date of the unaudited financial statements[36] - There have been no off-balance sheet financing arrangements or special purpose entities established by the company[106] - Disclosure controls and procedures were evaluated and found not effective during the fiscal quarter ended August 31, 2024[108] - No changes in internal control over financial reporting that materially affected the company were reported during the fiscal quarter[109] - There are no legal proceedings currently involving the company[110]
Technology & Telecommunication Acquisition .(TETE) - 2024 Q3 - Quarterly Report