NKGen Biotech(NKGN) - 2021 Q4 - Annual Report

IPO and Fundraising - The company completed its IPO on May 25, 2021, raising gross proceeds of $150.0 million from the sale of 15,000,000 units at $10.00 per unit, with offering costs of approximately $8.8 million[280]. - An additional 2,161,500 units were sold through the over-allotment option, generating approximately $21.6 million in gross proceeds, with further offering costs of about $1.2 million[280]. - The total net proceeds of $171.6 million from the IPO and private placement were placed in a trust account, to be invested in U.S. government securities until a business combination is completed or the trust account is distributed[282]. Financial Performance - As of December 31, 2021, the company reported a net loss of approximately $991,000, which included a non-operating loss of about $4.2 million from private placement warrants and $2.2 million in general and administrative expenses[289]. - The company had approximately $1.7 million in its operating bank account and working capital of approximately $642,000 as of December 31, 2021[285]. - The company incurred approximately $108,000 in administrative service expenses under an agreement with G-SPAC Management LLC from inception through December 31, 2021[294]. - The company may not be able to meet its obligations within one year after the financial statements are issued, raising substantial doubt about its ability to continue as a going concern[287]. Equity and Accounting - The company recognizes changes in the redemption value of its common stock subject to possible redemption immediately as they occur, with 17,161,500 shares classified as temporary equity[300]. - The company does not expect to generate operating revenues until the completion of its initial business combination, relying instead on non-operating income from investments held in the trust account[288]. - The company does not anticipate that any recently issued accounting pronouncements will materially affect its financial statements[305]. - As of December 31, 2021, the company had no off-balance sheet arrangements[306]. - The company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new accounting standards[307]. - 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[308]. - The company is classified as a smaller reporting company and is not required to provide certain market risk disclosures[309].