Financial Performance - For the three months ended June 30, 2022, the company reported a net loss of $28,536, with general and administrative expenses of $122,688 and interest income of $94,152[92]. - For the six months ended June 30, 2022, the company had a net loss of $182,035, consisting of general and administrative expenses of $282,718 and interest income of $100,683[92]. - The company expects to continue incurring significant costs in pursuit of its acquisition plans and does not expect to generate operating revenues until after completing a business combination[90][91]. - Management has raised substantial doubt about the company's ability to continue as a going concern due to ongoing costs and the need to complete a business combination[105]. IPO and Financing - The company completed its IPO on February 17, 2022, raising gross proceeds of $60,000,000 from the sale of 6,000,000 units at $10.00 per unit[94]. - Following the IPO, the company had $69,690,000 held in a Trust Account, which includes proceeds from the IPO and private placement[98]. - The company incurred transaction costs of $4,918,415 related to the IPO, including $1,380,000 in cash underwriting fees[98]. - The company may need additional financing to complete its business combination or to meet obligations if a significant number of public shares are redeemed[104]. Cash and Working Capital - As of June 30, 2022, the company had cash of $110,265 outside the Trust Account and a working capital of $263,113[105]. - The company has no long-term debt or off-balance sheet financing arrangements as of June 30, 2022[106]. Accounting and Internal Controls - The company has classified the Public Warrants and Private Warrants as equity instruments based on their assessment of the specific terms and applicable guidance, qualifying for equity accounting treatment[112]. - Offering costs related to the IPO include underwriting, legal, accounting, and registration expenses, allocated between public shares and public rights based on their estimated fair values[113]. - The company is currently assessing the impact of ASU 2020-06, effective January 1, 2022, which simplifies accounting for certain financial instruments and introduces additional disclosures for convertible debt[115]. - As of June 30, 2022, the company's disclosure controls and procedures were evaluated as effective by the Certifying Officers[118]. - There were no changes in internal control over financial reporting during the most recent fiscal quarter that materially affected the company's internal control[120].
A SPAC I Acquisition (ASCA) - 2022 Q2 - Quarterly Report