Financial Performance - For the period from January 8, 2021, through December 31, 2021, the company reported a net income of approximately $5.0 million, primarily due to a noncash gain of approximately $6.9 million from changes in fair value of derivative warrant liabilities [447]. - For the year ended December 31, 2022, the company achieved a net income of approximately $10.6 million, which included a noncash gain of approximately $7.5 million from changes in fair value of derivative warrant liabilities and $4.5 million from investments held in the Trust Account [475]. - The company incurred approximately $1.4 million in general and administrative expenses for the year ended December 31, 2022, including $120,000 to related parties [475]. Cash and Liquidity - As of December 31, 2022, the company had cash of $1.1 million, with liquidity prior to the Public Offering sourced from an initial purchase of ordinary shares and loans from the Sponsor [476]. - The company completed its Initial Public Offering on March 23, 2021, raising gross proceeds of $300.0 million from the sale of 30,000,000 units at $10.00 per unit, with offering costs of approximately $17.2 million [444]. - The underwriters are entitled to a deferred fee of $0.35 per unit, totaling $11,329,238, which will be payable only upon the completion of a Business Combination [478]. Share Structure - As of December 31, 2022, the company had 32,369,251 Class A ordinary shares subject to possible redemption, classified as temporary equity [452]. - The company has two classes of shares: Class A ordinary shares and Class B ordinary shares, with income and losses shared pro rata between them [481]. - Net income per ordinary share is calculated by dividing net income by the weighted average of ordinary shares outstanding for the respective period [481]. Risk Management - The company has not utilized derivative instruments to hedge exposures to cash flow, market, or foreign currency risks, and evaluates financial instruments to determine their classification [451]. Corporate Governance - The company has established an audit committee to oversee the integrity of financial statements and compliance with legal and regulatory requirements [472]. Shareholder Agreements - The company entered into Non-Redemption Agreements on March 8, 2023, with Non-Redeeming Shareholders, agreeing to pay $0.033 per share in cash per month to incentivize them not to redeem shares [465]. Reporting Requirements - The company is evaluating the benefits of relying on reduced reporting requirements under the JOBS Act, which may exempt it from certain financial reporting obligations for five years post-IPO [483].
BYTE Acquisition (BYTS) - 2022 Q4 - Annual Report