☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
98-1566891 | ||||
(State or other jurisdiction of | (I.R.S. Employer Identification No.) |
3240 Hillview Ave Palo Alto, CA | ||||
(Address | (Zip Code) |
Title of each class: | Trading | Name of each exchange on which registered: | ||
The Nasdaq Stock Market LLC | ||||
The Nasdaq Stock Market LLC |
Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer | ☒ | Smaller reporting company | ☒ | |||
Emerging growth company | ☒ |
Page | ||||||
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2 | ||||||
3 | ||||||
4 | ||||||
5 | ||||||
Item 2. | ||||||
Item 3. | 23 | |||||
Item 4. | 23 | |||||
Item 1. | 24 | |||||
Item 1A. | 24 | |||||
Item 2. | ||||||
Item 3. | ||||||
Item 4. | ||||||
Item 5. | ||||||
Item 6. | ||||||
25 |
June 30, 2021 | December 31, 2020 | |||||||
(Unaudited) | ||||||||
Assets | ||||||||
Current assets: | ||||||||
Cash | $ | 877,620 | $ | 2,266,049 | ||||
Prepaid expenses | 636,568 | 831,645 | ||||||
Total current assets | 1,514,188 | 3,097,694 | ||||||
Cash held in Trust Account | 373,750,000 | 373,750,000 | ||||||
Total Assets | $ | 375,264,188 | $ | 376,847,694 | ||||
Liabilities and Shareholders’ Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 4,289,351 | $ | 578,902 | ||||
Accrued expenses | 1,014,468 | 488,824 | ||||||
Total current liabilities | 5,303,819 | 1,067,726 | ||||||
Deferred legal fees | 462,409 | 0 | ||||||
Deferred underwriting commissions | 13,081,250 | 13,081,250 | ||||||
Derivative warrant liabilities | 20,045,330 | 27,249,130 | ||||||
Total liabilities | 38,892,808 | 41,398,106 | ||||||
Commitments and Contingencies | 0 | 0 | ||||||
Class A ordinary shares, $0.0001 par value; 33,137,137 and 33,044,958 shares subject to possible redemption at $10.00 per share at June 30, 2021 and December 31, 2020, respectively | 331,371,370 | 330,449,580 | ||||||
Shareholders’ Equity | ||||||||
Preference shares, $0.0001 par value; 5,000,000 shares authorized; NaN issued and outstanding at June 30, 2021 and December 31, 2020 | 0 | 0 | ||||||
Class A ordinary shares, $0.0001 par value; 500,000,000 shares authorized; 4,237,863 and 4,330,042 shares issued and outstanding (excluding 33,137,137 and 33,044,958 shares subject to possible redemption) at June 30, 2021 and December 31, 2020, respectively | 424 | 433 | ||||||
Class B ordinary shares, $0.0001 par value; 50,000,000 shares authorized; 9,343,750 shares issued and outstanding at June 30, 2021 and December 31, 2020 | 934 | 934 | ||||||
Additional paid-in capital | 8,446,652 | 9,830,842 | ||||||
Accumulated deficit | (3,448,000 | ) | (4,832,201 | ) | ||||
Total shareholders’ equity | 5,000,010 | 5,000,008 | ||||||
Total Liabilities and Shareholders’ Equity | $ | 375,264,188 | $ | 376,847,694 | ||||
September 30, 2021 | December 31, 2020 | |||||||
(Unaudited) | ||||||||
Assets | ||||||||
Current assets: | ||||||||
Cash | $ | 833,608 | $ | 2,266,049 | ||||
Prepaid expenses | 514,151 | 831,645 | ||||||
Total current assets | 1,347,759 | 3,097,694 | ||||||
Cash held in Trust Account | 373,750,000 | 373,750,000 | ||||||
Total Assets | $ | 375,097,759 | $ | 376,847,694 | ||||
Liabilities, Class A Ordinary Shares Subject to Possible Redemption and Shareholders’ Deficit | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 7,498,600 | $ | 578,902 | ||||
