UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM

10-Q

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended ~~June~~September 30, 2023

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from

Four Leaf Acquisition Corporation

(Exact name of registrant as specified in its charter)


Delaware	001-41646	88-1178935
(State or other jurisdiction of incorporation or organization)	(Commission File Number)	(I.R.S. Employer Identification Number)

4546 El Camino Real B10 #715,
Los Altos, California		94022
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (650)

720-5626

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:


Title of Each Class:	Trading Symbol:	Name of Each Exchange on Which Registered:
Units, each consisting of one share of Class A	FORLU	The Nasdaq Stock Market LLC
common stock and one redeemable Warrant	~~FORLU~~	~~The Nasdaq Stock Market LLC~~
Class A common stock, par value $0.0001 per share	FORL	The Nasdaq Stock Market LLC
Warrants, each exercisable for one share of	FORLW	The Nasdaq Stock Market LLC
Class A common stock for $11.50 per share	~~FORLW~~	~~The Nasdaq Stock Market LLC~~

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒

No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation

S-T

(§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a

non-accelerated

filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule

12b-2

of the Exchange Act.

If an emerging growth company, indicate by check mark if the registrant has elected

not

to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule

12b-2

of the Exchange Act). Yes ☒ No ☐

As of ~~Septembe~~

December 22

~~r 28, 2~~

~~023,~~, 2023, 5,475,210 shares of Class A common stock, par value $0.0001 per share, and 1,355,250 shares of Class B common stock, par value $0.0001 per share, were issued and outstanding, respectively.

FOUR LEAF ACQUISITION CORPORATION QUARTERLY REPORT ON FORM 10-Q

Table of Contents


		PAGE

PART I. FINANCIAL INFORMATION			1

Item 1.	Unaudited Condensed Financial Statements		1

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		2122

Item 3.	Quantitative and Qualitative Disclosures About Market Risk		2728

Item 4.	Controls and Procedures		2829

PART II. OTHER INFORMATION

Item 1.	Legal Proceedings		2930

Item 1A.	Risk Factors		2930

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds from Registered Securities		29

~~Item 3.~~	~~Defaults Upon Senior Securities~~		29

~~Item 4.~~	~~Mine Safety Disclosures~~		29

~~Item 5.~~	~~Other Information~~		30

Item 6.3.	~~Exhibits~~Defaults Upon Senior Securities		30

Item 4.	Mine Safety Disclosures		30

Item 5.	Other Information		31

Item 6.	Exhibits		31

SIGNATURES			3132

PART I. FINANCIAL INFORMATION

Item 1. Unaudited Condensed Financial Statements

FOUR LEAF ACQUISITION CORPORATION

CONDENSED BALANCE SHEETS


						September 30,		December 31,
						2023		2022
	June 30, 2023 (Unaudited)		December 31, 2022			(Unaudited)
ASSETS
Current assets
Cash	$	148,233	$	1,280		$	4,552	$	1,280
Due from related party		—		2,820			—		2,820
Prepaid expenses		57,917		7,500			121,328		7,500

Total current assets		206,150		11,600			125,880		11,600
Other assets
Marketable securities held in trust account		56,564,625		—			57,301,480		—
Deferred offering costs		—		705,130			—		705,130

Total assets	$	56,770,775	$	716,730		$	57,427,360	$	716,730

LIABILITIES, COMMON STOCK SUBJECT TO POSSIBLE REDEMPTION, AND STOCKHOLDERS’ EQUITY
Current liabilities
Accrued offering costs	$	150,552	$	386,536		$	97,440	$	386,536
Accounts payable		246,761		—
Accounts payable and accrued expenses							213,110		—
Due to related party		2,180					32,180		—
Promissory note - related party		—		311,500
Convertible note - related party							95,000		—
Pro missor y note - related party							—		311,500
Deferred credit - operating expenses funded by potential target							191,250		—
Income taxes payable		141,062		—			289,859		—

Total current liabilities		540,555		698,036			918,839		698,036
Deferred underwriting fee payable		1,897,350		—			1,897,350		—

Total liabilities		2,437,905		698,036			2,816,189		698,036

Commitments and contingencies (Note 6)
Class A common stock subject to possible redemption, $ 0.0001 par value; 26,000,000 shares authorized; 5,421,000 shares at $10.40 redemption value and zero shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively		51,473,930		—
Commitments and Contingencies (Note 6)
Class A common stock subject to possible redemption, $0.0001 par value; 26,000,000 shares authorized; 5,421,000 shares at $10.50 redemption value and zero shares issued and outstanding as of September 30, 2023 and December 31, 2022, respectively							53,760,641		—
Stockholders’ equity
Preferred stock, $0.0001 par value; 5,000,000 shares authorized; none issued and outstanding		—		—			—		—
Class A common stock, $0.0001 par value; 26,000,000 shares authorized; 54,210 shares (excluding 5,421,000 shares subject to possible redemption) and zero shares issued and outstanding as of June 30, 2023 and December 31, 2022		5		—
Class B common stock, $0.0001 par value; 4,000,000 shares authorized; 1,355,250 and 1,495,000 (1) shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively		136		150
Class A common stock, $0.0001 par value; 26,000,000 shares authorized; 54,210 issued and outstanding (excluding 5,421,000 shares subject to possible redemption) and zero shares issued and outstanding as of September 30, 2023 and December 31, 2022, respectively							5		—
Class B common stock, $0.0001 par value; 4,000,000 shares authorized; 1,355,250 and 1,495,000 (1) shares issued and outstanding as of September 30, 2023 and December 31, 2022, respectively							136		150
Additional paid-in capital		2,454,778		24,850			168,067		24,850
Retained earnings /(Accumulated deficit)		404,021		(6,306	)
Retained earnings (accumulated deficit)							682,322		(6,306	)

Total stockholders’ equity		2,858,940		18,694			850,530		18,694

Total liabilities, common stock subject to possible redemption, and stockholders’ equity	$	56,770,775	$	716,730		$	57,427,360	$	716,730

(1)

Includes up to 139,750 shares of Class B common stock, $0.0001 par value (“Class B common stock”) subject to forfeiture if the over-allotment option is not exercised in full or in part by the underwriter as of December 31, 2022. On March 16, 2023 ~~the~~

, ALWA Sponsor, LLC, a Delaware limited liability company (the “Sponsor”) surrendered

373,750 shares of Class B common stock, for no consideration. (see Notes 5 and 7). Following the expiration of the underwriters’ remaining over-allotment option on April 30, 2023, the remaining 139,750 shares of Class B common stock were forfeited. All share amounts have been adjusted to reflect the share ~~surrender.~~surrender (see Notes 5 and 7).

The accompanying notes are an integral part of these unaudited condensed financial statements.

Table of Contents

Four Leaf Acquisition Corporation

Condensed Statements of Operations

(Unaudited)


	For the three months ended June 30,						For the six months ended June 30,			For the period from March 3, 2022 (inception) through June 30,
	2023			2022			2023			2022			For the three months ended September 30,						For the nine months ended September 30,			For the period from March 3, 2022 (inception) through September 30,
													2023			2022			2023			2022

Formation and operating costs	$	253,135		$	2,960		$	311,519		$	6,341		$	309,757		$	80		$	621,276		$	6,421

Loss from operations		(253,135	)		(2,960	)		(311,519	)		(6,341	)		(309,757	)		(80	)		(621,276	)		(6,421	)
Other income (expense):
Dividend and interest income		666,505			—			728,325			—			736,855			—			1,465,180			—
Change in fair value of over-allotment liability		173,764			—			134,583			—			—			—			134,583			—

Income (loss) before income taxes		587,134			(2,960	)		551,389			(6,341	)		427,098			(80	)		978,487			(6,421	)
Income tax provision		(134,023	)		—			(141,062	)		—			(148,797	)		—			(289,859	)		—

Net income (loss)	$	453,111		$	(2,960	)	$	410,327		$	(6,341	)	$	278,301		$	(80	)	$	688,628		$	(6,421	)

Weighted average shares outstanding of Class A common stock subject to possible redemption		5,421,000			—			3,203,459			—			5,421,000			—			3,950,762			—
Basic and diluted net income per share, Class A common stock subject to possible redemption (see Note 2)	$	0.07		$	—		$	0.09		$	—
Basic and diluted net income ( loss ) per share, Class A common stock subject to possible redemption (see Note 2)													$	0.04		$	—		$	0.13		$	—
Weighted average shares outstanding of Class A common stock		54,210			—			32,035			—			54,210			—			39,508			—
Basic and diluted net income per share, Class A Common Stock (see Note 2)	$	0.07		$	—		$	0.09		$	—
Basic and diluted net income (loss) per share, Class A Common Stock (see Note 2)													$	0.04		$	—		$	0.13		$	—
Weighted average shares outstanding of Class B common stock (1)		1,355,250			1,355,250			1,332,356			1,355,250			1,355,250			1,355,250			1,340,071			1,355,250
Basic and diluted net income (loss) per share, Class B common stock (see Note 2)	$	0.07		$	(0.00	)	$	0.09		$	(0.00	)	$	0.04		$	(0.00	)	$	0.13		$	(0.00	)

(1)

Excludes an aggregate of up to 139,750 shares of Class B common stock subject to forfeiture depending on the extent to which the underwriters’ overallotment option is exercised (see Notes 5 and 7). On March 16, 2023, the Sponsor surrendered 373,750 share of Class B common stock, for no consideration, resulting in the Sponsor and directors holding 1,495,000 of Class B common stock. Following the expiration of the underwriters’ remaining over-allotment option on April 30, 2023, the remaining 139,750 shares of Class B common stock were forfeited (sees ~~Note~~Notes 5 and 7), resulting in the Sponsor and directors holding 1,355,250 shares of Class B common stock. All

amounts have been retroactively adjusted to reflect the share surrenders.

The accompanying notes are an integral part of these unaudited condensed financial statements.

