Financial Performance - The company reported a net income of $311,101 for the three months ended June 30, 2023, compared to a net loss of $5,027 for the same period in 2022[115]. - For the six months ended June 30, 2023, the company had a net income of $462,907, while the net loss for the same period in 2022 was $7,170[116]. IPO and Capital Structure - The company completed its IPO on October 6, 2022, raising gross proceeds of $50 million from the sale of 5,000,000 units at $10.00 per unit[118]. - As of June 30, 2023, the company had $65,634 in cash and a working capital deficit of $660,862[121]. - The company recorded an excise tax liability of $259,438 as of June 30, 2023, due to redemptions by public stockholders[104]. Mergers and Acquisitions - The company entered into a merger agreement with Bestpath IoT Technology Ltd., valuing Bestpath at $1.2 billion prior to the closing of the mergers[107]. - The mergers will result in the issuance of up to 15,000,000 PubCo Ordinary Shares to Holdco's shareholders and eligible participants under a share incentive plan[108]. - The company extended the Business Combination Period to October 6, 2023, with a potential further extension to January 6, 2024[112]. - A total of 2,487,090 shares, with a redemption value of approximately $25,943,774, were tendered for redemption during the special meeting on June 28, 2023[112]. - The company expects to incur significant costs in pursuing its acquisition plans and does not guarantee the success of completing a Business Combination[99]. - The Company has until October 6, 2023, to complete a Business Combination, failing which it will face mandatory liquidation and dissolution[122]. - If the Business Combination is not completed by July 6, 2023, the Company will cease operations except for liquidation purposes, raising substantial doubt about its ability to continue as a going concern[123]. Financial Reporting and Compliance - As of June 30, 2023, the Company has no off-balance sheet financing arrangements or long-term liabilities[124]. - Upon closing of a Business Combination, underwriters will receive a deferred fee of $0.35 per public share, totaling $1,896,013[128]. - The Company accounts for common stock subject to possible redemption as temporary equity, reflecting uncertain future events[130]. - The Company recognizes changes in redemption value over an expected 9-month period leading up to a Business Combination[131]. - The Company has adopted ASU 2020-06, accounting for convertible promissory notes as debt on the balance sheet[132]. - The Company complies with FASB ASC 260 for earnings per share, presenting income per redeemable and non-redeemable shares[134]. - There have been no changes in internal control over financial reporting that materially affected the Company during the six months ended June 30, 2023[138]. - Management does not believe that any recently issued accounting standards will materially affect the financial statements[136].
Aquaron Acquisition Corp.(AQUNU) - 2023 Q2 - Quarterly Report