Accrued expenses | 87,181 | 488,824 | ||||||
Total current liabilities | 7,585,781 | 1,067,726 | ||||||
Deferred legal fees | 462,409 | 0 | ||||||
Deferred underwriting commissions | 13,081,250 | 13,081,250 | ||||||
Derivative warrant liabilities | 20,984,960 | 27,249,130 | ||||||
Total liabilities | 42,114,400 | 41,398,106 | ||||||
Commitments and Contingencies | 0 | 0 | ||||||
Class A ordinary shares subject to possible redemption, $0.0001 par value; 37,375,000 and 37,375,000 shares at $10.00 per share at September 30, 2021 and December 31, 2020 | 373,750,000 | 373,750,000 | ||||||
Shareholders’ Deficit | ||||||||
Preference shares, $0.0001 par value; 5,000,000 shares authorized; NaN issued and outstanding at September 30, 2021 and December 31, 2020 | 0 | 0 | ||||||
Class A ordinary shares, $0.0001 par value; 500,000,000 shares authorized and NaN outstanding except shares subject to redemption at September 30, 2021 and December 31, 2020 | 0 | 0 | ||||||
Class B ordinary shares, $0.0001 par value; 50,000,000 shares authorized; 9,343,750 shares issued and outstanding at September 30, 2021 and December 31, 2020 | 934 | 934 | ||||||
Accumulated deficit | (40,767,575 | ) | (38,301,346 | ) | ||||
Total shareholders’ deficit | (40,766,641 | ) | (38,300,412 | ) | ||||
Total Liabilities, Class A Ordinary Shares Subject to Possible Redemption and Shareholders’ Deficit | $ | 375,097,759 | $ | 376,847,694 | ||||
For The Three Months Ended June 30, 2021 | For The Six Months Ended June 30, 2021 | |||||||
General and administrative expenses | $ | 2,357,741 | $ | 5,819,599 | ||||
Loss from operations | (2,357,741 | ) | (5,819,599 | ) | ||||
Other income / (expense) | ||||||||
Change in fair value of derivative warrant liabilities | (626,410 | ) | 7,203,800 | |||||
Net income (loss) | $ | (2,984,151 | ) | $ | 1,384,201 | |||
Weighted average Class A ordinary shares outstanding, basic and diluted | 37,375,000 | 37,375,000 | ||||||
Basic and diluted net income per ordinary share, Class A | $ | 0 | $ | 0 | ||||
Weighted average Class B ordinary shares outstanding, basic and diluted | 9,343,750 | 9,343,750 | ||||||
Basic and diluted net income (loss) per ordinary share, Class B | $ | (0.32 | ) | $ | 0.15 | |||
For The Three Months Ended September 30, 2021 | For The Nine Months Ended September 30, 2021 | |||||||
General and administrative expenses | $ | 2,448,391 | $ | 8,267,990 | ||||
Loss from operations | (2,448,391 | ) | (8,267,990 | ) | ||||
Other expenses | ||||||||
Change in fair value of derivative warrant liabilities | (939,630 | ) | 6,264,170 | |||||
Net loss | $ | (3,388,021 | ) | $ | (2,003,820 | ) | ||
Weighted average shares outstanding of Class A ordinary shares, basic and diluted | 37,375,000 | 37,375,000 | ||||||
Basic and diluted net loss per share, Class A ordinary shares | $ | (0.07 | ) | $ | (0.04 | ) | ||
Weighted average shares outstanding of Class B ordinary shares, basic and diluted | 9,343,750 | 9,343,750 | ||||||
Basic and diluted net loss per share, Class B ordinary shares | $ | (0.07 | ) | $ | (0.04 | ) | ||
Ordinary Shares | Total | |||||||||||||||||||||||||||
Class A | Class B | Additional Paid-in | Accumulated | Shareholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Equity | ||||||||||||||||||||||