Table of Contents

Four Leaf Acquisition Corporation

Condensed Statements of Changes in Common Stock Subject to Possible Redemption and Stockholders’ Equity (Deficit)

Common Stock Subject to Possible
Redemption

Common Stock

Additional

Retained
Earnings

Total


Class A

Class A

Class B

Paid-in

(Accumulated

Stockholders’

For the six months ended June 30,
2023

Shares

Amount

Shares

Amount

Shares

Amount

Capital

Deficit)

Equity

Balance - December 31, 2022
   —    $ —    —    $ —    1,495,000 (1) $ 150 $ 24,850 $ (6,306 ) $ 18,694
Issuance of private placement warrants    —    —    —    —    — — 3,577,000 — 3,577,000
Issuance of Class A common stock, net of issuance costs
of
$3,928,774
   5,421,000    48,928,489    —    —    — — — — —
Issuance of Public Warrants, net of issuance costs of $
90,313
   —    —    —    —    — — 1,127,840 — 1,127,840
Issuance of Representative Shares    —    —    54,210    5    — — 270,515 — 270,520
Accretion of Class A common stock to redemption value

   —    314,307    —    —    — — (314,307 ) — (314,307 )
Net loss    —    —    —    —    — — — (42,784 ) (42,784 )

Balance - March 31, 2023 (unaudited)


5,421,000


$
49,242,796



54,210


$
5



1,495,000
(1)

$
150

$
4,685,898

$
(49,090
)

$
4,636,963

Accretion of Class A common stock to redemption value    —    2,231,134    —    —    — — (2,231,134 ) — (2,231,134 )
Forfeiture of Class B common stock due to expiration of over-allotment option    —    —    —    —    (139,750 )    (14 ) 14 — —
Net income    —    —    —    —    — — — 453,111 453,111

Balance - June 30, 2023 (unaudited)


5,421,000


$
51,473,930


54,210


$
5



1,355,250

$
136

$
2,454,778

$
404,021

$
2,858,940


	Common Stock Subject to Possible Redemption				Common Stock										Additional Paid-in Capital			Retained			Total Stockholders’ Equity
	Class A				Class A				Class B									Earnings (Accumulated
	Shares		Amount		Shares		Amount		Shares			Amount						Deficit)
Balance - December 31, 2022		—	$	—		—	$	—		1,495,000	(1)	$	150		$	24,850		$	(6,306	)	$	18,694
Issuance of private placement warrants		—		—		—		—		—			—			3,577,000			—			3,577,000
Issuance of Class A Common Stock, net of issuance costs of $3,928,774		5,421,000		48,928,489		—		—		—			—			—			—			—
Issuance of Public Warrants, net of issuance costs of $90,313		—		—		—		—		—			—			1,127,840			—			1,127,840
Issuance of Representative Shares		—		—		54,210		5		—			—			270,515			—			270,520
Accretion of Class A Common Stock to redemption value		—		314,307		—		—		—			—			(314,307	)		—			(314,307	)
Net loss		—		—		—		—		—			—			—			(42,784	)		(42,784	)

Balance - March 31, 2023 (unaudited)		5,421,000		49,242,796		54,210		5		1,495,000			150			4,685,898			(49,090	)		4,636,963
Accretion of Class A Common Stock to redemption value		—		2,231,134		—		—		—			—			(2,231,134	)		—			(2,231,134	)
Forfeiture of Class B Common Stock due to expiration of over-allotment option		—		—		—		—		(139,750	)		(14	)		14			—			—
Net income		—		—		—		—		—			—			—			453,111			453,111

Balance - June 30, 2023 (unaudited)		5,421,000		51,473,930		54,210		5		1,355,250			136			2,454,778			404,021			2,858,940
Accretion of Class A Common Stock to redemption value		—		2,286,711		—		—		—			—			(2,286,711	)		—			(2,286,711	)
Net income		—		—		—		—		—			—			—			278,301			278,301

Balance - September 30, 2023 (unaudited)		5,421,000	$	53,760,641		54,210	$	5		1,355,250		$	136		$	168,067		$	682,322		$	850,530

Common Stock Subject to Possible
Redemption

Common Stock

Additional

Total


Class A

Class A

Class B

Paid-in

Accumulated

Shareholders’

For the six months ended June 30,
2022

Shares

Amount

Shares

Amount

Shares

Amount

Capital

Deficit

Deficit

Balance - March 3, 2022 (inception) (unaudited)


          —


$
—



     —


$
—



—

$
—

$
—

$
—

$
—

Net loss    —    —    —    —    — — — (3,381 ) (3,381 )

Balance - March 31, 2022 (unaudited)


—


$
—



—


$
—



—

$
—

$
—

$
  (3,381
)

$
(3,381
)
Issuance of common stock to Sponsor    —    —    —       1,495,000
(1)

150           24,850    — 25,000
Net loss    —    — —    —    — — — (2,960 ) (2,960 )

Balance - June 30, 2022 (unaudited)


—


$
—

—


$
—



1,495,000
(1)

$
150

$
24,850

$
(6,341
)

$
18,659


	Common Stock Subject to Possible Redemption				Common Stock									Additional Paid-in Capital		Accumulated Deficit			Total Shareholders’ Equity (Deficit)
	Class A				Class A				Class B
	Shares		Amount		Shares		Amount		Shares			Amount
Balance - March 3, 2022 (inception) (unaudited)		—	$	—		—	$	—		—		$	—	$	—	$	—		$	—
Net loss		—		—		—		—		—			—		—		(3,381	)		(3,381	)

Balance - March 31, 2022 (unaudited)		—		—		—		—		—			—		—		(3,381	)		(3,381	)
Issuance of common stock to Sponsor		—		—		—				1,495,000	(1)		150		24,850		—			25,000
Net loss		—		—		—		—		—			—		—		(2,960	)		(2,960	)

Balance - June 30, 2022 (unaudited)		—		—		—		—		1,495,000			150		24,850		(6,341	)		18,659
Net loss		—		—		—		—		—			—		—		(80	)		(80	)

Balance - September 30, 2022 (unaudited)		—	$	—		—	$	—		1,495,000		$	150	$	24,850	$	(6,421	)	$	18,579

(1)

Includes up to 139,750 shares of Class B common stock to forfeiture if the over-allotment option is not exercised in full or in part by the underwriter (see Notes 5 and 7). On March 16, 2023, the Sponsor surrendered 373,750 shares of Class B common stock, for no consideration, resulting in the Sponsor and directors holding 1,495,000 shares of Class B common stock. (see Notes 5 and 7). Following the expiration of the underwriters’ remaining overallotment option on April 30, 2023, the remaining 139,750 shares of Class B common stock were forfeited, resulting in the Sponsor and directors holding 1,355,250 shares of Class B common stock. All share amounts have been ~~adjusted~~a

usted to reflect the share surrender.

The accompanying notes are an integral part of these unaudited condensed financial statements.

Table of Contents

Four Leaf Acquisition Corporation

Condensed Statements of Cash Flows

(Unaudited)


	For the six months ended June 30, 2023			For the period from March 3, 2022 (inception) through June 30, 2022			For the nine months ended September 30, 2023			For the period from March 3, 2022 (inception) through September 30, 2022
Cash Flows from Operating Activities:
Net income (loss)	$	410,327		$	(6,341	)	$	688,628		$	(6,421	)
Adjustments to reconcile net loss to net cash used in operating activities
Adjustments to reconcile net income (loss) to net cash used in operating activities
Dividend and interest income		(728,325	)		—			(1,465,180	)		—
Gain on change in fair value of overallotment option		(134,583	)		—			(134,583	)		—
Changes in current assets and liabilities
Prepaid expenses		(50,417	)		(3,750	)		(26,172	)		(8,750	)
Accounts payable and accrued expenses		246,761			3,075			316,704			115
Due to/from related party		5,000			(2,820	)		35,000			(2,820	)
Income taxes payable		141,062			—			289,859			—

Net cash used in operating activities		(110,175	)		(9,836	)		(295,744	)		(17,876	)

Cash Flows from Investing Activities					—
Investment of cash into Trust Account		(55,836,300	)		—			(55,836,300	)		—

Net cash used in investing activities		(55,836,300	)		—			(55,836,300	)		—

Cash Flows from Financing Activities:
Proceeds from founder share prepayment		—			25,000
Proceeds from convertible note-related party								95,000			—
Proceeds from promissory note		84,000			115,000			84,000			241,500
Proceeds from issuance of common stock								—			25,000
Repayment of promissory note		(395,500	)		—			(395,500	)		—
Gross proceeds from issuance of public units		54,210,000			—			54,210,000			—
Proceeds from issuance of Private Warrants		3,577,000			—
Payment of offering costs on public units		(1,382,072	)		(80,536	)
Proceeds from issuance of Private Placement Warrants								3,577,000			—
Payment of offering costs on p ublic u nits								(1,435,184	)		(247,344	)

Net cash provided by financing activities		56,093,428			59,464			56,135,316			19,156

Net change in cash		146,953			49,628			3,272			1,280
Cash - beginning of the period		1,280			—			1,280			—

Cash - end of the period	$	148,233		$	49,628		$	4,552		$	1,280

Non-cash investing and financing activities:
Remeasurement of Class A common stock subject to possible redemption	$	2,545,441		$	—
Remeasurement of Class A shares subject to possible redemption							$	4,832,152		$	—
Deferred underwriting commissions	$	1,897,350		$	—		$	1,897,350		$	—
Issuance of Representative Shares for services	$	270,515		$	—		$	270,520		$	—
Offering costs included in accrued offering cost s	$	150,552		$	239,323
Directors’ and officers’ insurance fee paid by potential target							$	191,250		$	—
Offering costs included in accrued offering costs							$	97,440		$	295,747

The accompanying notes are an integral part of these unaudited condensed financial statements.

Table of Contents

FOUR LEAF ACQUISITION CORPORATION

NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

NOTE 1 — ORGANIZATION AND DESCRIPTION OF BUSINESS

Nature of Operations

Four Leaf Acquisition Corporation (the “Company”) is a newly organized blank check company that was incorporated as a Delaware corporation on March 3, 2022 and formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. The Company has not selected any specific business combination target. While the Company may pursue an initial business combination target in any business or industry, the Company intends to focus its search on companies in the Internet of Things (“IoT”) space or adjacent spaces, that is, physical objects (or groups of objects) with sensors, processing ability, software, and other technologies that connect and exchange data with other devices and systems over the Internet or other communications networks, sometimes called “smart devices.” The Company intends to target companies in both developing markets (e.g., China and India) and the developed markets (e.g., United States and Europe).

As of ~~June~~September 30, 2023, the Company had not commenced any operations. All activity for the period from March 3, 2022 (inception) through ~~June~~September 30, 2023 relates to the Company’s formation and the initial public offering (“IPO”) (as described below). The Company will not generate any operating revenues until after the completion of its initial business combination. The Company will generate

non-operating

income in the form of dividend and interest income from the proceeds derived from the IPO (as defined below).

The Company has selected December 31 as its fiscal year end. The Company’s sponsor is ALWA Sponsor, LLC, a Delaware limited liability company (the “Sponsor”).

The registration statement for the Company’s IPO was declared effective on March 16, 2023. On March 16, 2023, the Company consummated its IPO of 5,200,000 units (“Units”). On March 17, 2023, the underwriters partially exercised their over-allotment option and purchased 221,000 additional Units. Each Unit consists of one share of Class A common stock, $0.0001 par value per share (“Class A common stock”), and one redeemable warrant exercisable into one share of Class A common stock at an exercise price of $11.50 per share (“Public Warrant”). The Units were sold at an offering price of $10.00 per ~~Uni~~Unit and generated total gross proceeds of $54,210,000.

Simultaneously with the consummation of the IPO and the sale of the Units, the Company consummated the private placement (“Private Placement”) of 3,576,900 warrants (“Private Placement Warrants”) to the Sponsor at a price of approximately $1.00 per Private Placement Warrant, generating total proceeds of $3,577,000, which is described in Note 4.

