Financial Performance - For the three months ended June 30, 2023, the company reported a net income of $3,021,243, driven by interest income of $2,914,130 from marketable securities [146]. - For the six months ended June 30, 2023, the company achieved a net income of $5,085,516, with interest income of $5,473,593 from marketable securities [154]. - The company incurred cash used in operating activities of $870,139 for the six months ended June 30, 2023 [156]. - The company has not generated any operating revenues to date and relies on interest income from marketable securities [152]. Cash and Securities - As of June 30, 2023, the company had cash and marketable securities in the Trust Account totaling $245,587,224, including $8,687,224 of interest income [158]. - As of June 30, 2023, the company had cash of $211,340 available for operational expenses and due diligence on target businesses [159]. IPO and Shareholder Activity - The company completed its IPO on January 7, 2022, raising gross proceeds of $230 million from the sale of 23,000,000 units at $10.00 per unit [138]. - An aggregate of 18,785,585 Class A ordinary shares were redeemed by shareholders, resulting in $200.9 million being released from the Trust Account [151]. - The company entered into Non-Redemption Agreements for 3,850,000 Public Shares, agreeing to issue 962,500 Class A ordinary shares upon closing of the initial business combination [150]. Administrative Expenses - The company entered into an agreement to pay the Sponsor a total of $930,000 over eighteen months, which includes an annual salary of $312,000 for the CEO and $200,000 for the COO and CFO [164]. - For the three months ended June 30, 2023, the company incurred $65,333 in fees for administrative support services, compared to $155,000 for the same period in 2022, representing a decrease of approximately 58% [164]. - The company incurred $220,333 in fees for administrative support services for the six months ended June 30, 2023, compared to $621,500 for the same period in 2022, indicating a decrease of approximately 65% [164]. - The company has ceased paying the Sponsor for the CEO's salary and certain administrative support costs as of May 23, 2023, under the Amended Administrative Support Agreement [164]. Underwriting and Warrants - The underwriters received a cash underwriting discount of $0.20 per Unit, totaling $4,600,000, which included $600,000 from the full exercise of the over-allotment option [166]. - The underwriters are entitled to a deferred fee of $0.35 per Unit, amounting to $8,050,000, which will be payable only if the company completes a Business Combination [166]. - The company had 27,400,000 warrants issued and outstanding as of June 30, 2023 [174]. Future Considerations - The company has until April 7, 2024, to complete a business combination, or it will face mandatory liquidation [162]. - The company is classified as an "emerging growth company," allowing it to take advantage of certain exemptions from reporting requirements [181]. - The company’s results may be adversely affected by economic uncertainties, including inflation and geopolitical instability, which could impact its ability to complete an initial Business Combination [186]. Forward Purchase Agreement - The company entered into a forward purchase agreement for up to 3,000,000 shares at $10.00 per share, totaling up to $30,000,000, but the Cartica Funds will not purchase any shares due to a decision by their investment committee [169].
Cartica Acquisition p(CITE) - 2023 Q2 - Quarterly Report