Southport Acquisition (PORT) - 2023 Q1 - Quarterly Report

Financial Performance - The Company had a net income of $1,184,465 for the three months ended March 31, 2023, consisting of $2,525,300 in dividend income from marketable securities, offset by various expenses totaling $1,340,878[120]. - The Company has not yet commenced any operations and has not generated any operating revenues to date[118]. Cash and Working Capital - As of March 31, 2023, the Company had cash of $16,721 and a working capital deficit of $1,728,262[122]. - The Company expects to incur approximately $1,065,000 in liquidity requirements over the next 12 months, including $180,000 for office space and $300,000 for legal and accounting fees[126]. - The Company plans to seek loans from its management team or sponsor to address working capital deficiencies, with up to $1,500,000 of such loans potentially convertible into warrants[127]. IPO and Financing - The Company generated gross proceeds of $230,000,000 from its IPO, with an additional $11,700,000 raised through a private placement of warrants[114]. - The Trust Account held $43,525,120 as of June 9, 2023, after 18,849,935 shares of Class A common stock were redeemed for $197,694,657 in cash[131]. - The underwriter waived its entitlement to a deferred underwriting fee of $8,050,000, which was contingent upon completing a business combination[134]. - The underwriter exercised a full option to purchase 3,000,000 additional units at the IPO price, resulting in an underwriting commission of $4,600,000[137]. - A deferred fee of $8,050,000 was waived by the underwriter, which was recorded to accumulated deficit[138]. Expenses and Compliance - The Company has incurred increased expenses due to being a public company, including legal and accounting compliance costs[119]. - The company has not identified any critical accounting estimates as of March 31, 2023[139]. Investment and Risk Management - The net proceeds from the IPO and Private Placement are invested in U.S. government securities with a maturity of 185 days or less, minimizing exposure to interest rate risk[142]. - The Company has no long-term debt or off-balance sheet arrangements as of March 31, 2023[132].