Financial Performance - The net income for the six months ended June 30, 2025, was $609,632, a decrease of 55.3% compared to $1,364,592 for the same period in 2024[12]. - The company reported a loss from operations of $455,018 for the six months ended June 30, 2025, compared to a loss of $462,746 for the same period in 2024, indicating a slight improvement[12]. - The company generated interest income of $1,064,650 for the six months ended June 30, 2025, down from $1,827,338 for the same period in 2024, a decrease of approximately 41.8%[12]. - For the six months ended June 30, 2025, the company reported a net income of $609,632, consisting of interest income of $1,064,650 and operational costs of $455,018[108]. - The company incurred formation and operational costs of $455,018 for the six months ended June 30, 2025, compared to $462,746 for the same period in 2024[108]. Assets and Liabilities - As of June 30, 2025, total assets decreased to $44,556,037 from $73,814,933 as of December 31, 2024, representing a decline of approximately 39.5%[10]. - Cash held in the Trust Account decreased significantly to $44,511,399 as of June 30, 2025, from $73,784,549 as of December 31, 2024[10]. - Total current liabilities increased to $2,213,966 as of June 30, 2025, from $816,994 as of December 31, 2024, marking a rise of approximately 171.5%[10]. - The company had an accumulated deficit of $2,859,541 as of June 30, 2025, compared to $1,476,823 as of December 31, 2024, reflecting a worsening financial position[10]. - The Company has $44,511,399 in its Trust Account as of June 30, 2025, with a working capital deficit of $2,169,328[40]. Shareholder Activity - On February 5, 2025, shareholders redeemed 2,904,267 shares at approximately $10.77 per share, totaling around $31.27 million[37]. - The Company issued 2,904,267 shares for redemption at approximately $10.77 per share, totaling around $31.27 million[84]. - As of June 30, 2025, there were 3,995,733 ordinary shares subject to possible redemption, valued at redemption amount as temporary equity[54]. - As of June 30, 2025, there were 2,126,000 ordinary shares issued and outstanding, excluding 3,995,733 shares subject to possible redemption[86]. Business Operations and Strategy - The company has not yet commenced any operations and is focused on pursuing a business combination in the healthcare innovation sector[20]. - The Company entered into a definitive Business Combination Agreement with United Hydrogen Group Inc. on June 19, 2024[35]. - The Company must complete a business combination by September 6, 2025, with the possibility of extending this deadline up to twelve times by one month each time[77]. - The Company will cease operations and liquidate if it fails to complete a business combination within the prescribed period[30]. - The company has not generated any operating revenue to date and will not do so until after the completion of its initial business combination[107]. Initial Public Offering (IPO) - The initial public offering generated gross proceeds of $69,000,000, with offering costs amounting to $2,070,665[22]. - The Company completed its Initial Public Offering on December 6, 2023, raising gross proceeds of $69,000,000 from the sale of 6,900,000 Units at $10.00 per Unit[71]. - The underwriters received a cash underwriting discount of 2.00% of the gross proceeds from the Initial Public Offering, amounting to $1,380,000[94]. - The underwriters are entitled to a deferred underwriting discount of $690,000, payable upon the closing of the initial business combination[128]. - A total of $69,690,000 from the IPO and private placement proceeds was placed in the Trust Account, to be used until the consummation of a business combination or distribution to shareholders[126]. Financial Obligations and Agreements - The Company has not drawn any amounts under Working Capital Loans as of June 30, 2025[41]. - The note payable balance was $1,205,400, reflecting unsecured promissory notes issued to extend the time for business combination[78]. - The Company has a total amount due to a related company of $699,469 as of June 30, 2025, for administrative services and IPO-related costs[81]. - The Sponsor has agreed to provide administrative services at a cost of $10,000 per month, with an unpaid balance of $180,000 as of June 30, 2025[82]. - The company issued unsecured promissory notes totaling $300,000 to extend the time available to complete a business combination until September 6, 2025[101][102]. Tax and Regulatory Status - The Company is considered an exempted Cayman Islands company and is not subject to income taxes in the Cayman Islands or the United States, resulting in no provision for income taxes for the reporting periods[58]. - The Company has not recognized any unrecognized tax benefits as of June 30, 2025, and there were no amounts accrued for interest and penalties during the reporting periods[57][58]. Management and Internal Controls - The company has not experienced any changes in internal control over financial reporting that materially affected its financial reporting during the most recent fiscal quarter[120]. - Management believes that the company will have sufficient working capital to meet its anticipated cash needs prior to the initial business combination[111]. - Key metrics reviewed by management include formation and operating costs, as well as interest and dividends earned on investments held in the Trust Account[98].
Aimei Health Technology Co., Ltd(AFJKU) - 2025 Q2 - Quarterly Report