Porch(PRCH) - 2020 Q2 - Quarterly Report

Financial Performance - For the three months ended June 30, 2020, the company reported a net loss of approximately $180,000, with $54,000 in investment income and $153,000 in general and administrative expenses[105]. - For the six months ended June 30, 2020, the company had a net income of approximately $366,000, consisting of approximately $1.0 million in investment income[106]. Initial Public Offering - The company completed its initial public offering on November 26, 2019, raising gross proceeds of $172.5 million from the sale of 17,250,000 units at $10.00 per unit[97]. - The company incurred offering costs of approximately $10.1 million, including about $6.0 million in deferred underwriting commissions[97]. Business Combination - The company entered into a merger agreement with Porch.com, Inc. on July 30, 2020, as part of its initial business combination strategy[103]. - The company has until May 26, 2021, to complete its initial business combination, or it will cease operations and redeem public shares[102]. - The company has incurred significant costs in pursuing its initial business combination and cannot assure that its plans to raise capital will be successful[96]. - The COVID-19 pandemic may materially affect the company's ability to complete its initial business combination due to restrictions and market conditions[110]. Financial Position - As of June 30, 2020, the company had approximately $1.1 million in its operating account and approximately $710,000 of investment income earned from investments held in the trust account[108]. - As of June 30, 2020, there were 16,352,652 shares of Class A common stock subject to conditional redemption, classified as temporary equity[119]. - The company has no off-balance sheet arrangements or long-term debt obligations as of June 30, 2020[122]. Capital Raising - The company raised $5.7 million from the private placement of 5,700,000 warrants at $1.00 per warrant, which are exercisable for shares of Class A common stock[98][114]. Compliance and Regulations - The company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new accounting standards[123]. - The company intends to take advantage of the extended transition period for complying with new accounting standards until certain revenue or market value thresholds are met[124]. Administrative Expenses - The company incurred $30,000 and $60,000 for administrative support services for the three and six months ended June 30, 2020, respectively[117].