Balance - December 31, 2020 | 4,330,042 | $ | 433 | 9,343,750 | $ | 934 | $ | 9,830,842 | $ | (4,832,201 | ) | $ | 5,000,008 | |||||||||||||||
Offering costs | — | — | — | — | (266,102 | ) | — | (266,102 | ) | |||||||||||||||||||
Shares subject to possible redemption | (410,225 | ) | (41 | ) | — | — | (4,102,209 | ) | — | (4,102,250 | ) | |||||||||||||||||
Net income | — | — | — | — | — | 4,368,352 | 4,368,352 | |||||||||||||||||||||
Balance - March 31, 2021 (Unaudited) | 3,919,817 | 392 | 9,343,750 | 934 | 5,462,531 | (463,849 | ) | 5,000,008 | ||||||||||||||||||||
Offering costs | — | — | — | — | (196,307 | ) | — | (196,307 | ) | |||||||||||||||||||
Shares subject to possible redemption | 318,046 | 32 | — | — | 3,180,428 | — | 3,180,460 | |||||||||||||||||||||
Net loss | — | — | — | — | — | (2,984,151 | ) | (2,984,151 | ) | |||||||||||||||||||
Balance - June 30, 2021 (Unaudited) | 4,237,863 | $ | 424 | 9,343,750 | $ | 934 | $ | 8,446,652 | $ | (3,448,000 | ) | $ | 5,000,010 | |||||||||||||||
Ordinary Shares | Additional Paid-in Capital | Total Shareholders’ Deficit | ||||||||||||||||||||||||||
Class A | Class B | Accumulated Deficit | ||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||
Balance - December 31, 2020 | — | $ | — | 9,343,750 | $ | 934 | $ | 0 | $ | (38,301,346 | ) | $ | (38,300,412 | ) | ||||||||||||||
Accretion of Class A ordinary shares subject to possible redemption | — | — | — | — | — | (266,102 | ) | (266,102 | ) | |||||||||||||||||||
Net income | — | — | — | — | — | 4,368,352 | 4,368,352 | |||||||||||||||||||||
Balance - March 31, 2021 (Unaudited) (as restated) | — | — | 9,343,750 | 934 | 0 | (34,199,096 | ) | (34,198,162 | ) | |||||||||||||||||||
Accretion of Class A ordinary shares subject to possible redemption | — | — | — | — | — | (196,307 | ) | (196,307 | ) | |||||||||||||||||||
Net loss | — | — | — | — | — | (2,984,151 | ) | (2,984,151 | ) | |||||||||||||||||||
Balance - June 30, 2021 (Unaudited) (as restated) | — | — | 9,343,750 | 934 | 0 | (37,379,554 | ) | (37,378,620 | ) | |||||||||||||||||||
Net loss | — | — | — | — | — | (3,388,021 | ) | (3,388,021 | ) | |||||||||||||||||||
Balance - September 30, 2021 (Unaudited) | — | $ | — | 9,343,750 | $ | 934 | $ | 0 | $ | (40,767,575 | ) | $ | (40,766,641 | ) | ||||||||||||||
Cash Flows from Operating Activities: | ||||
Net income | $ | 1,384,201 | ||
Adjustment to reconcile net income to net cash used in operating activities: | ||||
Change in fair value of derivative warrant liabilities | (7,203,800 | ) | ||
Changes in operating assets and liabilities: | ||||
Prepaid expenses | 195,077 | |||
Accounts payable | 3,710,449 | |||
Accrued expenses | 890,878 | |||
Net cash used in operating activities | (1,023,195 | ) | ||
Cash Flows from Financing Activities: | ||||
Offering costs paid | (365,234 | ) | ||
Net cash used in financing activities | (365,234 | ) | ||
Net change in cash | (1,388,429 | ) | ||
Cash - beginning of the period | 2,266,049 | |||
Cash - end of the period | $ | 877,620 | ||
Supplemental disclosure of noncash financing activities: | ||||
Deferred legal fees | $ | 462,409 | ||
Change in initial value of Class A ordinary shares subject to possible redemption | $ | 921,790 |