Transaction costs amounted to $4,019,087 consisting of $2,710,500 of underwriting commissions, $813,150 of which was paid out within three days of the IPO date, the Representative Shares (discussed in the below), and $1,038,067 of other offering costs. At the IPO date, cash of $974,028 was held outside of the Trust Account (as defined below) and is available for the payment of the Note (defined herein) when necessary (see Note 5), payment of accrued offering costs and for working capital purposes.

In conjunction with the IPO, the Company issued to the underwriter 54,210 shares of Class A common stock for nominal consideration (the “Representative Shares”). The fair value of the Representative Shares accounted for as compensation under Accounting Standards Codification (“ASC”) 718, “Compensation – Stock Compensation” (“ASC 718”) is included in the offering costs. The estimated fair value of the Representative Shares as of the IPO date totaled $270,520.

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2a-7

of the Investment Company Act, as determined by the Company. Except with respect to interest earned on the funds held in the Trust Account that may be released to the Company to pay its tax obligations, the proceeds from the IPO will not be released from the Trust Account until the earlier of: (a) the completion of the Company’s initial business combination or (b) the redemption of the Company’s public shares if the Company is unable to complete its initial business combination in the prescribed time frame, as defined below.

The Company’s management has broad discretion with respect to the specific application of the net proceeds of the IPO and the Private Placement Warrants, although substantially all of the net proceeds are intended to be applied generally toward consummating a business combination. There is no assurance that the Company will be able to complete a business combination successfully. The Company must complete one or more initial business combinations having an aggregate fair market value of at least 80% of the assets held in the Trust Account (excluding the taxes payable on interest earned and less any interest earned thereon that is released for taxes) at the time of the agreement to enter into the initial business combination. However, the Company will only complete a business combination if the post-transaction company owns or acquires 50% or more of the outstanding voting securities of the target or otherwise acquires an interest in the target sufficient for it not to be required to register as an investment company under the Investment Company Act 1940.

In connection with any proposed initial business combination, the Company will either (1) seek stockholder approval of such initial business combination at a meeting called for such purpose at which stockholders may seek to convert their shares, regardless of whether they vote for or against the proposed business combination or do not vote at all, into their pro rata share of the aggregate amount then on deposit in the Trust Account (net of taxes payable), or (2) provide its stockholders with the opportunity to sell their shares to the Company by means of a tender offer (and thereby avoid the need for a stockholder vote) for an amount equal to their pro rata share of the aggregate amount then on deposit in the Trust Account (net of taxes payable), in each case subject to the limitations described herein.

If the Company engages in a tender offer, such tender offer will be structured so that each stockholder may tender all of his, her or its shares rather than a pro rata portion of his, her or its shares. The decision as to whether the Company will seek stockholder approval of a proposed business combination or will allow stockholders to sell their shares to the Company in a tender offer will be made by the Company, solely in the Company’s discretion, and will be based on a variety of factors such as the timing of the transaction and whether the terms of the transaction would otherwise require us to seek stockholder approval. If the Company determines to allow stockholders to sell their shares to the Company in a tender offer, it will file tender offer documents with the U.S. Securities and Exchange Commission (“SEC”) which will contain substantially the same financial and other information about the initial business combination as is required under the SEC’s proxy rules.

The Company will proceed with a business combination if the Company has net tangible assets of at least $5,000,001 upon such consummation of a business combination and, if the Company seeks stockholder approval, a majority of the issued and outstanding shares voted are voted in favor of the business combination.

If a stockholder vote is not required by law and the Company does not decide to hold a stockholder vote for business or other legal reasons, the Company will, pursuant to its second amended and restated certificate of incorporation (the “Certificate of Incorporation”), conduct the redemptions pursuant to the tender offer rules of the SEC and file tender offer documents with the SEC prior to completing a business combination.

If, however, stockholder approval of the transactions is required by law, or the Company decides to obtain stockholder approval for business or legal reasons, the Company will offer to redeem shares in conjunction with a proxy solicitation pursuant to the proxy rules and not pursuant to the tender offer rules. Additionally, each public stockholder may elect to redeem their public shares irrespective of whether they vote for or against the proposed transaction.

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Notwithstanding the foregoing redemption rights, if the Company seeks stockholder approval of its initial business combination and the Company does not conduct redemptions in connection with its initial business combination pursuant to the tender offer rules, the Certificate of Incorporation will provide that a public stockholder, together with any affiliate of such stockholder or any other person with whom such stockholder is acting in concert or as a “group” (as defined under Section 13 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), will be restricted from redeeming its shares with respect to more than an aggregate of 15% of the shares sold in the IPO (“Excess Shares”). However, the Company’s stockholders will not be restricted to vote all of their shares (including Excess shares) for or against the initial business combination. Additionally, such stockholders will not receive redemption distributions with respect to the Excess Shares if the Company completes the initial business combination.

The Company’s Sponsor, officers and directors (collectively, the “Initial Stockholders”) have agreed not to propose any amendment to the Certificate of Incorporation that would affect the Company’s public stockholders’ ability to convert or sell their shares to the Company in connection with a business combination as described herein or affect the substance or timing of the Company’s obligation to redeem 100% of its public shares if the Company does not complete a business combination within 12 months (or if the Company decides to extend the period of time to complete the initial business combination up to two times by an additional three months each time, at $0.10 per unit per extension, for a total of $0.20 per unit in the aggregate in trust, within 18

months) from the closing of the IPO (the “Combination Period”) unless the Company provides its public stockholders with the opportunity to convert their shares of Class A common stock upon the approval of any such amendment at a per-share price, payable in cash, equal to
the aggregate amount then on deposit in the Trust Account, including interest not previously released to the Company but net of franchise and income taxes payable up to the interest income from the Trust Account, divided by the number of then outstanding public shares.

If the Company is unable to complete an initial business combination within 12 months (or up to 18

months if the Company extends the period of time to consummate a business combination up to two times by an additional three months each time) from the closing of the IPO, or March 22, 2024 (or ~~August~~September 22, 2024 when extended), we will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible, but not more than ten business days thereafter, redeem the shares of Class A common stock subject to possible redemption, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account (less any income or franchise tax obligations and up to $

~~100,000~~$100,000 of interest to pay dissolution expenses), divided by the number of then outstanding shares of Class A common stock, which redemption will completely extinguish public stockholders’ rights as stockholders (including the right to receive further liquidating distributions, if any), and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining stockholders and the board of directors, liquidate and dissolve, subject in each case to the Company’s obligations under Delaware law to provide for claims of creditors and the requirements of other applicable law.

The Company’s Initial Stockholders agreed to waive their rights to liquidating distributions from the Trust Account with respect to any Class B common stock held by them if the Company fails to complete its initial business combination within the Combination Period. However, if the Initial Stockholders acquire public shares in or after the IPO date, they will be entitled to liquidating distributions from the Trust Account with respect to such public shares if the Company fails to complete a business combination within the prescribed time frame. The underwriter has agreed to waive their rights to their deferred underwriting commission (see Note 7)

) held in the Trust Account in the event the Company does not complete a business combination within the Combination Period and, in such event, such amounts will be included with the other funds held in the Trust Account that will be available to fund the redemption of the public shares. In the event of such distribution, it is possible that the per share value of the assets remaining available for distribution will be less than the IPO price per Unit ($10.00).

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In order to protect the amounts held in the Trust Account, the Sponsor has agreed to be liable to the Company if and to the extent any claims by a third party for services rendered or products sold to the Company, or a prospective target business with which the Company has discussed entering into a transaction agreement, reduce the amount of funds in the Trust Account to below (1) $10.30 per Public Share or (2) the actual amount per Public Share held in the Trust Account as of the date of the liquidation of the Trust Account due to reductions in the value of the trust assets, in each case net of the interest which may be withdrawn to pay taxes. This liability will not apply with respect to any claims by a third party who executed a waiver of any and all rights to seek access to the Trust Account and except as to any claims under the Company’s indemnity of the underwriter of the IPO against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the “Securities Act”). Moreover, in the event that an executed waiver is deemed to be unenforceable against a third party, the Sponsor will not be responsible to the extent of any liability for such third-party claims. The Company will seek to reduce the possibility that the Sponsor will have to indemnify the Trust Account due to claims of creditors by endeavoring to have all vendors, service providers (except the Company’s independent registered public accounting firm), prospective target businesses or other entities with which the Company does business, execute agreements with the Company waiving any right, title, interest or claim of any kind in or to monies held in the Trust Account.

Going Concern Consideration

As of ~~June~~September 30, 2023, the Company had ~~$148,233~~$4,552 in cash available for working capital needs. All remaining cash held in the Trust Account is generally unavailable for the Company’s use, prior to an initial business combination, and is restricted for use either in a business combination or to redeem Class A common stock. Up to $100,000 of interest and dividends earned in the Trust Account are available to pay dissolution expenses, if necessary. The Company may also withdraw dividend and interest income earned in the Trust Account to pay income and franchise ~~taxes.~~taxes payable. As of ~~June~~September 30, 2023, none

of the principal amount in the Trust Account was withdrawn as described above. In addition, in order to fund working capital deficiencies and finance transaction costs in connection with a business combination, the Sponsor or an affiliate of the Sponsor, or certain of the Company’s officers and directors may, but are not obligated to, loan the Company funds as may be required (“Working Capital Loan”) (see Note 5). As of ~~June~~September 30, 2023, the Company had ~~no borrowings under the~~

$95,000

outstanding as Working Capital ~~Loans.~~Loans in the form of convertible notes from the Sponsor.

The ~~$148,233~~$4,552 held outside of the Trust Account as of ~~June~~September 30, 2023 ~~may~~will not be sufficient to allow the Company to operate for at least the next 12 months from the issuance of the financial statements, assuming that a business combination is not consummated during that time. The Company may need to raise additional capital through loans or additional investments from its Sponsor, stockholders, officers, directors, or third parties. If the Company is unable to raise additional capital, it may be required to take additional measures to conserve liquidity, which could include, but not necessarily be limited to, curtailing operations, suspending the pursuit of a potential transaction, and reducing overhead expenses. The Company cannot provide any assurance that new financing will be available to it on commercially acceptable terms, if at all. Additionally, the Company has until March 22, 2024 (or ~~August~~September 22, 2024) to consummate a business combination. It is uncertain that the Company will be able to consummate a business combination by this time. If a business combination is not consummated by this date and an extension is not requested by the Sponsor, there will be a mandatory liquidation and subsequent dissolution of the Company. These conditions raise substantial doubt about the Company’s ability to continue as a going concern, assuming a business combination is not consummated. These financial statements do not include any adjustments relating to the recovery of the recorded assets or the classification of the liabilities that might be necessary should the Company be unable to continue as a going concern.

in-depth

due diligence and negotiating a business combination are less than the actual amount necessary to do so, the Company may have insufficient funds available to operate its business prior to the initial business combination. Moreover, the Company may need to obtain additional financing either to complete the business combination or because the Company becomes obligated to redeem a significant number of public shares upon completion of the business combination, in which case the Company may issue additional securities or incur debt in connection with such business combination.

