Financial Position - As of September 30, 2022, the company had cash outside the trust account of $28,346 available for working capital needs[134]. - The company has no long-term debt obligations or capital lease obligations[151]. - The company does not have any off-balance sheet arrangements as of September 30, 2022, and December 31, 2021[163]. Income and Expenses - For the three months ended September 30, 2022, the company reported a net income of $1,144,259 and incurred operating costs of $254,048[146]. - For the nine months ended September 30, 2022, the company had a net income of $11,223,194 with operating costs of $1,064,064[147]. - The company incurred and accrued $43,157 in administrative support services fees for the three months ended September 30, 2022[152]. - The company incurred $15,712,871 in transaction costs related to its initial public offering, including $5,500,000 in underwriting discounts[129]. Warrant and Equity Information - The company experienced a decrease in fair value of warrant liabilities amounting to $10,646,878 for the nine months ended September 30, 2022[147]. - As of September 30, 2022, 27,500,000 Class A ordinary shares are subject to possible redemption, classified as temporary equity at redemption value[159]. - The company issued a total of 13,000,000 warrants recognized as derivative liabilities, with fair value adjustments made at each reporting period[158]. - The potential ordinary shares from outstanding warrants are excluded from diluted earnings per share calculations due to unmet contingencies[160]. Business Operations and Future Plans - The company has until March 26, 2023, to complete its initial business combination, or it will cease operations and redeem public shares[131]. - The company anticipates significant costs in pursuing acquisition plans and may need to raise additional capital[133]. Financing and Debt - The company issued an unsecured promissory note of up to $750,000, with $555,363 and $77,000 in borrowings outstanding as of September 30, 2022, and December 31, 2021, respectively[153]. - The company amended the promissory note on April 12, 2022, to increase the principal amount to $500,000, and further amended it on August 18, 2022, to $750,000[153]. - The underwriters of the initial public offering are entitled to a deferred underwriting discount of $9,625,000, payable only upon completion of a business combination[154]. Regulatory and Reporting Considerations - The company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new or revised accounting standards[165]. - The company has not provided quantitative and qualitative disclosures about market risk as it is classified as a smaller reporting company[167]. - The company evaluates estimates and judgments related to financial instruments and accrued expenses, which may differ from actual results under different conditions[155].
Disruptive Acquisition I(DISA) - 2022 Q3 - Quarterly Report