Horizon Space Acquisition I (HSPO) - 2023 Q2 - Quarterly Report

Financial Performance - The company had a net income of $757,286 for the three months ended June 30, 2023, primarily from interest and dividend income of $824,928 on investments held in the Trust Account, offset by operating costs of $67,642[107]. - For the six months ended June 30, 2023, the company reported a net income of $1,456,006, with interest and dividend income totaling $1,641,064 and operating costs of $185,058[107]. - The company reported a net loss, with undistributed income calculated by subtracting interest income and unrealized gains or losses from total net loss[128]. Cash and Working Capital - As of June 30, 2023, the company had cash of $374,628 available for working capital needs, with a total working capital of $440,287[113]. - The company intends to use substantially all net proceeds from the IPO to acquire a target business and cover related expenses, including deferred underwriting commissions[110]. IPO and Fundraising - The company raised gross proceeds of $69,000,000 from the IPO by selling 6,900,000 units at an offering price of $10.00 per unit[102]. - The company completed a private placement of 385,750 units at a purchase price of $10.00 per unit, generating gross proceeds of $3,857,500[103]. Assets and Investments - The total assets held in the Trust Account amounted to $71,861,915 as of June 30, 2023, primarily invested in mutual funds[120]. - As of June 30, 2023, assets in the Trust Account were primarily held in mutual funds and U.S. Treasury securities, classified as trading securities[131]. Business Operations and Future Outlook - The company expects to incur significant costs related to being a public company and pursuing a business combination, raising substantial doubt about its ability to continue as a going concern[113]. - The company has not yet identified a target business for its initial business combination and has not generated any revenue since its inception[101]. Debt and Obligations - The company has no long-term debt or capital lease obligations as of June 30, 2023, but is obligated to pay underwriters deferred fees of $2,415,000 upon completion of a business combination[116]. Taxation - The company is considered an exempted Cayman Islands Company, currently not subject to income taxes in the Cayman Islands or the United States, resulting in a de minimis tax provision[135]. Accounting Standards - The adoption of ASU 2020-06 on July 1, 2022, did not materially affect the company's financial statements[136]. Risk Exposure - As of June 30, 2023, the company was not exposed to market or interest rate risk, with IPO proceeds invested in U.S. government treasury bills and money market funds[138].