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Risks and Uncertainties

Results of operations and the Company’s ability to complete an initial business combination may be adversely affected by various factors that could cause economic uncertainty and volatility in the financial markets, many of which are beyond its control. The business could be impacted by, among other things, downturns in the financial markets or in economic conditions, inflation, ~~and~~ increases in interest ~~rates.~~rates, and geopolitical instability, including the current military conflicts in Ukraine and Israel. The Company cannot at this time fully predict the likelihood of one or more of the above events, their duration or magnitude or the extent to which they may negatively impact the Company’s business and ability to complete an initial business combination. The unaudited condensed financial statements do not include any adjustments that might result from the outcome of this uncertainty.

Inflation Reduction Act of 2022

On August 16, 2022, the Inflation Reduction Act of 2022 (the “IRA”) was signed into federal law. The IRA provides for, among other things, a new U.S. federal 1% excise tax on certain repurchases of stock by publicly traded U.S. domestic corporations and certain U.S. domestic subsidiaries of publicly traded foreign corporations occurring on or after January 1, 2023. The excise tax is imposed on the repurchasing corporation itself, not its shareholders from which shares are repurchased. The amount of the excise tax is generally 1% of the fair market value of the shares repurchased at the time of the repurchase. However, for purposes of calculating the excise tax, repurchasing corporations are permitted to net the fair market value of certain new stock issuances against the fair market value of stock repurchases during the same taxable year. In addition, certain exceptions apply to the excise tax. The U.S. Department of the Treasury (the “Treasury”) has been given authority to provide regulations and other guidance to carry out and prevent the abuse or avoidance of the excise tax.

~~Any redemption~~On December 27, 2022, the U.S. Department of the Treasury issued Notice

2023-2

(the “Notice”) as interim guidance until publication of forthcoming proposed regulations on the excise tax. Although the guidance in the Notice does not constitute proposed or final Treasury regulations, taxpayers may generally rely upon the guidance provided in the Notice until the issuance of the forthcoming proposed regulations. Certain of the forthcoming proposed regulations (if issued) could, however, apply retroactively. The Notice generally provides that if a covered corporation completely liquidates and dissolves, distributions in such complete liquidation and other ~~repurchase that occurs after December 31, 2022,~~distributions by such covered corporation in the same taxable year in which the final distribution in complete liquidation and dissolution is made are not subject to the excise tax.

Because any redemptions of our stock in connection with a business combination, extension vote or otherwise will occur after December 31, 2022, such redemptions may be subject to the excise tax. Whether and to what extent ~~the Company~~we would be subject to the excise tax in connection with ~~a business combination, extension vote or otherwise~~any such redemptions would depend on a number of factors, including (i) the fair market value of the such redemptions, together with any other redemptions or repurchases we consummate in the same taxable year, (ii) the structure of any business combination and ~~repurchases~~the taxable year in which it occurs (including redemptions in connection with the ~~business combination, extension or otherwise, (ii) the structure of a business combination,~~Special Meeting), (iii) the nature and amount of any ~~“PIPE” or other~~ equity issuances, in connection with a business combination ~~(or~~or otherwise, ~~issued not in connection with a business combination but~~ issued within the same taxable year, (iv) whether we completely liquidate and dissolve within the taxable year of such redemptions, and (v) legal uncertainties regarding how the excise tax applies to transactions like the Business Combination (and, if applicable, a ~~business combination)~~complete liquidation and ~~(iv)~~dissolution of the Company) and the content of final and proposed regulations and ~~other~~further guidance from the Treasury. ~~In addition, because the excise tax would be payable by the Company and not by the redeeming holder, the mechanics of any required payment of the excise tax have not been determined.~~ The foregoing could cause a reduction in the cash available on hand to complete a ~~business combination~~Business Combination and in ~~the Company’s~~our ability to complete a ~~business combination.~~Business Combination. The proceeds placed in the trust account and the interest earned thereon will not be used to pay for the excise tax that may be levied on the Company in connection with such redemptions. The Company further confirms that it will not utilize any funds from the trust account to pay any such excise tax.

NOTE 2 — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and in accordance with the instructions to Form

10-Q

and Article 8 of Regulation

S-X

of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted, pursuant to the rules and regulations of the SEC for interim financial reporting. Accordingly, they do not include all of the information and footnotes necessary for a complete presentation of financial position, results of operations, or cash flows. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented.

The accompanying unaudited condensed financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto for the period from March 3, 2022 (inception) through December 31, 2022 included in the Company’s Form

S-1/A

as filed with the SEC on March 7, 2023, which was declared effective on March 16, 2023. The interim results for the three and ~~six~~nine months ended ~~June~~September 30, 2023 are not necessarily indicative of the results to be expected for the year ending December 31, 2023 or for any future periods.

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Use of Estimates

The preparation of the unaudited condensed financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statement. Significant assumptions include the fair value of the Company’s Public Warrants and Representative Shares, at their issuance dates, and the valuation of the over-allotment option provided to the underwriters. Actual results could differ from those estimates.

Emerging Growth Company

The Company is an “emerging growth company”, as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012, (the “JOBS Act”), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not “emerging growth companies” including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a

non-binding

advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved.

Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to

non-emerging

growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company’s unaudited condensed financial statements with another public company which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

Deferred Offering Costs

Deferred offering costs consist of underwriting, legal, accounting and other expenses incurred through the balance sheet date that are directly related to the IPO and were charged to temporary equity, equity and/or expense upon the completion of the IPO. The fair value of the Representative Shares was accounted for as compensation under ASC 718, was included in the offering costs at the IPO date.

Net Income (Loss) Per Share

The Company complies with accounting and disclosure requirements of ASC Topic 260, “Earnings Per Share” (“ASC 260”). Net income (loss) per share is computed by dividing net income (loss) by the weighted average number of outstanding Class A common stock and Class B common stock during the periods presented. The weighted average shares for the ~~three and six~~nine months ended ~~June~~September 30, 2023 were reduced for the effect of the Class B common stock that were subject to forfeiture.

The Company’s statements of operations include a presentation of net income (loss) per share subject to redemption in a manner similar to the

two-class

method of income (loss) per share. With respect to the accretion of the Class A common stock subject to possible redemption and consistent with ASC

480-10-S99-3A,

the Company deemed the fair value of the Class A common stock subject to possible redemption to approximate the contractual redemption value and the accretion has no impact on the calculation of net income (loss) per share.

The Company’s Public Warrants (see Note 3) and Private Placement Warrants (see Note 4) could, potentially, be exercised or converted into Class A common stock and then share in the earnings of the Company. However, these warrants were excluded when calculating diluted ~~loss~~income (loss) per share as the contingencies associated with the warrants had not been satisfied as of the end of the reporting periods presented. As a result, diluted income (loss) per share is the same as basic income (loss) per share for the periods presented.

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A reconciliation of net income per share is as follows for the three months ended ~~June~~September 30, 2023:


	Class A subject to possible redemption		Class A		Class B		Class A subject to possible redemption		Class A Perm		Class B
Allocation of undistributable income	$	359,612	$	3,596	$	89,903	$	220,874	$	2,209	$	55,218

Weighted average shares outstanding, basic and diluted		5,421,000		54,210		1,355,250		5,421,000		54,210		1,355,250

Basic and diluted net income per share	$	0.07	$	0.07	$	0.07	$	0.04	$	0.04	$	0.04

A reconciliation of net income per share is as follows for the ~~six~~nine months ended ~~June~~September 30, 2023:

   Class A
subject to
possible
redemption    Class A    Class B
Allocation of undistributable income    $ 287,764    $ 2,878    $ 119,685

Weighted average shares outstanding, basic and diluted    3,203,459    32,035    1,332,356

Basic and diluted net income per share    $ 0.09    $ 0.09    $ 0.09


	Class A subject to possible redemption		Class A Perm		Class B
Allocation of undistributable income	$	510,400	$	5,104	$	173,124

Weighted average shares outstanding, basic and diluted		3,950,762		39,508		1,340,071

Basic and diluted net income per share	$	0.13	$	0.13	$	0.13

A reconciliation of net loss per share is as follows for the three months ended ~~June~~September 30, 2022:


	Class A subject to possible redemption		Class A		Class B			Class A subject to possible redemption		Class A		Class B
Allocation of undistributable losses	$	—	$	—	$	(2,960	)	$	—	$	—	$	(80	)

Weighted average shares outstanding, basic and diluted		—		—		1,355,250			—		—		1,355,250

Basic and diluted net loss per share	$	—	$	—	$	(0.00	)	$	—	$	—	$	(0.00	)

A reconciliation of net loss per share is as follows for the period from March 3, 2022 (inception) through ~~June~~September 30, 2022:


	Class A subject to possible redemption		Class A		Class B			Class A subject to possible redemption		Class A		Class B
Allocation of undistributable losses	$	—	$	—	$	(6,341	)	$	—	$	—	$	(6,421	)

Weighted average shares outstanding, basic and diluted		—		—		1,355,250			—		—		1,355,250

Basic and diluted net loss per share	$	—	$	—	$	(0.00	)	$	—	$	—	$	(0.00	)

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Marketable Securities Held in Trust Account

~~At June~~On September 30, 2023, the assets

held

in the Trust Account were substantially held in a treasury trust fund investing in U.S. Treasury Bills and U.S. Treasury Notes. These securities are presented on the unaudited condensed balance sheets at fair value at the end of each reporting period. Earnings on these securities are included in dividend and interest income in the accompanying unaudited condensed statements of operations and are automatically reinvested. The fair value for these securities is determined using quoted market prices in active markets.

During the ~~six~~three and nine months ended ~~June~~September 30, 2023, the Company did not withdraw any investment income from the Trust Account to pay its tax obligations.

Deferred Credit

During the three months ended September 30, 2023, the Company received a $191,250

unconditional and non-refundable reimbursement for certain general and administrative expenses incurred by the Company, from a potential de-SPAC target company, as part of a non-binding letter of intent. This amount was recorded as a deferred credit associated with a potential business combination in the accompanying unaudited condensed balance sheet as of for the three and nine months ended September 30, 2023.

Fair Value of Financial Instruments

The fair value of the Company’s assets and liabilities, which qualify as financial instruments under ASC Topic 820, “Fair Value Measurement,”

approximates the carrying amounts represented in the accompanying unaudited condensed balance sheets, primarily due to their

short-term

nature.

Concentration of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in a financial institution, which, at times, may exceed the Federal Depository Insurance Coverage of $250,000. The Company has not experienced losses on these accounts.

Share-Based

Payment Arrangements

The Company accounts for stock awards in accordance with ASC 718, which requires that all equity awards be accounted for at their fair value. Fair value is measured on the grant date and is equal to the underlying value of the stock.

Costs equal to these fair values are recognized ratably over the requisite service period based on the number of awards that are expected to vest, or in the period of grant for awards that vest immediately and have no future service condition. For awards that vest over time, cumulative adjustments in later periods are recorded to the extent actual forfeitures differ from the Company’s initial estimates; previously recognized compensation cost is reversed if the service or performance conditions are not satisfied, and the award is forfeited.