Cash Flows from Operating Activities: | ||||
Net loss | $ | (2,003,820 | ) | |
Adjustments to reconcile net loss to net cash used in operating activities: | ||||
Change in fair value of derivative warrant liabilities | (6,264,170 | ) | ||
Changes in operating assets and liabilities: | ||||
Prepaid expenses | 317,494 | |||
Accounts payable | 6,919,698 | |||
Accrued expenses | (36,409 | ) | ||
Net cash used in operating activities | (1,067,207 | ) | ||
Cash Flows from Financing Activities: | ||||
Offering costs paid | (365,234 | ) | ||
Net cash used in financing activities | (365,234 | ) | ||
Net change in cash | (1,432,441 | ) | ||
Cash - beginning of the period | 2,266,049 | |||
Cash - end of the period | $ | 833,608 | ||
Supplemental disclosure of noncash financing activities: | ||||
Deferred legal fees | $ | 462,409 |
As of March 31, 2021 (unaudited) | As Reported | Adjustment | As Restated | |||||||||
Total assets | $ | 375,724,274 | $ | 375,724,274 | ||||||||
Total liabilities | $ | 36,172,436 | $ | 36,172,436 | ||||||||
Class A ordinary shares subject to redemption at $10.00 per share | $ | 334,551,830 | $ | 39,198,170 | $ | 373,750,000 | ||||||
Preference shares | 0 | 0 | 0 | |||||||||
Class A ordinary shares | 392 | (392 | ) | 0 | ||||||||
Class B ordinary shares | 934 | 0 | 934 | |||||||||
Additional paid-in capital | 5,462,531 | (5,462,531 | ) | 0 | ||||||||
Accumulated deficit | (463,849 | ) | (33,735,247 | ) | (34,199,096 | ) | ||||||
Total shareholders’ equity (deficit) | $ | 5,000,008 | $ | (39,198,170 | ) | $ | (34,198,162 | ) | ||||
Total Liabilities, Class A Ordinary Shares Subject to Possible Redemption and Shareholders’ Equity (Deficit) | $ | 375,724,274 | $ | 0 | $ | 375,724,274 | ||||||
Shares of Class A ordinary shares subject to redemption | 33,455,183 | 3,919,817 | 37,375,000 | |||||||||
Shares of Class A ordinary shares | 3,919,817 | (3,919,817 | ) | 0 |
Form 10-Q: three months ended March 31, 2021 (unaudited) | ||||||||||||
Supplemental Disclosure of Noncash Financing Activities | ||||||||||||
Change in value of Class A ordinary shares subject to possible redemption | $ | 4,102,250 | $ | (4,102,250 | ) | $ | 0 |
As of June 30, 2021 (unaudited) | As Reported | Adjustment | As Restated | |||||||||
Total assets | $ | 375,264,188 | $ | 375,264,188 | ||||||||
Total liabilities | $ | 38,892,808 | $ | 38,892,808 | ||||||||
Class A ordinary shares subject to redemption at $10.00 per share | $ | 331,371,370 | $ | 42,378,630 | $ | 373,750,000 | ||||||
Preference shares | 0 | 0 | 0 | |||||||||
Class A ordinary shares | 424 | (424 | ) | 0 | ||||||||
Class B ordinary shares | 934 | 0 | 934 | |||||||||
Additional paid-in capital | 8,446,652 | (8,446,652 | ) | 0 | ||||||||
Accumulated deficit | (3,448,000 | ) | (33,931,554 | ) | (37,379,554 | ) | ||||||
Total shareholders’ equity (deficit) | $ | 5,000,010 | $ | (42,378,630 | ) | $ | (37,378,620 | ) | ||||
Total Liabilities, Class A Ordinary Shares Subject to Possible Redemption and Shareholders’ Equity (Deficit) | $ | 375,264,188 | $ | 0 | $ | 375,264,188 | ||||||
Shares of Class A ordinary shares subject to redemption | 33,137,137 | 4,237,863 | 37,375,000 | |||||||||
Shares of Class A ordinary shares | 4,237,863 | (4,237,863 | ) | 0 |
