SK Growth Opportunities (SKGR) - 2022 Q3 - Quarterly Report

Financial Performance - For the three months ended September 30, 2022, the Company reported a net income of approximately $303,000, consisting of approximately $594,000 in income from investments held in the Trust Account[141]. - For the nine months ended September 30, 2022, the Company reported a net income of approximately $189,000, with approximately $601,000 in income from investments held in the Trust Account[142]. - The Company will not generate operating revenues until the completion of its initial Business Combination, with non-operating income expected from interest on the Trust Account[140]. Initial Public Offering (IPO) - The Company raised gross proceeds of $200.0 million from its Initial Public Offering (IPO) by selling 20,000,000 Units at $10.00 per Unit, incurring offering costs of approximately $12.0 million[125]. - The underwriter is entitled to an underwriting discount of $0.20 per Unit, totaling approximately $4.0 million, with an additional deferred fee of $0.35 per Unit, approximately $7.0 million in total[145]. - The Company has 18 months from the closing of the IPO to consummate an initial Business Combination, or until December 28, 2023, with the possibility of extending this period by up to 24 months[132]. Financial Position - As of September 30, 2022, the Company had approximately $611,000 in cash and working capital of approximately $1.1 million[135]. - As of September 30, 2022, 20,960,000 Class A ordinary shares subject to possible redemption are presented as temporary equity, outside of the shareholders' deficit section of the balance sheet[156]. - The net income per ordinary share calculation allocates income shared pro rata between Class A and Class B ordinary shares, excluding remeasurement associated with redeemable Class A ordinary shares[159]. Risks and Uncertainties - The Company has identified the impact of the COVID-19 pandemic and geopolitical events as potential risks that could affect its financial position and operations[138][139]. Accounting and Reporting - The company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new or revised accounting standards[163]. - The company does not believe that any recently issued accounting standards updates would have a material effect on the accompanying unaudited condensed financial statements[160]. - The company has not had any off-balance sheet arrangements as of September 30, 2022[162]. - The Public Warrants and Private Placement Warrants were initially measured at fair value, with subsequent changes in fair value not recognized as long as classified in equity[154]. - The Over-Allotment Option was recognized as a derivative liability and adjusted to fair value at each reporting period[155]. - The company evaluates embedded conversion features within convertible debt instruments to determine if they should be accounted for as derivatives[153]. - Changes in redemption value for Class A ordinary shares are recognized immediately, adjusting the carrying value to equal the redemption value at the end of each reporting period[157]. - The company is exempt from certain reporting requirements for a period of five years following the completion of its initial public offering[164]. Administrative Expenses - The Company incurred $30,000 in administrative expenses for related party services for both the three and nine months ended September 30, 2022[148]. Shareholder Redemption - The Company has the option to redeem Public Shares for a pro rata portion of the amount held in the Trust Account, initially at $10.25 per Public Share[131].