Investcorp AI Acquisition Corp(IVCAU) - 2022 Q2 - Quarterly Report

Financial Performance - As of June 30, 2022, the company had a net income of $1,189,699, consisting of operating costs of $523,547, interest earned of $261,996, and a change in fair value of warrants of $1,451,250[116]. - The company incurred cash used in operating activities of $1,475,593 for the six months ended June 30, 2022, with a net income of $1,189,699 affected by a gain on the change in fair value of the warrant liability[119]. - As of June 30, 2022, the company had a working capital of $1,417,991[118]. Initial Public Offering - The company generated gross proceeds of $225,000,000 from the Initial Public Offering of 22,500,000 Class A Public Shares at $10.00 per share, with an additional $33,750,000 from the underwriter's over-allotment option[118]. - The net proceeds from the Initial Public Offering will be invested in U.S. government securities with a maturity of 185 days or less or in compliant money market funds[137]. Trust Account and Cash Management - Cash held in the Trust Account as of June 30, 2022, was $266,774,496, with interest income of $261,996 earned from this account[120]. - The company had cash of $1,229,516 held outside the Trust Account as of June 30, 2022, intended for identifying and evaluating target businesses[122]. - The company intends to use substantially all funds held in the Trust Account and proceeds from forward purchase shares to complete its Business Combination[121]. Business Operations and Strategy - The company has not engaged in any operations or generated revenues to date, with activities focused on organizational tasks and identifying target companies[115]. - The company must consummate an initial Business Combination within 24 months from the closing of the Initial Public Offering, or face mandatory liquidation[124]. Accounting and Risk Management - The company has identified critical accounting estimates related to the fair value of financial instruments and accrued expenses, which may affect reported amounts[130]. - The company is classified as a smaller reporting company and is not required to provide detailed market risk disclosures[136]. - The company believes there will be no material exposure to interest rate risk due to the short-term nature of its investments[137]. - The company has not engaged in any hedging activities since inception and does not plan to do so in the future[138].