Form 10-Q: six months ended June 30, 2021 (unaudited) | ||||||||||||
Supplemental Disclosure of Noncash Financing Activities | ||||||||||||
Change in value of Class A ordinary shares subject to possible redemption | $ | 921,790 | $ | (921,790 | ) | $ | 0 |
Earnings Per Share | ||||||||||||
As Reported | Adjustment | As Restated | ||||||||||
Three Months Ended March 31, 2021 (unaudited) | ||||||||||||
Net income | $ | 4,368,352 | $ | 0 | $ | 4,368,352 | ||||||
Weighted average shares outstanding - Class A ordinary shares | 37,375,000 | 0 | 37,375,000 | |||||||||
Basic and diluted earnings per share - Class A ordinary shares | $ | 0 | $ | 0.09 | $ | 0.09 | ||||||
Weighted average shares outstanding - Class B ordinary shares | 9,343,750 | 0 | 9,343,750 | |||||||||
Basic and diluted earnings per share - Class B ordinary shares | $ | 0.47 | $ | (0.38 | ) | $ | 0.09 |
Earnings Per Share | ||||||||||||
As Reported | Adjustment | As Restated | ||||||||||
Three Months Ended June 30, 2021 (unaudited) | ||||||||||||
Net loss | $ | (2,984,151 | ) | $ | 0 | $ | (2,984,151 | ) | ||||
Weighted average shares outstanding - Class A ordinary shares | 37,375,000 | 0 | 37,375,000 | |||||||||
Basic and diluted loss per share - Class A ordinary shares | $ | 0 | $ | (0.06 | ) | $ | (0.06 | ) | ||||
Weighted average shares outstanding - Class B ordinary shares | 9,343,750 | 0 | 9,343,750 | |||||||||
Basic and diluted loss per share - Class B ordinary shares | $ | (0.32 | ) | $ | 0.26 | $ | (0.06 | ) |
Earnings Per Share | ||||||||||||
As Reported | Adjustment | As Restated | ||||||||||
Six Months Ended June 30, 2021 (unaudited) | ||||||||||||
Net income | $ | 1,384,201 | $ | 0 | $ | 1,384,201 | ||||||
Weighted average shares outstanding - Class A ordinary shares | 37,375,000 | 0 | 37,375,000 | |||||||||
Basic and diluted earnings per share - Class A ordinary shares | $ | 0 | $ | 0.03 | $ | 0.03 | ||||||
Weighted average shares outstanding - Class B ordinary shares | 9,343,750 | 0 | 9,343,750 | |||||||||
Basic and diluted earnings per share - Class B ordinary shares | $ | 0.15 | $ | (0.12 | ) | $ | 0.03 |
For the Three Months Ended September 30, 2021 | For the Nine Months Ended September 30, 2021 | |||||||||||||||
Class A | Class B | Class A | Class B | |||||||||||||
Basic and diluted net loss per ordinary share: | ||||||||||||||||
Numerator: | ||||||||||||||||
Allocation of net loss | (2,710,417 | ) | (677,604 | ) | (1,603,056 | ) | (400,764 | ) | ||||||||
Denominator: | ||||||||||||||||
Basic and diluted weighted average ordinary shares outstanding | 37,375,000 | 9,343,750 | 37,375,000 | 9,343,750 | ||||||||||||
Basic and diluted net loss per ordinary share | $ | (0.07) | $ | (0.07) | $ | (0.04) | $ | (0.04) | ||||||||
For The Three Months Ended June 30, 2021 | For The Six Months Ended June 30, 2021 | |||||||
Class A Ordinary shares subject to possible redemption | ||||||||
Numerator: Earnings allocable to Ordinary shares subject to possible redemption | ||||||||
Income from investments held in Trust Account | $ | 0 | $ | 0 | ||||
Less: Company’s portion available to be withdrawn to pay taxes | 0 | 0 | ||||||
Net income attributable | $ | 0 | $ | 0 | ||||
Denominator: Weighted average Class A ordinary shares subject to possible redemption | ||||||||
