IPO and Capital Raising - The Company completed its IPO on April 22, 2022, raising gross proceeds of $100 million from the sale of 10 million units at $10.00 per unit[142]. Financial Performance - For the three months ended March 31, 2023, the Company reported a net income of $71,378, despite incurring general and administrative expenses of $886,227[140]. - The Company has a working capital deficit of $2,028,347 as of March 31, 2023, excluding income tax and franchise tax payable[146]. Marketable Securities and Trust Account - As of March 31, 2023, the Company had marketable securities held in the Trust Account amounting to $118,558,173, with interest income used to pay taxes[145]. - A total of 7,414,905 shares were tendered for redemption during a special meeting, resulting in approximately $76.32 million withdrawn from the Trust Account[135]. Business Combination Plans - The proposed business combination with NaturalShrimp is expected to close in the second quarter of 2023, pending customary closing conditions[132]. - 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 incurred significant costs in pursuing acquisition plans and cannot assure the success of completing a business combination[129]. - The Company issued unsecured promissory notes totaling $1,025,000 to extend the time for completing the business combination[133][136][137]. - If a business combination is not completed by April 22, 2024, the Company will face mandatory liquidation and dissolution[147]. Equity and Financial Reporting - 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]. - Warrants are assessed for equity or liability classification based on specific terms, with those qualifying for equity recorded as additional paid-in capital at issuance[156]. - 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[158]. - Offering costs related to the IPO are charged to stockholders' equity upon completion, allocated between public shares and public rights based on relative fair values[159]. Accounting Standards and Management Assessment - 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[160]. - Management believes that no other recently issued accounting pronouncements will have a material effect on the financial statements[161].
Yotta Acquisition Corporation(YOTAU) - 2023 Q1 - Quarterly Report