Financial Performance - The company reported a total loss of HKD 94.0 million for the six months ended June 30, 2022, with a basic and diluted loss per share of HKD 2.73[21]. - The company did not generate any revenue during the six months ended June 30, 2022[22]. - The company reported a total loss of HKD 93,981,000 for the six months ended June 30, 2022, resulting in a loss per share of HKD 2.73[63]. - The net loss before income tax for the period from January 1, 2022, to June 30, 2022, was approximately HKD 93,981,000, compared to a loss of HKD 94,000 for the period from November 25, 2021, to December 31, 2021[150]. - The net cash flow used in operating activities was HKD (29,056,000) for the same period[80]. - The company incurred a loss of HKD 93,981,000 during the execution of the SPAC merger transaction[96]. Assets and Liabilities - As of June 30, 2022, the company's non-current assets (in the form of restricted bank deposits) amounted to HKD 1,000.7 million, while current assets were HKD 10.7 million, primarily consisting of cash and cash equivalents of HKD 10.5 million[30]. - The company's restricted bank deposits increased to HKD 1,000.7 million as of June 30, 2022, compared to zero as of December 31, 2021, indicating funds raised from the issuance of shares[31]. - Cash and cash equivalents rose to HKD 10.5 million as of June 30, 2022, from zero as of December 31, 2021, due to proceeds from the placement of B shares and warrants[33]. - The company had redeemable Class A shares valued at HKD 1,000.7 million as of June 30, 2022, with no redeemable Class A shares reported as of December 31, 2021[34]. - The total liabilities included redeemable A shares of HKD 1,000,650,000[68]. - The net current liabilities were HKD 1,032,699,000, indicating a significant financial burden[69]. - The company has a total equity of HKD (32,049,000) as of June 30, 2022, reflecting a negative equity position[72]. Share Issuance and Capital Management - The total proceeds from the issuance of 100,065,000 Class A shares at HKD 10.00 per share and 50,032,500 warrants amounted to HKD 1,000.65 million, which is held in a custodial account[48]. - The company raised a total of HKD 1,000,650,000 from the issuance of 100,065,000 Class A shares and 50,032,500 warrants[80]. - The company has issued 100,065,000 Class A redeemable shares along with 50,032,500 listed warrants at a total price of HKD 10.00 per share on March 17, 2022[156]. - The total transaction costs related to the issuance of Class A redeemable shares are approximately HKD 65,464,000, which includes costs associated with the issuance of warrants and founder warrants[157]. - The company’s capital management goal is to monitor expenditures and maintain costs within the primary source of working capital from the sale of B shares[173]. Major Shareholders and Financial Support - Major shareholders include CMB International Asset Management Limited and UBS Group AG, holding approximately 19.89% and 17.12% of A shares respectively[56]. - The company has a significant reliance on its major shareholders for financial stability and support[56]. - The company plans to address its financial issues through loans provided by co-sponsors[96]. Acquisition Strategy - The company has not selected any special purpose acquisition company targets as of the report date[16]. - The company plans to focus on technology-enabled new economy sectors in Asia, particularly in China, for potential acquisitions[16]. - The company has not yet identified any potential business combination targets or entered into any binding agreements for special purpose acquisition transactions[82]. - The expected merger date for the special purpose acquisition company is projected between December 2022 and December 2023, with an exercise price of HKD 11.50 and a redemption trigger price of HKD 18.00[168]. Accounting and Financial Reporting - The financial statements are prepared based on historical cost, with certain financial instruments measured at fair value[99]. - The company has not applied any new international financial reporting standards that have been issued but are not yet effective, and it does not expect significant impacts from the adoption of new standards[94]. - The company recognizes current tax expenses based on the profit and loss from regular operations, adjusted for non-deductible items, using the tax rate effective at the end of the reporting period[102]. - Deferred tax assets are recognized only to the extent that it is probable that taxable profits will be available against which the temporary differences can be utilized[102]. - The company continuously reviews estimates and assumptions related to accounting estimates, with revisions affecting the current and future periods as applicable[137]. Cash Management and Dividends - The company does not intend to declare cash dividends before the completion of the merger transaction[40]. - The company has no dividends declared or proposed for the period from January 1, 2022, to June 30, 2022, and none since the reporting period[151]. - The company will distribute funds to Class A shareholders if the SPAC merger is not completed, with a minimum distribution of HKD 10.00 per share[90]. Post-Reporting Events - There were no significant post-reporting events after June 30, 2022, up to the report date[39]. - The company has no significant post-period events disclosed in the interim report[188].
AQUILA ACQ-Z(07836) - 2022 - 中期财报