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Common Stock Subject to Possible Redemption

The Company accounts for its common stock subject to possible redemption in accordance with the guidance in ASC Topic 480, “Distinguishing Liabilities from Equity” (“ASC 480”). Class A common stock subject to mandatory redemption (if any) are classified as a liability instrument and are measured at fair value. Conditionally redeemable common stock (including common stock that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control) are classified as temporary equity. At all other times, common stock is classified as stockholders’ equity. The Company’s Class A common stock sold as part of ~~the Public Offering,~~its IPO, features certain redemption rights that are considered to be outside of the Company’s control and subject to the occurrence of uncertain future events. Accordingly, Class A common stock subject to possible redemption are classified as temporary equity and are accreted from the initial carrying amount to the redemption value over the period from the date of issuance to the earliest redemption date of the instrument on a straight-line basis. Subsequent to the IPO date, the accretion also includes the dividend and interest income earned in the Trust Account in excess of income and franchise taxes.

The redemption value as of ~~June~~September 30, 2023 includes $100,000 that can be used to pay any dissolution expenses, should a dissolution event occur. The redemption value of the Class A common stock subject to possible redemption will be reduced by the estimated dissolution expenses to be paid from the interest earned in the Trust Account, up to $100,000, if and when a dissolution is deemed probable.

The reconciliation of Class A common stock subject to possible redemption as of ~~June~~September 30, 2023 is as follows:


Gross proceeds from sale of Public Units	$	54,210,000		$	54,210,000
Less: Proceeds allocated to Public Warrants		(1,218,153	)		(1,218,153	)
Less: Proceeds allocated to underwriters’ over-allotment option		(134,584	)		(134,584	)
Less: Issuance costs allocated to Class A common stock subject to possible Redemption		(3,928,774	)		(3,928,774	)
Accretion to redemption value		2,545,441			4,832,152

Class A common stock subject to possible redemption	$	51,473,930		$	53,760,641

Derivative Financial Instruments

The Company issued warrants to its investors and accounts for warrant instruments as either equity-classified or

liability-classified

instruments based on an assessment of the specific terms of the warrants and applicable authoritative guidance in ASC 480 and ASC 815, “Derivatives and Hedging” (“ASC 815”). The assessment considers whether the warrants are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and meet all of the requirements for equity classification under ASC 815, including whether the warrants are indexed to the Company’s own stock and whether the holders of the warrants could potentially require “net cash settlement” in a circumstance outside of the Company’s control, among other conditions for equity classification.

At the IPO date, the Public Warrants (see Note 3) and Private Placement Warrants (see Note 4) were accounted for as equity instruments as they meet all of the requirements for equity classification under ASC 815 based on current expected terms, which are subject to change.

Fair Value Measurements

Fair value is defined as the price that would be received for sale of an asset or paid for transfer of a liability, in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). These tiers include:

Level 1, defined as observable inputs such as quoted prices (unadjusted) for identical instruments in active markets;

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NOTE 4 — PRIVATE PLACEMENT

On March 16, 2023, in the private placement that occurred simultaneously with the IPO, the Sponsor purchased an aggregate of 3,449,500 warrants (each a “Private Placement Warrant”) at a price of $1.00 per warrant, for an aggregate purchase price of $3,449,500.

On March 17, 2023, the underwriters partially exercised their over-allotment option resulting in the Company issuing 127,400 Private Placement Warrants, generating an additional $127,500 in gross proceeds.

Each Private Placement Warrant entitles the holder to purchase one share of Class A common stock, subject to adjustment. The proceeds from the Private Placement of the Private Placement Warrants funded the Trust Account, IPO issuance costs and will fund the future operations prior to the business combination. If the Company does not complete an initial business combination within the Combination Period, the remaining proceeds, after payments from the sale of the Private Placement Warrants, will be included in the liquidating distribution to the public stockholders and the Private Placement Warrants will be worthless (see Note 7).

NOTE 5 — RELATED PARTY TRANSACTIONS

Founder Shares

In May 2022, the Sponsor paid $25,000, or approximately $0.011 per share, to cover certain offering costs in consideration for 2,156,250 shares of Class B common stock, par value $0.0001 (the “Founder Shares” or “Class B common stock”). On May 10, 2022, the Sponsor surrendered 287,500 Founder Shares, for no consideration, resulting in the Sponsor and directors continuing to hold 1,868,750 Founder Shares. On August 26, 2022, the Sponsor transferred 25,000 Founder Shares to each of Rahul Mewawalla and Stephen Markscheid, each of which are members of the Company’s Board of Directors (Note 8). The awards will vest simultaneously with the closing of an initial business combination, provided the director has continuously served on the Company’s Board of Directors through the closing of such initial business combination. On March 16, 2023, the Sponsor forfeited an aggregate of 373,750 Founder Shares for no consideration, resulting in the Sponsor and directors holding an aggregate of 1,495,000 Founder Shares. Up to 195,000 of the Founder Shares were subject to forfeiture to the extent the over-allotment option (see Note 6) was not exercised in full by the underwriter prior to its expiration date on April 30, 2023.

On March 17, 2023, upon the partial exercise their over-allotment option by the underwriters, the forfeiture lapsed for 55,250 Founder Shares. Following the expiration of the underwriters’ remaining over- allotment option on April 30, 2023, the remaining 139,750 Founder Shares were forfeited, resulting in the Sponsor and directors holding an aggregate of 1,355,250 Founder Shares.

Private Placement

Each Private Placement Warrant entitles the holder to purchase one share of Class A common stock, subject to adjustment. The proceeds from the Private Placement of the Private Placement Warrants funded the trust account, IPO issuance costs and will fund the future operations prior to the business combination. If the Company does not complete an initial business combination within the Combination Period, the remaining proceeds, after payments from the sale of the Private Placement Warrants, will be included in the liquidating distribution to the public stockholders and the Private Placement Warrants will be worthless (see Note 7).

Due ~~from~~from/to Related Party

As of ~~June~~September 30, 2023 and December 31, ~~2023,~~2022, the Company recorded $0 and $2,820,

, respectively, for amounts that were owed to the Company by the Sponsor. As of September 30, 2023, the Company recorded $35,000

liability to the Sponsor related to the outstanding amounts due under the Administrative Support Agreement discussed below, offset by $2,820 for amounts that were owed to the Company by the Sponsor.

Promissory Note — Related Party

non-interest

bearing and payable on the earlier of October 31, 2023, the consummation of the IPO or the abandonment of the IPO.

In March of 2023, the Company amended the Note to allow for the borrowing of an additional $40,000 (up to $440,000 in total) as well as adjusted the terms of the Note to provide that repayment occur on the later of the IPO, or October 31, 2023. The Company accounted for this amendment to the Note as a troubled debt restructuring on a prospective basis, which did not have a material impact on the Company’s financial statements.

On March 24, 2023, the Company repaid all amounts outstanding under the Note.

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Working Capital Loans

In order to finance transaction costs in connection with a business combination, the Sponsor or an affiliate of the Sponsor, or certain of the Company’s officers and directors may, but are not obligated to, loan the Company funds as may be required, up to $2,000,000 (“Working Capital Loans”). If the Company completes a business combination, the Company will repay the Working Capital Loans. Up to $2,000,000 of such loans may be converted into warrants, at a price of $1.00 per warrant at the option of the lender, upon consummation of the Company’s initial business combination. In the event that a business combination does not close, the Company may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans but no proceeds held in the Trust Account would be used to repay the Working Capital Loans.

~~The terms~~

On each of ~~such~~August 17, 2023 and September 20, 2023, the Sponsor loaned the Company $30,000 and $65,000, respectively, as Working Capital ~~Loans, if any, have not been determined and no written agreements exist with respect to such loans.~~Loans. The Working Capital Loans ~~will either~~are to be repaid upon the consummation of a business combination, without interest, or, at the lender’s ~~discretion.~~option, up to $2,000,000 of the outstanding Working Capital Loans are convertible into Private Placement Warrants at a price of $1.00 per warrant. As of ~~June~~September 30, 2023

and

December 31, 2022, the Company had ~~no borrowings~~$95,000 and $0, respectively, borrowed under ~~the~~ Working Capital ~~Loans.~~Loans from the Sponsor included in Convertible note - related party in the accompanying

unaudited

and condensed consolidated balance sheets.

Administrative Support Agreement

~~, which was offset by $27,820 of due from related party, resulting in a balance at June 30, 2023 of $2,180.~~sheets. Upon completion of the initial business combination or the Company’s liquidation, the Company will cease paying these monthly fees. As of September 30, 2023, $35,000 was accrued for amounts due to the Sponsor under the Administrative Support Agreement.

NOTE 6 — COMMITMENTS AND CONTINGENCIES

Registration Rights

The holders of the Founder Shares, Private Placement Warrants, warrants that may be issued upon conversion of Working Capital Loans (see Note 5), any shares of Class A common stock issuable upon the exercise of the Private Placement Warrants and warrants that may be issued upon conversion of the Working Capital Loans and Class A issuable upon conversion of the Founder Shares, are entitled to registration rights pursuant to a registration rights agreement signed at the effective date of the IPO, requiring the Company to register such securities for resale (in the case of the Founder Shares, only after conversion to Class A common stock). The holders of the majority of these securities are entitled to make up to three demands, excluding short form demands, that the Company register such securities. In addition, the holders have certain “piggy-back” registration rights with respect to registration statements filed subsequent to the completion of the initial business combination and rights to require us to register for resale such securities pursuant to Rule 415 under the Securities Act. The registration rights agreement does not contain liquidated damages or other cash settlement provisions resulting from delays in registering securities.

Underwriting Agreement

The underwriter received a fee of $0.15 per unit, or $813,150 in the aggregate at the closing of the IPO. In addition, $0.35 per share, or $1,897,350 in the aggregate will be payable to the underwriter for deferred underwriting commissions solely in the event that the Company completes a business combination, subject to the terms of the underwriting agreement.

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In addition, in conjunction with the IPO, the Company issued to the underwriter ~~52,000~~54,210 Representative Shares. The holders of the Representative Shares agreed (a) that they will not transfer, assign or sell any such shares without the Company’s prior consent until the completion of the initial business combination, (ii) to waive their redemption rights (or right to participate in any tender offer) with respect to such shares in connection with the completion of the initial business combination and (iii) to waive their rights to liquidating distributions from the Trust Account with respect to such shares if the Company fails to complete the initial business combination within the Combination Period. The representative shares are deemed to be underwriters’ compensation by FINRA pursuant to FINRA Rule 5110.

Phishing ~~attack~~

ttack

On April 28, 2023, the Company identified a payment of $54,300 was incorrectly made to an unauthorized payee as a result of a phishing attack. The Company’s management, at the direction of the board of directors, investigated the matter and concluded that the phishing attack is an isolated incident perpetrated by an external source. The Company, with the assistance of its bank, recovered the funds on June 29, 2023.

