Financial Performance - For the three months ended June 30, 2025, the company reported a net income of approximately $479,000, driven by $1,112,000 in interest income, offset by $603,000 in general and administrative expenses[143]. - For the six months ended June 30, 2025, the company achieved a net income of approximately $1,196,000, with $2,272,000 in interest income and $1,016,000 in general and administrative expenses[144]. - The company has generated non-operating income solely from interest on amounts held in the Trust Account, with no operating revenues until the completion of the Business Combination[142]. Capital Raising and Financing - The company raised $100 million from the Initial Public Offering (IPO) by selling 10 million Class A ordinary shares at $10.00 per share[126]. - An additional $3 million was generated from the sale of 300,000 Class A ordinary shares in a private placement to the Sponsor at the same price[127]. - The company plans to issue $340.2 million in convertible senior secured notes as part of the financing for the Business Combination[134]. - A private placement of 20 million Class A ordinary shares was agreed upon for $200 million, with a purchase price of $10.00 per share[134]. - The Sponsor has committed to loan up to $1.75 million to cover transaction costs related to the Business Combination[139]. - The Sponsor has committed to provide up to $1,750,000 in loans to cover transaction costs related to the Business Combination[153]. - As of June 30, 2025, the company had approximately $646,000 outstanding under the Sponsor Loan, with no borrowings under Working Capital Loans or the Sponsor Note[154]. Business Combination - The company entered into a Business Combination Agreement on April 22, 2025, involving multiple parties, including Tether and Bitfinex[132]. - The company has until August 14, 2026, to complete the Business Combination, or it will liquidate and redeem Public Shares at a price equal to the amount in the Trust Account[129]. - The company is focusing its search for target businesses in financial services, healthcare, real estate services, technology, and software industries[125]. - The company has engaged CF&Co. as an advisor for the Business Combination, agreeing to pay a cash fee of $3,500,000 upon consummation, which is 3.5% of the gross proceeds from the Initial Public Offering[146]. Cash and Working Capital - As of June 30, 2025, the company had a working capital deficit of approximately $1.152 million, compared to approximately $190,000 as of December 31, 2024[138]. - As of June 30, 2025, the company had $25,000 in cash in its operating account[138]. - The company holds investments in U.S. government treasury bills in the Trust Account, which began on August 15, 2024[156]. - The company has 10,000,000 Class A ordinary shares subject to possible redemption, classified as temporary equity as of June 30, 2025[159]. - The company has not reported any off-balance sheet arrangements or contractual obligations as of June 30, 2025[162]. Future Expectations - The company expects to incur increased expenses related to being a public company, including legal and compliance costs[142].
Cantor Equity Partners, Inc.(CEP) - 2025 Q2 - Quarterly Report