Financial Position - As of September 30, 2022, the company had cash of $578,466 and net proceeds from the IPO and private placement warrants amounted to $351,900,000 after deducting offering expenses and underwriting commissions[103][108]. - The company has available approximately $578,466 of proceeds held outside the trust account for identifying and evaluating target businesses[110]. - The underwriter is entitled to a deferred fee of $12,075,000, which will be payable only if the company completes a business combination[121]. Income and Expenses - For the three months ended September 30, 2022, the company reported a net income of $2,794,665, driven by a $2,067,000 gain on the fair value of warrant liabilities and $1,588,336 in interest income[105]. - The company incurred $860,671 in formation and operating costs for the same period, while for the nine months ended September 30, 2022, total net income was $23,929,062[105]. - The company has not engaged in any operations or generated revenues to date, with only non-operating income from interest on cash and cash equivalents[104]. Business Combination and Financing - The company intends to use substantially all funds held in the trust account to complete its initial business combination, with the remaining proceeds allocated for working capital[109]. - The company may need to obtain additional financing to complete its initial business combination if cash requirements exceed available funds in the trust account[114]. - The company expects future liquidity requirements to include legal, accounting, and due diligence expenses associated with structuring and negotiating business combinations[112]. Risk and Controls - As of September 30, 2022, the company was not subject to any material market or interest rate risk, with investments in U.S. government treasury obligations and money market funds[128]. - The company has not engaged in any hedging activities since inception and does not expect to do so in the future[129]. - Disclosure controls and procedures were evaluated as effective as of September 30, 2022, by the company's Certifying Officers[130]. - There were no changes in internal control over financial reporting during the most recent fiscal quarter that materially affected internal controls[133]. - The company has considered all new accounting pronouncements and found no that may materially impact its results of operations or financial condition[126]. - The company is currently evaluating the effect of ASU No. 2020-06 on its financial position, which is effective January 1, 2024 for smaller reporting companies[125]. Growth and Reporting - The company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new accounting standards[122]. - The company is evaluating the benefits of reduced reporting requirements under the JOBS Act, which may exempt it from certain disclosures for five years post-IPO[123]. Economic Factors - There are various factors that may adversely affect the company's results, including economic downturns, inflation, and geopolitical instability[127].
Investcorp Europe Acquisition I(IVCB) - 2022 Q3 - Quarterly Report