Business Combination and IPO - The company executed a Business Combination Agreement with Liminatus Pharma, LLC on November 30, 2022, intending to use cash from the IPO and private placement proceeds for the merger [121]. - The IPO was consummated on March 9, 2021, raising total gross proceeds of $276 million from the sale of 27,600,000 units at $10.00 per unit [121]. - The Business Combination Agreement has been amended to extend the Outside Date for closing from September 30, 2023, to March 9, 2024 [146]. - The company has raised substantial doubt about its ability to continue as a going concern if the Business Combination is not completed by the specified dates [144]. Financial Performance - For the three months ended June 30, 2023, the company reported a net income of approximately $232,984, primarily from the forgiveness of unrelated vendor payables and unrealized gains on warrants [134]. - For the six months ended June 30, 2023, the company incurred a net loss of $415,732, with formation and offering costs amounting to $1,267,191 [136]. - As of June 30, 2023, the company had a working capital deficit of $3,739,418 and cash in the operating bank account of $115,176 [138]. - During the six months ended June 30, 2023, net cash used in operating activities was $922,726, attributed to the net loss and unrealized gains on warrant liabilities [139]. - The company has not generated any operating revenue to date and will not do so until the completion of the initial Business Combination [133]. Stockholder Activity - Stockholders redeemed 26,186,896 Public Shares for cash at a redemption price of approximately $10.08 per share, totaling an aggregate redemption amount of $263,963,913 [127]. Accounting and Financial Reporting - Common stock subject to possible redemption is classified as temporary equity, presented at redemption value outside of stockholders' equity [148]. - Derivative instruments, including warrants, are recorded at fair value and re-valued at each reporting date, with changes reported in the condensed statements of operations [149]. - The allocation of IPO proceeds between Class A common stock and warrants is done using the residual method, prioritizing the fair value of warrants [150]. - The adoption of ASU 2020-06 on January 1, 2021, simplified accounting for convertible instruments but did not impact the company's financial position or cash flows [151]. - Management believes that recently issued accounting standards will not have a material effect on the condensed financial statements [153].
Iris Acquisition p(IRAA) - 2023 Q2 - Quarterly Report