NOTE 7 — STOCKHOLDERS’ EQUITY

Preferred Stock — The Company is authorized to issue 5,000,000 shares of preferred stock with a par value of $0.0001 and with such designations, voting and other rights and preferences as may be determined from time to time by the Company’s Board of Directors. As of ~~June~~September 30, 2023 and December 31, 2022 there were no shares of preferred stock issued or outstanding.

Class A common stock — The Company is authorized to issue 26,000,000 shares of Class A common stock, with a par value of $0.0001 per share. Holders of Class A common stock are entitled to one vote for each share. As of ~~June~~September 30, 2023 and December 31, 2022, there were 5,475,210, of which 5,421,000 shares are subject to possible redemption and included in temporary equity, and zero shares of Class A common stock issued or outstanding, respectively.

Class B common stock — The Company is authorized to issue 4,000,000 shares of Class B common stock, with a par value of $0.0001 per share. Holders of the Class B common stock are entitled to one vote for each share. As of ~~June~~September 30, 2023 and December 31, 2022, there were 1,355,250 and 1,495,000 shares of Class B common stock issued and ~~outstanding.~~outstanding, respectively. Refer to Note 5 for further ~~detail.~~

detail

Holders of Class A common stock and holders of Class B common stock vote together as a single class on all other matters submitted to a vote of the Company’s stockholders except as otherwise required by law.

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The Class B common stock will automatically convert into Class A common stock at the time of a business combination at a ratio such that the number of shares of Class A common stock issuable upon conversion of all Founder Shares will equal, in the aggregate, on an

as-converted

basis, 20% of the sum of (i) the total number of shares of common stock issued and outstanding upon completion of the IPO, plus (ii) the total number of shares of Class A common stock issued or deemed issued or issuable upon conversion or exercise of any equity-linked securities by the Company in connection with or in relation to the consummation of a business combination, excluding any shares of Class A common stock or equity-linked securities exercisable for or convertible into shares of Class A common stock issued, deemed issued, or to be issued, to any seller in the business combination and any Private Placement Warrants issued to the Sponsor, its affiliates or any member of the Company’s management team upon conversion of Working Capital Loans. In no event will the Class B common stock convert into Class A common stock at a rate of less than

one-to-one.

Warrants — As of ~~June~~September 30, 2023, 5,421,000 Public Warrants and 3,576,900 Private Placement Warrants (collectively, the “Warrants”) were outstanding. The Warrants were issued in the same form at the IPO date. Each Public Warrant and Private Placement Warrant entitles the holder to purchase one share of Class A common stock at a price of $11.50 per share.

As of December 31, 2022, there were no Warrants outstanding.

In addition, if (x) the Company issues additional shares of Class A common stock or equity-linked securities for capital raising purposes in connection with the closing of the initial business combination at a newly issued price of less than $9.20 per share of Class A common stock (with such issue price or effective issue price to be determined in good faith by the Board of Directors and, in the case of any such issuance to the Sponsor or its affiliates, without taking into account any founder shares held by the Sponsor or such affiliates, as applicable, prior to such issuance), (y) the aggregate gross proceeds from such issuances represent more than 60% of the total equity proceeds, and interest thereon, available for the funding of the initial business combination on the date of the consummation of the initial business combination (net of redemptions), and (z) the Market Value is below $9.20 per share, then the exercise price of the Warrants will be adjusted (to the nearest cent) to be equal to 115% of the greater of the Market Value and the newly issued price, and the $18.00 per share redemption trigger price described below will be adjusted (to the nearest cent) to be equal to 180% of the greater of the Market Value and the newly issued price.

The Warrants will become exercisable 30 days after the completion of a business combination. However, no Warrant shall be exercisable for cash and the Company shall not be obligated to issue shares of common stock upon exercise of a Warrant unless the common stock issuable upon such Warrant exercise has been registered, qualified or deemed to be exempt under the securities laws of the state of residence of the registered holder of the Warrants. In the event that the condition in the immediately preceding sentence is not satisfied with respect to a Warrant, the holder of such Warrant shall not be entitled to exercise such Warrant for cash and such Warrant may have no value and expire worthless, in which case the purchaser of a Unit containing such Public Warrants shall have paid the full purchase price for the Unit solely for the shares of Class A common stock underlying such Unit. Warrants may not be exercised by, or securities issued to, any registered holder in any state in which such exercise would be unlawful.

The Warrants will expire five years after the completion of a business combination or earlier upon redemption or liquidation.

Once the Warrants become exercisable, the Company may redeem the outstanding Warrants:

in whole and not in part;

at a price of $0.01 per warrant;

upon not less than 30 days’ prior written notice of redemption given after the warrants become exercisable (the

“

~~-day~~30-day

redemption period”) to each warrant holder; and

if, and only if, the reported last sale price of the Class A common stock equals or exceeds $18.00 per share (as adjusted for stock splits, stock dividends, rights issuances, reorganizations, recapitalizations and the like) for any 20 trading days within a

30-trading

day period commencing once the warrants become exercisable and ending three days before the Company sends the notice of redemption to the warrant holders.

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If the Company call the warrants for redemption as described above, the Company’s management will have the option to require all holders that wish to exercise warrants to do so on a “cashless basis.” In determining whether to require all holders to exercise their warrants on a “cashless basis,” the Company’s management will consider, among other factors, the cash position, the number of warrants that are outstanding and the dilutive effect on the Company’s stockholders of issuing the maximum number of shares of Class A common stock issuable upon the exercise of the warrants. In such event, each holder would pay the exercise price by surrendering the warrants for that number of shares of Class A common stock equal to the quotient obtained by dividing (x) the product of the number of shares of Class A common stock underlying the warrants, multiplied by the difference between the exercise price of the warrants and the “fair market value” (defined below) by (y) the fair market value. The “fair market value” for this purpose shall mean the average reported last sale price of the Class A common stock for the 10 trading days ending on the third day prior to the date on which the notice of redemption is sent to the holders of

~~warrants~~

. warrants.

NOTE 8 —

~~STOCK-BASED~~

STOCK

-BASED

COMPENSATION

Class B Common Stock Share Transfers

In August 2022, the Sponsor transferred 25,000 shares of Class B common stock to each of the two independent directors as compensation for their service on the Company’s Board of Directors. If the director was no longer serving as a director of the Company at the time of the IPO, is removed from office as director, or voluntarily resigns his position with the Company before a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination involving the Company (“the Triggering Event”), all of such director’s shares shall be returned to Sponsor. Further, considering that in case the business combination does not occur these awards will be forfeited, it was deemed that the above terms result in the vesting provision whereby the share awards would vest only upon the consummation of a business combination or change of control event. As a result, any compensation expense in relation to these grants will be recognized at the Triggering Event. Therefore, the Company recorded no compensation expense for the period from March 3, 2022 (inception) through ~~June~~September 30, 2023.

The fair value of the Founder Shares on the grant date was approximately $0.81 per share. The valuation performed by the Company determined the fair value of the shares on the date of grant by applying a discount based upon (a) the probability of a successful IPO, (b) the probability of a successful business combination, and (c) the lack of marketability of the Founder Shares. The aggregate grant date fair value of the awards amounted to approximately $40,500.

Total unrecognized compensation expense related to unvested Founder Shares at ~~June~~September 30, 2023 amounted to approximately $40,500 and is expected to be recognized upon the Triggering Event.

Representative Shares

On March 16, 2023, in conjunction with the IPO, the Company issued to the underwriter 52,000 shares of Class A common stock for nominal consideration (the “Representative Shares”).

On March 17, 2023, the underwriters partially exercised their over-allotment option. As a result of the partial over-allotment, the underwriter received an additional 2,210 Representative Shares, bringing the total Representative Shares to 54,210.

The fair value of the Representative Shares is accounted for as compensation under ASC 718 and is included in the offering costs. The fair value of the 54,210 Representative Shares at the date of issuance was determined to be $270,520.

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NOTE 9 — INCOME TAXES

The Company’s effective tax rate (“ETR”) is calculated quarterly based upon current assumptions relating to the Company’s known and estimable operating results and various

tax-related

items.

The Company’s ETR was ~~22.8%~~34.8% and 0% for the three months ended ~~June~~September 30, 2023 and 2022, respectively. The Company’s ETR was ~~25.6~~

29.6% and 0% for the ~~six~~nine months ended ~~June~~September 30, 2023 and for the period from March 3, 2022 (inception) through ~~June~~September 30, 2022, respectively.

The difference between the effective tax rate of ~~22.8%~~34.8% and the U.S. federal statutory rate of 21% for the three months ended ~~June~~September 30, 2023 was primarily due to the change in the valuation allowance (as a result of dividend and interest income earned on the Company’s Trust Account), and the permanent ~~difference~~differences arising from the ~~loss on~~ change in fair value of the over-allotment liability.

The difference between the effective tax rate of ~~25.6~~

29.6% and the U.S. federal statutory rate of 21% for the ~~six~~nine months ended ~~June~~September 30, 2023 was primarily due to the change in the valuation allowance (as a result of dividend and interest income earned on the Company’s Trust Account), and the permanent ~~difference~~differences arising from the ~~loss on~~ change in fair value of the over-allotment liability.

The difference between the effective tax rate of 0% and the U.S. federal statutory rate of 21% for the period from March 3, 2022 (inception) through ~~June~~September 30, 2022 and the three months ended ~~June~~September 30, 2022 was due to the full valuation allowance recognized against the Company’s deferred tax assets.

The Company has no uncertain tax positions related to federal and state income taxes. The 2022 federal tax return for the Company remains open for examination. In the event that the Company is assessed interest or penalties at some point in the future, it will be classified in the financial statements as tax expense.

NOTE 10 — SUBSEQUENT EVENTS

The Company did not identify any subsequent events that ~~occurred after the balance sheet date up to the date that the financial statement was issued and that require~~would have required adjustment or disclosure in the ~~unaudited~~ condensed financial ~~statements.~~statements other than below:

On November 3, 2023, the Company entered into an additional working capital loan with its Sponsor in the amount of $70,000.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of ~~Operations.~~Operations

References to the “Company,” “our,” “us” or “we” refer to Four Leaf Acquisition Corporation. The following discussion and analysis of the Company’s financial condition and results of operations should be read in conjunction with the unaudited condensed financial statements and the notes thereto contained elsewhere in this report. Certain information contained in the discussion and analysis set forth below includes forward-looking statements that involve risks and uncertainties.

Cautionary Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). We have based these forward-looking statements on our current expectations and projections about future events. These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about us that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “may,” “should,” “could,” “would,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “continue,” or the negative of such terms or other similar expressions. Such statements include, but are not limited to, possible business combinations

and the financing thereof, and related matters, as well as all other statements other than statements of historical fact included in this Form 10-Q. The Company’s securities filings can be accessed on the EDGAR section of the U.S. Securities and Exchange Commission’s (the “SEC’s”) website at www.sec.gov. Except as expressly required by applicable securities law, the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Risks and Uncertainties

Recent increases in inflation and interest rates in the United States and elsewhere may lead to increased price volatility for publicly traded securities, including ours, and may lead to other national, regional and international economic disruptions, any of which could make it more difficult for us to consummate an initial business combination.

