MoonLake Immunotherapeutics(MLTX) - 2021 Q3 - Quarterly Report

Financial Performance - For the three months ended September 30, 2021, the company reported a net loss of $2,092,025, primarily due to general and administrative expenses of $2,093,506, offset by interest earned on marketable securities of $1,481[118]. - For the nine months ended September 30, 2021, the company had a net loss of $2,320,649, with general and administrative expenses totaling $2,346,085 and interest income of $25,436[118]. Initial Public Offering - The company completed its Initial Public Offering on October 22, 2020, raising gross proceeds of $115,000,000 from the sale of 11,500,000 Public Shares at $10.00 per share[121]. - The company incurred transaction costs of $6,750,447 related to the Initial Public Offering, including $2,300,000 in underwriting fees[122]. Cash and Securities - As of September 30, 2021, the company held $115,040,353 in cash and marketable securities in the Trust Account, intended for completing a Business Combination[125]. - As of September 30, 2021, the company had $1,028,752 in cash held outside the Trust Account, primarily for identifying and evaluating target businesses[126]. Business Combination Plans - The company announced a Business Combination Agreement with MoonLake Immunotherapeutics AG on October 4, 2021, involving a cash contribution and equity exchange[114]. - The company expects to incur significant costs in pursuing its acquisition plans and cannot assure the success of completing a Business Combination[110]. - The company may need additional financing to complete a Business Combination or to cover redemptions of public shares, which could involve issuing additional securities or incurring debt[129]. Financial Position - The company has no long-term debt or off-balance sheet financing arrangements as of September 30, 2021[130]. - Management does not anticipate any material effect on condensed financial statements from recently issued accounting standards[138]. - The company qualifies as a smaller reporting company and is not required to provide additional market risk disclosures[139].