Financial Position - As of September 30, 2023, the investment in the Company's Trust Account consisted of $45,697,836 in money market funds, down from $240,107,374 in U.S. Treasury Securities as of December 31, 2022[136]. - The Company’s Trust Account had $0 in cash as of September 30, 2023, compared to $163 in cash as of December 31, 2022[136]. - As of September 30, 2023, the Company had cash and marketable securities held in the Trust Account amounting to $45,697,836, including $2,289,362 of interest income[170]. - The fair value of the Private Placement Warrants was $954,000 as of September 30, 2023, down from $1,272,000 at December 31, 2022[141]. - The fair value of Private Placement Warrants and Public Warrants as of September 30, 2023, was determined to be $0.06 and $0.05 per warrant, with aggregate values of $954,000 and $575,000, respectively[157]. Income and Expenses - For the three months ended September 30, 2023, the Company reported a net income of $767,348, driven by interest income of $1,028,410, offset by operating and formation costs of $261,062[167]. - For the nine months ended September 30, 2023, the Company achieved a net income of $5,852,864, primarily from interest income of $6,502,003 and a change in fair value of warrant liabilities of $548,000, despite operating costs of $1,411,359[185]. - The Company incurred and paid $50,000 and $270,333 in fees for administrative support services for the three and nine months ended September 30, 2023, compared to $155,000 and $776,500 for the same periods in 2022[124]. - The Company paid $601,167 to the Sponsor at the closing of the IPO, which included compensation and bonuses for executives[124]. - The Company entered into an agreement to pay its Sponsor a total of $930,000 over eighteen months, including $312,000 annual salary for the CEO and $200,000 for the COO/CFO[193]. Business Combination and Operations - The Company has until April 7, 2024, to complete a Business Combination, or it will cease operations and redeem Public Shares[150]. - The Company extended the deadline for completing a Business Combination from July 7, 2023, to April 7, 2024, with shareholders redeeming 18,785,585 Class A ordinary shares, resulting in approximately $200.9 million released from the Trust Account[152]. - The Company has not generated any operating revenues to date and does not expect to do so until after completing a Business Combination[153]. - The underwriters are entitled to a deferred fee of $8,050,000, which will only be payable if the company completes a Business Combination[196]. Compliance and Regulatory Issues - The company received a deficiency notice from Nasdaq for failing to maintain a minimum of 400 public holders of its ordinary shares, risking delisting[213]. - If the company does not regain compliance with Nasdaq listing rules, its securities may be quoted on an over-the-counter market, leading to reduced liquidity and analyst coverage[238]. - The company has engaged a consulting agency to assist in submitting a plan to regain compliance with Nasdaq[213]. - There is uncertainty about the applicability of the Investment Company Act to SPACs, which could force the company to liquidate if deemed an unregistered investment company[242]. Liquidation Risks - The company plans to liquidate the funds in the Trust Account to avoid being deemed an unregistered investment company, which may reduce the amount public shareholders receive upon redemption[217]. - If the company is required to liquidate, investors would not benefit from owning stock in a successor operating business, and warrants could expire worthless[242]. - The company may liquidate securities held in the Trust Account at any time, potentially reducing the amount public stockholders receive upon redemption or liquidation[243]. - Holding all funds in the Trust Account in cash items could further decrease the dollar amount received by public stockholders[244]. Capital Raising - The Company raised gross proceeds of $230.0 million from its IPO of 23,000,000 units at $10.00 per unit on January 7, 2022[147]. - Cartica Investors, LP and Cartica Investors II, LP purchased 1,980,000 units in the IPO for an aggregate amount of $19,800,000[125]. - The Company issued a promissory note to the Sponsor allowing borrowing up to $300,000, with $100,000 outstanding as of September 30, 2023[188]. - As of September 30, 2023, the company has an outstanding balance of $100,000 on the Second Promissory Note, with a total borrowing capacity of $300,000 under this note[197]. General Information - The company is classified as an "emerging growth company," allowing it to take advantage of certain exemptions from reporting requirements[203]. - The SEC proposed rules on March 30, 2022, regarding disclosures in SEC filings for SPAC business combinations[241].
Cartica Acquisition p(CITE) - 2023 Q3 - Quarterly Report