Overview

We are a blank check company incorporated in Delaware on March 3, 2022, for the purpose of acquiring, merging with, engaging in capital stock exchange with, purchasing all or substantially all of the assets of, engaging in contractual arrangements, or engaging in any other similar business combination with a single operating entity, or one or more related or unrelated operating entities operating in any sector. We are an emerging growth company and, as such, are subject to all the risks associated with emerging growth companies.

Our sponsor is ALWA Sponsor LLC (the “Sponsor”), a Delaware limited liability company.

The registration statement for the Company’s Public Offering was declared effective on March 16, 2023. On March 16, 2023, the Company consummated its IPO of 5,200,000 units (“Units”). On March 17, 2023, the underwriters partially exercised their over-allotment option and purchased 221,000 additional Units. Each Unit consists of one share of Class A common stock, $0.0001 par value per share (“Class A common stock”), and one redeemable warrant exercisable into one share of Class A common stock at an exercise price of $11.50 per share (“Public Warrant”). The Units were sold at an offering price of $10.00 per Unit, generating total gross proceeds of $54,210,000.

Simultaneously with the consummation of the IPO and the sale of the Units, the Company consummated the private placement (“Private Placement”) of 3,576,900 warrants (“Private Placement Warrants”) to the Sponsor at a price of approximately $1.00 per Placement Warrant, generating total proceeds of $3,577,000.

Transaction costs amounted to $4,019,087 consisting of $2,710,500 of underwriting commissions, the Representative Shares (as defined below), and $1,038,067 of other offering costs. At the IPO date, cash of $974,028 was held outside of the Trust Account (as defined below) and is available for the payment of the Note (as defined herein) when necessary, payment of accrued offering costs and for working capital purposes.

In conjunction with this Public Offering, the Company issued to the underwriter 54,210 shares of Class A common stock for nominal consideration (the “Representative Shares”). The fair value of the Representative Shares accounted for as compensation under Accounting Standards Codification (“ASC”) 718, “Compensation – Stock Compensation” (“ASC 718”) is included in the offering costs. The estimated fair value of the Representative Shares as of the IPO date totaled $270,520.

2122

Following the closing of the IPO, an amount of $55,836,300 ($10.30 per Unit) from the net proceeds of the sale of the Units in the IPO and the sale of the Private Placement Warrants was placed in a trust account (the “Trust Account”), to be invested in U.S. government securities, within the meaning set forth in Section 2(a)(16) of the Investment Company Act of 1940, as amended (the “Investment Company Act”), with a maturity of 185 days or less, or in any open-ended investment company that holds itself out as a money market fund meeting the conditions of Rule 2a-7 of the Investment Company Act, as determined by the Company. Except with respect to interest earned on the funds held in the Trust Account that may be released to the Company to pay its tax obligations, the proceeds from the IPO will not be released from the Trust Account until the earlier of: (a) the completion of the Company’s initial business combination, or (b) the redemption of the Company’s public shares if the Company is unable to complete its initial business combination in the prescribed time frame.

If the Company is unable to complete an initial business combination within 12 months (or up to 18 months if the Company extends the period of time to consummate a business combination up to two times by an additional three months each time) from the closing of the IPO, or March 22, 2024 (or ~~August~~September 22, 2024), the Company will: (i) cease all operations except for the purpose of winding up; (ii) as promptly as reasonably possible but not more than ten business days thereafter, redeem the shares of Class A common stock, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account (less any income or franchise tax obligations and up to $100,000 of interest to pay dissolution expenses), divided by the number of then outstanding shares of Class A common stock, which redemption will completely extinguish public stockholders’ rights as stockholders (including the right to receive further liquidating distributions, if any); and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining stockholders and the board of directors, liquidate and dissolve, subject in each case to our obligations under Delaware law to provide for claims of creditors and the requirements of other applicable law.

Liquidity, Capital Resources and Going Concern

At ~~June~~September 30, 2023, we had cash of ~~$148,233~~$4,552 and a working capital deficit of ~~$136,743,~~$418,200, excluding the franchise and income tax liabilities, as these tax liabilities will be paid using the dividend and interest income earned in the Trust Account.

We have neither engaged in any operations nor generated any revenues to date. Our only activities from March 3, 2022 (inception) to ~~June~~September 30, 2023 were organizational activities and those necessary to consummate the IPO and identify a target company for a business combination. We do not expect to generate any operating revenues until after the completion of our business combination. We have generated and expected to generate non-operating income in the form of dividend and interest income on marketable securities held in the Company’s Trust Account. We have incurred and expect to incur expenses as a result of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence expenses.

2223

The Company’s liquidity needs prior to the consummation of the IPO were satisfied through the proceeds of $25,000 from the sale of the Founder Shares (defined below), and ~~a loan amounting to $395,500 as of the IPO date, which was repaid on March 24, 2023,~~loans under an unsecured and noninterest bearing promissory note from the Sponsor (the “Note”). Subsequent to the consummation of the IPO, the Company’s liquidity needs have been and will continue to be satisfied through the net proceeds held outside of the Trust Account from the consummation of the IPO and the Private Placement. In addition, in order to finance the Company’s operations as well as transaction costs in connection with an initial business combination, the Sponsor, an affiliate of the Sponsor, or certain of the Company’s officers and directors or their affiliates may, but are not obligated to, loan the Company funds as may be required (“Working Capital Loans”). The Working Capital Loans are to be repaid upon consummation of a business combination, without interest, or, at the lender’s option, up to $2,000,000 of the outstanding Working Capital Loans are convertible into warrants at a price of $1.00 per warrant. ~~Through June~~As of September 30, 2023, the Company ~~has zero amounts borrowed under the~~had $95,000 of outstanding Working Capital ~~Loans.~~Loans from the Sponsor.

As of ~~June~~September 30, 2023, the Company had cash in the Trust Account of ~~$56,564,625.~~$57,301,480. The Company intends to use substantially all of the funds held in the Trust Account, including any amounts representing interest earned on the Trust Account (less deferred underwriting commissions of $1,897,350) to complete its initial business combination, to the extent that the Company’s capital stock or debt is used, in whole or in part, as consideration to complete its initial business combination. The Company may also withdraw dividend and interest income earned in the Trust Account to pay income and franchise taxes. As of ~~June~~September 30, 2023, none of the principal amount in the Trust Account was withdrawn as described above.

The Company’s Sponsor, officers and directors (the “Initial Stockholders”) have agreed not to propose any amendment to the Certificate of Incorporation that would affect the Company’s public stockholders’ ability to convert or sell their shares to the Company in connection with a business combination as described herein or affect the substance or timing of the Company’s obligation to redeem 100% of its public shares if the Company does not complete a business combination within 12 months (or if the Company decides to extend the period of time to complete the initial business combination up to two times by an additional three months each time, at $0.10 per unit per extension, for a total of $0.20 per unit in the aggregate in trust, within 18 months) from the closing of the IPO (the “Combination Period”) unless the Company provides its public stockholders with the opportunity to convert their shares of Class A common stock upon the approval of any such amendment at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest not previously released to the Company but net of franchise and income taxes payable, divided by the number of then outstanding public shares.

If the Company is unable to complete an initial business combination within 12 months (or up to 18 months if the Company extends the period of time to consummate a business combination up to two times by an additional three months each time) from the closing of the IPO, or March 22, 2024 (or ~~August~~September 22, 2024), we will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but not more than ten business days thereafter, redeem the shares of Class A common stock subject to possible redemption, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account (less any income or franchise tax obligations and up to $100,000 of interest to pay dissolution expenses), divided by the number of then outstanding shares of common stock, which redemption will completely extinguish public stockholders’ rights as stockholders (including the right to receive further liquidating distributions, if any), and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining stockholders and the board of directors, liquidate and dissolve, subject in each case to our obligations under Delaware law to provide for claims of creditors and the requirements of other applicable law.

The ~~$148,233~~$4,552 held outside of the Trust Account as of ~~June~~September 30, 2023, ~~may~~will not be sufficient to allow the Company to operate for at least the next 12 months from the issuance of the financial statements, assuming that a business combination is not consummated during that time. The Company may need to raise additional capital through loans or additional investments from its Sponsor, stockholders, officers, directors, or third parties. If the Company is unable to raise additional capital, it may be required to take additional measures to conserve liquidity, which could include, but not necessarily be limited to, curtailing operations, suspending the pursuit of a potential transaction, and reducing overhead expenses. The Company cannot provide any assurance that new financing will be available to it on commercially acceptable terms, if at all. Additionally, the Company has until March 22, 2024, barring any extension, to consummate a business combination. It is uncertain that the Company will be able to consummate a business combination by this time. If a business combination is not consummated by this date and an extension is not requested by the Company’s sponsor, there will be a mandatory liquidation and subsequent dissolution of the Company. These conditions raise substantial doubt about the Company’s ability to continue as a going concern, assuming a business combination is not consummated. This financial statement does not include any adjustments relating to the recovery of the recorded assets or the classification of the liabilities that might be necessary should the Company be unable to continue as a going concern.

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The Company believes that the proceeds raised in the IPO and the funds potentially available from loans from the Sponsor or any of their affiliates will not be sufficient to allow the Company to meet the expenditures required for operating its business for at least the next 12 months from the issuance of the Company’s financial statements, assuming that a business combination is not consummated during that time. However, if the estimate of the costs of identifying a target business, undertaking in-depth due diligence and negotiating a business combination are less than the actual amount necessary to do so, the Company may have insufficient funds available to operate its business prior to the initial business combination. Moreover, the Company may need to obtain additional financing either to complete the business combination or because the Company becomes obligated to redeem a significant number of public shares upon completion of the business combination, in which case the Company may issue additional securities or incur debt in connection with such business combination.

Results of Operations

The Company’s entire activity from its inception through the IPO date was in preparation for the IPO, and since the IPO, the Company’s activity has been limited to the search for a prospective initial business combination. The Company will not generate any operating revenues until the closing and completion of an initial business combination, at the earliest.

For the three months ended ~~June~~September 30, 2023, the Company had net income of ~~$453,111,~~$278,301, which was primarily related to ~~$666,505~~$736,855 of dividend and interest income earned in the Trust Account, ~~and $173,764 of income related to the change in fair value of the over-allotment liability,~~ offset by ~~$253,135~~$309,757 of formation and general and administrative costs and ~~$134,023~~$148,797 of income tax expense.

For the ~~six~~nine months ended ~~June~~September 30, 2023, the Company had net income of ~~$410,327,~~$688,628, which was primarily related to ~~$728,325~~$1,465,180 of dividend and interest income earned in the Trust Account and, $134,583 of income related to the change in fair value of the over-allotment liability, offset by ~~$311,519~~$621,276 of formation and general and administrative costs and ~~$141,062~~$289,859 of income tax expense.

For the three months ended ~~June~~September 30, 2022, the Company had a net loss of ~~$2,960,~~$80, which consisted of formation and general and administrative costs.

