APx Acquisition I(APXI) - 2022 Q3 - Quarterly Report

Financial Performance - For the three months ended September 30, 2022, the Company reported a net income of $548,031, which included$462,704 in interest income and a $249,047 gain on settlement of deferred underwriting fees [124]. - For the nine months ended September 30, 2022, the net income was$10,891,420, comprising $722,006 in interest income and$10,826,200 in unrealized gains on fair value changes of warrants [125]. - As of September 30, 2022, the Company had $528,263 in its operating bank account and a working capital deficit of$12,870 [127]. IPO and Capital Structure - The Company generated gross proceeds of $172.5 million from the IPO, selling 17,250,000 units at$10.00 per unit, including 2,250,000 units from the underwriters' over-allotment option [119]. - The Company placed $175.95 million from the IPO and Private Placement Warrants proceeds in a Trust Account, invested only in U.S. government securities [121]. - The underwriters waived their right to a deferred fee of approximately$6.04 million, resulting in a gain from settlement of deferred underwriting commissions [122]. Business Combination and Future Plans - The Company has until March 9, 2023, to consummate a Business Combination, after which a mandatory liquidation may occur if not completed [130]. - The Company has not selected any specific business combination target and has not engaged in substantive discussions regarding an initial business combination [118]. - The Company may need to obtain alternative liquidity and capital resources to meet its needs, which may not be available [129]. Regulatory and Accounting Considerations - The Company is assessing the impact of ASU 2020-06 on its financial position, results of operations, or cash flows, effective for fiscal years beginning after December 15, 2023 [143]. - Management does not believe that any recently issued accounting pronouncements will have a material effect on the Company's financial statements [144]. - The Company qualifies as an "emerging growth company" under the JOBS Act, allowing it to delay the adoption of new or revised accounting standards [145]. - The Company is evaluating the benefits of relying on reduced reporting requirements provided by the JOBS Act, which may exempt it from certain disclosures for five years [146]. - The Company is classified as a smaller reporting company and is not required to provide certain market risk disclosures [147]. Expense Expectations - The Company expects to incur increased expenses due to being a public company, including legal and financial reporting costs, and anticipates substantial increases in expenses after this period [123].