Financial Performance - For the three months ended June 30, 2023, the company reported a net income of 874,662 from marketable securities, offset by an unrealized loss of 203,128[119]. - For the six months ended June 30, 2023, the company achieved a net income of 1,228,725 and operating costs amounting to 445,629, with net income impacted by interest earned and unrealized losses on marketable securities[122]. - Net income per share is calculated by dividing net income by the weighted average number of ordinary shares outstanding, with no dilutive securities affecting the calculation as of June 30, 2023[138]. Initial Public Offering - The company completed its initial public offering on February 17, 2023, raising gross proceeds of 10.00 per unit[121]. - The company incurred transaction costs of 2,070,000[121]. Trust Account and Business Combination - As of June 30, 2023, the company held cash and marketable securities in the Trust Account totaling 1,218,289 of interest income and unrealized gains[123]. - The company plans to use substantially all funds in the Trust Account to complete its Business Combination and may withdraw interest to pay taxes[123]. - The company has until November 17, 2023, to complete a Business Combination, with a potential extension to August 17, 2024, if approved[129]. - The company has a contractual obligation to pay its Sponsor up to $10,000 monthly for office space and administrative services until the completion of the Business Combination[132]. - The company has no long-term debt or off-balance sheet arrangements as of June 30, 2023, and has engaged I-Bankers for advisory services related to the Business Combination[131][133]. Internal Controls and Compliance - As of June 30, 2023, the company identified material weaknesses in internal control over financial reporting, particularly in the review process for financial statements[142]. - The company is enhancing its processes to better apply accounting requirements and consult with third-party professionals regarding complex accounting applications[143]. - There were no changes in internal control over financial reporting during the fiscal quarter that materially affected internal controls[145]. - The company does not expect its disclosure controls and procedures to prevent all errors or instances of fraud, acknowledging inherent limitations[144]. Economic and Operational Risks - The company faces potential adverse effects on operations due to economic uncertainties, including inflation, supply chain disruptions, and geopolitical instability[139]. Legal and Regulatory Matters - There is currently no litigation pending or contemplated against the company or its officers[146]. - The company filed various certifications and XBRL documents as part of its quarterly report[150]. - The report was signed by the Chief Executive Officer and Chief Financial Officer on August 11, 2023[151]. Management and Accounting Standards - Management does not anticipate that any recently issued accounting standards will materially impact the unaudited condensed financial statements[138].
Distoken Acquisition (DIST) - 2023 Q2 - Quarterly Report