Financial Position - As of June 30, 2023, the company had approximately $100,000 in cash held outside of the Trust Account and a working capital deficit of approximately $1.7 million[123]. - The company had cash held in the Trust Account of approximately $49 million as of June 30, 2023, which is intended to be used for the initial Business Combination[126]. - The company has a working capital deficit and liquidity concerns, raising doubts about its ability to continue as a going concern within one year after the issuance of its financial statements[128]. - After redemptions, the balance in the Trust Account was approximately $48 million[156]. Income and Expenses - For the six months ended June 30, 2023, the company reported a net income of approximately $3.1 million, driven by approximately $3.5 million in income from investments held in the Trust Account[134]. - For the three months ended June 30, 2023, the company reported a net income of approximately $1.7 million, including a gain of approximately $1.4 million from investments held in the Trust Account[132]. - The company incurred operating and formation expenses of approximately $503,000 for the six months ended June 30, 2023[134]. - The company has incurred significant costs in pursuit of acquisition plans and expects to continue doing so[127]. Business Combination - The company has until April 12, 2024, to consummate a Business Combination, or it will face mandatory liquidation[127]. - The company has not yet selected a Business Combination target and has not initiated substantive discussions with any potential targets[118]. Shareholder Actions - Shareholders approved the Extension Proposal, resulting in the redemption of 18,336,279 Class A ordinary shares at approximately $10.30 per share, totaling around $189 million[156]. - Following the Founder Conversion on May 9, 2023, the total outstanding shares increased to 8,665,842 Class A ordinary shares and 1,747,879 Class B ordinary shares[160]. Financing and Liabilities - The Sponsor advanced $160,000 for the first Contribution on April 13, 2023, and continued to deposit $160,000 for subsequent extensions through August 11, 2023[159]. - The Company issued an Extension Promissory Note with a principal amount of up to $1 million, which may be converted into warrants at a price of $1.00 per warrant[158]. - The Company has not considered the effect of the exercise of 18,650,000 Public and Private Placement Warrants in the diluted income per share calculation[148]. - Derivative warrant liabilities are classified as non-current liabilities, indicating that their liquidation is not expected to require current assets[149]. Accounting and Reporting - The Company does not anticipate any material impact from recently issued accounting standards on its financial statements[154]. - The Company evaluated its financial instruments to determine if they qualify as derivatives, with changes in fair value reported in the financial statements[149]. - The Company is classified as a smaller reporting company and is not required to provide certain market risk disclosures[161].
IX Acquisition (IXAQ) - 2023 Q2 - Quarterly Report