Financial Performance - The company had a net income of $3,296,064 for the year ended December 31, 2023, consisting of a loss of approximately $659,983 from general and administrative expenses, offset by interest earned on marketable securities of approximately $3,939,565[300]. - The company incurred operating and formation costs of $659,983 for the year ended December 31, 2023, with a net income of $3,296,064[414]. - The accumulated deficit increased to $(5,361,185) as of December 31, 2023, compared to $(8,750) in 2022[412]. - The company reported total assets of $121,215,705 as of December 31, 2023, compared to $1,215,951 as of December 31, 2022[410]. - The company reported a gain on investments held in the Trust Account amounting to $3,939,565 for the year ended December 31, 2023[414]. - As of December 31, 2023, the company reported a net income of $3,296,064, with net cash used in operating activities amounting to $(863,183)[421]. Initial Public Offering (IPO) - The company completed its Initial Public Offering on May 9, 2023, raising gross proceeds of $115,000,000 from the sale of 11,500,000 units, including 1,500,000 units from the underwriter's over-allotment option[301]. - The company incurred offering costs of $9,088,588 related to the IPO, including deferred underwriting commissions of $5,175,000[294]. - A total of $116,725,000 from the IPO proceeds was placed in a trust account, which will be invested in U.S. government treasury obligations or money market funds until a business combination is completed[427]. - The Underwriter received a cash underwriting discount of $0.20 per Unit, totaling $2,300,000 upon the closing of the Initial Public Offering[475]. - The Underwriter exercised the over-allotment option in full on May 9, 2023, ensuring that initial shareholders collectively own 20% of the Company's issued and outstanding ordinary shares[479]. Trust Account and Working Capital - Following the IPO, $116,725,000 from the net proceeds was placed in a trust account[303]. - The Trust Account held $120,664,565 in investments as of December 31, 2023, all classified as trading securities[444]. - As of December 31, 2023, the company held $309,742 in cash outside the trust account for working capital purposes[428]. - The company has until November 9, 2024, to complete a Business Combination, failing which a mandatory liquidation will occur[436]. - The Class A ordinary shares subject to possible redemption amounted to $120,564,564 as of December 31, 2023, after accounting for various adjustments[447]. Business Operations and Strategy - The company has not engaged in any operations or generated any operating revenues to date, with activities focused on seeking a target business for a potential merger[299]. - The company has not selected any business combination target as of the report date[298]. - The company must complete a business combination with an aggregate fair market value of at least 80% of the net assets held in the trust account[430]. - If the company fails to complete a business combination within 18 months from the IPO, it will cease operations and redeem public shares at a price equal to the amount in the trust account[433]. - The company has broad discretion regarding the application of net proceeds from the IPO and private placement shares, primarily intended for consummating a business combination[429]. Corporate Governance - The company has six directors on its board[336]. - The board of directors has established three standing committees: an audit committee, a compensation committee, and a nominating committee, all composed entirely of independent directors[339][342][346]. - The audit committee consists of three independent members, ensuring financial literacy and compliance with Nasdaq listing standards[340]. - The company has adopted a Code of Ethics applicable to directors, officers, and employees, with amendments disclosed in a Current Report on Form 8-K[349]. - Directors and officers have fiduciary duties under Cayman Islands law, including acting in good faith and avoiding conflicts of interest[350][351]. Financial Liabilities and Indemnification - The company has entered into indemnification agreements with its directors and officers, providing protection against liabilities incurred in their capacities[356]. - The company has a policy of directors' and officers' liability insurance to cover defense costs and indemnification obligations[356]. - The audit committee is responsible for reviewing and approving related party transactions, requiring a majority vote for approval[384]. - The company has agreed to repay loans from the sponsor or affiliates, which may be convertible into shares at $10.00 per share upon the initial business combination[378]. - The company has agreed to file with the SEC for an effective registration statement covering Class A Ordinary Shares issuable upon exercise of the warrants after the initial Business Combination[480]. Shareholder Information - As of April 16, 2024, there are 14,970,500 Ordinary Shares issued and outstanding, consisting of 12,095,500 Class A Ordinary Shares and 2,875,000 Class B Ordinary Shares[364]. - Alchemy DeepTech Capital LLC holds 538,000 Class A Ordinary Shares, representing approximately 44.5% of Class A and 22.8% of total Ordinary Shares[365]. - Wealthspring Capital LLC owns 1,214,690 Class A Ordinary Shares, accounting for 10.0% of Class A Ordinary Shares[365]. - The sponsor acquired 4,312,500 founder shares for $50,000, equating to approximately $0.0116 per share[372]. - The holders of founder shares and placement shares have registration rights to require the company to register their securities for resale[381].
Alchemy Investments Acquisition Corp 1(ALCYU) - 2023 Q4 - Annual Report