Basic and diluted weighted average shares outstanding | 37,375,000 | 37,375,000 | ||||||
Basic and diluted net income per share | $ | 0 | $ | 0 | ||||
Non-Redeemable Ordinary Shares | ||||||||
Numerator: Net Income (Loss) minus Net Earnings | ||||||||
Net income (loss) | $ | (2,984,151 | ) | $ | 1,384,201 | |||
Net income allocable to Class A ordinary shares subject to possible redemption | 0 | 0 | ||||||
Non-redeemable | $ | (2,984,151 | ) | $ | 1,384,201 | |||
Denominator: W eighted averageNon-redeemable ordinary shares | ||||||||
Basic and diluted weighted average shares outstanding, Non-redeemable ordinary shares | 9,343,750 | 9,343,750 | ||||||
Basic and diluted net loss per share, Non-redeemable ordinary shares | $ | (0.32 | ) | $ | 0.15 | |||
Gross proceeds | $ | 373,750,000 | ||
Less: | ||||
Fair value of Public Warrants at issuance | (14,015,630 | ) | ||
Offering costs allocated to Class A ordinary shares subject to possible redemption | (19,939,990 | ) | ||
Plus: | ||||
Accretion on Class A ordinary shares subject to possible redemption amount | 33,955,620 | |||
Class A ordinary shares subject to possible redemption | $ | 373,750,000 | ||
Description | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | |||||||||
Liabilities: | ||||||||||||
Derivative warrant liabilities - Public | $ | 12,520,630 | $ | 0 | $ | 0 | ||||||
Derivative warrant liabilities - Private | $ | 0 | $ | 8,464,330 | $ | 0 |
Description | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | |||||||||
Liabilities: | ||||||||||||
Derivative warrant liabilities - Public | $ | 11,960,000 | $ | 0 | $ | 0 | ||||||
Derivative warrant liabilities - Private | $ | 0 | $ | 8,085,330 | $ | 0 |
Description | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | |||||||||
Liabilities: | ||||||||||||
Derivative warrant liabilities - Public | $ | 0 | $ | 0 | $ | 16,258,130 | ||||||
Derivative warrant liabilities - Private | $ | 0 | $ | 0 | $ | 10,991,000 |
Level 3 - Derivative warrant liabilities at December 31, 2020 | $ | 27,249,130 | ||
Change in fair value of derivative warrant liabilities | (3,158,330 | ) | ||
Transfer of Public Warrants out of level 3 | (16,258,130 | ) | ||
Level 3 - Derivative warrant liabilities at March 31, 2021 | $ | 7,832,670 | ||
Transfer of Private Warrants out of level 3 | (7,832,670 | ) | ||
Level 3 - Derivative warrant liabilities at June 30, 2021 | $ | 0 | ||
Level 3 - Derivative warrant liabilities at December 31, 2020 | $ | 27,249,130 | ||
Change in fair value of derivative warrant liabilities | (3,158,330 | ) | ||
Transfer of Public Warrants out of level 3 | (16,258,130 | ) | ||
Level 3 - Derivative warrant liabilities at March 31, 2021 | 7,832,670 | |||
Transfer of Private Warrants out of level 3 | (7,832,670 | ) | ||
Level 3 - Derivative warrant liabilities at June 30, 2021 | 0 | |||
Change in fair value of derivative warrant liabilities | 0 | |||
Level 3 - Derivative warrant liabilities at September 30, 2021 | $ | 0 | ||
* | These certifications are furnished to the SEC pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such filing. |
Date: December 20, 2021 | By: | /s/ | ||||||
Date: December 20, 2021 | By: | /s/ Fareed Khan | ||||||
Fareed Khan | ||||||||
Chief Financial Officer |