Financial Performance - As of March 31, 2022, the company reported a net loss of $274,266, consisting of operating costs of $198,867 and stock compensation expense of $93,216, offset by interest income of $17,817[101]. - The company had cash outside its trust account amounting to $729,032 available for working capital needs as of March 31, 2022[102]. Capital Raising Activities - The initial public offering (IPO) generated gross proceeds of $172,500,000 from the sale of 17,250,000 units at $10.00 per unit[102]. - The company also completed a private placement of 10,625,000 warrants at $1.00 per warrant, generating additional gross proceeds of $10,625,000[104]. - The company incurred a cash underwriting commission of 2% of the gross proceeds of the IPO, totaling $3,450,000, with a deferred underwriting discount of 3.5% amounting to $6,037,500 upon completion of the initial business combination[113]. Equity and Debt - As of March 31, 2022, the company had 17,250,000 shares of Class A ordinary shares subject to possible redemption, presented at redemption value as temporary equity[115]. - The company has no long-term debt or off-balance sheet financing arrangements as of March 31, 2022[107]. - The company has a promissory note agreement with the sponsor for up to $300,000, which was fully repaid by December 21, 2021[112]. Operational Outlook - The company does not anticipate needing to raise additional funds to meet operating expenditures prior to the business combination[106]. - The company has entered into an administrative services agreement to pay the Sponsor $10,000 per month for office space and administrative support[108]. Regulatory and Compliance - The company is evaluating the benefits of reduced reporting requirements under the JOBS Act, which may exempt it from certain disclosures for five years post-IPO[122]. - The company is classified as a smaller reporting company and is not required to provide detailed market risk disclosures[123]. - The CEO and principal financial officer concluded that the company's disclosure controls and procedures were effective as of March 31, 2022[126]. - There have been no material changes in the internal control over financial reporting during the three months ended March 31, 2022[127]. - The company has not disclosed any legal proceedings as of the date of the quarterly report[128]. Risk Factors - There are risks related to changes in laws or regulations that could adversely affect the company's business and operations[129]. - Proposed SEC rules may increase costs and time required for business combination transactions, potentially impairing the company's ability to complete such transactions[131].
AP Acquisition (APCA) - 2022 Q1 - Quarterly Report