For the period from March 3, 2022 (inception) through ~~June~~September 30, 2022, the Company had a net loss of ~~$6,341,~~$6,421, which consisted of formation and general and administrative costs.

The dividend and interest income during the three and ~~six~~nine months ended ~~June~~September 30, 2023 represents the income earned in the Trust Account for the three and ~~six~~nine months ended ~~June~~September 30, 2023. The income tax expense during the three and ~~six~~nine months ended ~~June~~September 30, 2023 was primarily attributable to the dividend and interest income earned in the Trust Account. General and administrative costs increased during the three and ~~six~~nine months ended ~~June~~September 30, 2023 due to the Company’s activities related to operating as a public company versus only formation-related expenses during the three months ended ~~June~~September 30, 2022 and the period from March 3, 2022 (inception) through ~~June~~September 30, 2022.

Commitments and Contractual Obligations

Registration Rights

The holders of the Founder Shares, Private Placement Warrants, warrants that may be issued upon conversion of Working Capital Loans, any shares of Class A common stock issuable upon the exercise of the Private Placement warrants and warrants that may be issued upon conversion of the Working Capital Loans and Class A common stock issuable upon conversion of the Founder Shares, are entitled to registration rights pursuant to a registration rights agreement to be signed at the effective date of the IPO, requiring us to register such securities for resale (in the case of the Founder Shares, only after conversion of the Class A common stock). The holders of the majority of these securities are entitled to make up to three demands, excluding short form demands, that the Company register such securities. In addition, the holders have certain “piggy-back” registration rights with respect to registration statements filed subsequent to the completion of the initial business combination and rights to require us to register for resale such securities pursuant to Rule 415 under the Securities Act. The registration rights agreement does not contain liquidated damages or other cash settlement provisions resulting from delays in registering securities.

Underwriting Agreement

$1,897,350 in the aggregate (reflecting the partial exercise by the underwriter of its over-allotment option), will be payable to the underwriter for deferred underwriting commissions. The deferred fee will become payable to the underwriter from the amounts held in the Trust Account solely in the event that the Company completes an initial business combination, subject to the terms of the underwriting agreement.

Administrative Support Agreement

In conjunction with the IPO closing, the Company entered into the administrative support agreement under which it pays the Sponsor a total of $10,000 per month, for up to 12 months, for office space, secretarial and administrative services. The Company’s expenses related to the administrative support agreement were $30,000 and $60,000 for the three and ~~six~~nine months ended ~~June~~September 30, ~~2023.~~2023, respectively. Upon completion of the initial business combination or the Company’s liquidation, the Company will cease paying these monthly fees. As of September 30, 2023, $35,000 was accrued for amounts due to the Sponsor under the Administrative Support Agreement, offset by $2,820 for amounts that were owed to the Company by the Sponsor.

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Critical Accounting Policies and Estimates

The preparation of unaudited condensed financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the unaudited condensed financial statements, and income and expenses during the periods reported. Actual results could materially differ from those estimates. No critical accounting estimates were identified. Critical accounting policies ~~and estimates~~ are identified below.

~~Share-Based Payment Arrangements~~

Derivative Financial Instruments

The Company issued warrants to its investors, and the over-allotment option to the underwriter. The Company accounts for financial instruments as either equity-classified or liability-classified instruments based on an assessment of the specific terms of the instruments and applicable authoritative guidance in ASC 480 and ASC Topic 815, “Derivatives and Hedging” (“ASC 815”). The assessment considers whether the instruments are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and meet all of the requirements for equity classification under ASC 815, including whether the instruments are indexed to the Company’s own stock and whether the holders of the instruments could potentially require “net cash settlement” in a circumstance outside of the Company’s control, among other conditions for equity classification.

At the IPO date, the Public Warrants and Private Placement Warrants were accounted for as equity instruments as they meet all of the requirements for equity classification under ASC 815 based on current expected terms, which are subject to change.

Net Income (Loss) Per Share of Common Stock

The Company complies with accounting and disclosure requirements of ASC Topic 260, “Earnings Per Share” (“ASC 260”). Net income (loss) per share is computed by dividing net loss by the weighted average number of shares of Class A common stock outstanding during the applicable period. The weighted average shares for the three and ~~six~~nine months ended ~~June~~September 30, ~~2023~~2022 were reduced for the effect of the Class B common stock that were subject to forfeiture.

The Company’s statements of operations include a presentation of net income (loss) per share subject to redemption in a manner similar to the two-class method of net income (loss) per share. With respect to the accretion of the Class A common stock subject to possible redemption and consistent with

ASC 480-10-S99-3A, the Company deemed the fair value of the Class A common stock subject to possible redemption to approximate the contractual redemption value and the accretion has no impact on the calculation of net income (loss) per share. The Company’s Public Warrants and Private Placement Warrants (see Note 4)3) could, potentially, be exercised or converted into Class A common stock and then share in the earnings of the Company. However, these warrants were excluded when calculating diluted income (loss) per share as the contingencies associated with the warrants had not been satisfied as of the end of the reporting periods presented. As a result, diluted income (loss) per share is the same as basic income (loss) per share for the periods presented.

Common Stock Subject to Possible Redemption

The Company accounts for its common stock subject to possible redemption in accordance with the guidance in ASC Topic 480, “Distinguishing Liabilities from Equity” (“ASC 480”). Class A common stock subject to mandatory redemption (if any) are classified as a liability instrument and are measured at fair value. Conditionally redeemable common stock (including common stock that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control) are classified as temporary equity. At all other times, common stock is classified as stockholders’ equity. The Company’s Class A common stock sold as part of the ~~Public Offering, features~~IPO, feature certain redemption rights that are considered to be outside of the Company’s control and subject to the occurrence of uncertain future events. Accordingly, Class A common stock subject to possible redemption are classified as temporary equity and are accreted from the initial carrying amount to the redemption value over the period from the date of issuance to the earliest redemption date of the instrument on a straight-line basis. Subsequent to the IPO date, the accretion also includes the dividend and interest income earned in the Trust Account in excess of income and franchise taxes.

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The change in the carrying value of Class A common stock subject to possible redemption resulted in charges against additional paid-in capital. Subsequent to the IPO date, the Company accretes a portion of the accretion that reflects a redemption in excess of fair value, and dividend and interest income earned in the Trust Account in excess of income and franchise taxes.

Recent Accounting Standards

In August 2020, the FASB issued ASU 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging— Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. This guidance changes how entities account for convertible instruments and contracts in an entity’s own equity and simplifies the accounting for convertible instruments by removing certain separation models for convertible instruments. This guidance also modifies the guidance on diluted earnings per share calculations. This new guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2023, but allows for early adoption. The Company is currently evaluating the potential impact that the adoption of this standard will have on its financial statements.

Management does not believe that any additional recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on the Company’s unaudited condensed financial statements.

JOBS Act

On April 5, 2012, the JOBS Act was signed into law. The JOBS Act contains provisions that, among other things, relax certain reporting requirements for qualifying public companies. We will qualify as an “emerging growth company” and under the JOBS Act will be allowed to comply with new or revised accounting pronouncements based on the effective date for private (not publicly traded) companies. We are electing to delay the adoption of new or revised accounting standards, and as a result, we may not comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required for non-emerging growth companies. As a result, our unaudited condensed financial statements may not be comparable to companies that comply with new or revised accounting pronouncements as of public company effective dates.

Additionally, the Company is in the process of evaluating the benefits of relying on the other reduced reporting requirements provided by the JOBS Act. Subject to certain conditions set forth in the JOBS Act, if, as an “emerging growth company”, the Company chooses to rely on such exemptions the Company may not be required to, among other things, (i) provide an independent registered public accounting firm’s attestation report on our system of internal controls over financial reporting pursuant to Section 404, (ii) provide all of the compensation disclosure that may be required of non-emerging growth public companies under the Dodd-Frank Wall Street Reform and Consumer Protection Act, (iii) comply with any requirement that may be adopted by the PCAOB regarding mandatory audit firm rotation or a supplement to the report of independent registered public accounting firm providing additional information about the audit and the financial statements (auditor discussion and analysis), and (iv) disclose certain executive compensation related items such as the correlation between executive compensation and performance and comparisons of the Chief Executive Officers’ compensation to median employee compensation. These exemptions will apply for a period of five years following the completion of the IPO or until the Company is no longer an “emerging growth company,” whichever is earlier.

Related Party Transactions

Founder Shares

On March 16, 2023, the Sponsor forfeited an aggregate of 373,750 Founder Shares for no consideration, resulting in the Sponsor and directors holding an aggregate of 1,495,000 Founder Shares, of which up to 195,000 was subject to forfeiture to the extent the over-allotment option was not exercised in full by the underwriter prior to its expiration date on April 30, 2023.

2627

On March 17, 2023, upon the partial exercise their over-allotment option by the underwriters, the forfeiture lapsed for 55,250 Founder Shares. Following the expiration of the underwriters’ remaining over-allotment option on April 30, 2023, the remaining 139,750 Founder Shares were forfeited, resulting in our Sponsor and directors holding an aggregate of 1,355,250 Founder Shares.

Private Placement

On March 16, 2023, in the private placement that occurred simultaneously with the IPO, the Sponsor purchased an aggregate of 3,449,500 warrants ~~(each~~

(each a “Private Placement Warrant”) at a price of $1.00 per warrant, for an aggregate purchase price of $3,449,500.

On March 17, 2023, the underwriters partially exercised their over-allotment option resulting in the Company issuing 127,400 Private Placement

Warrants, generating an additional $127,500 in gross proceeds.

Each Private Placement Warrant entitles the holder to purchase one share of Class A common stock, subject to adjustment. The proceeds from the Private Placement of the Private Placement Warrants funded the trust account, IPO issuance costs and will fund the future operations prior to the business combination. If the Company does not complete an initial business combination within the Combination Period, the remaining proceeds, after payments from the sale of the Private Placement Warrants, will be included in the liquidating distribution to the public stockholders and the Private Placement Warrants will be worthless.

Due from Related Party

As of ~~June~~September 30, 2023 and December 31, 2022, the Company recorded $0 and $2,820, respectively, for amounts that were owed to the Company by the Sponsor.

Promissory Note — Related Party

Prior to March of 2023, the Sponsor had agreed to loan the Company an aggregate of up to $400,000 to cover expenses related to the proposed Initial Public Offering pursuant to a promissory note (the “Note”). The Note was non-interest bearing and payable on the earlier of October 31, 2023, the consummation of the IPO or the abandonment of the IPO.

In March of 2023, the Company amended the Note to allow for the borrowing of an additional $40,000 (up to $440,000 in total) as well as adjusted the terms of the Note to provide that repayment occur on the later of the IPO, or October 31, 2023. The Company accounted for this amendment to the Note as a troubled debt restructuring on a prospective ~~basis.~~basis, which did not have a material impact on the Company’s financial statements.

On March 24, 2023, the Company repaid all amounts outstanding under the Note.

Working Capital Loans

In order to finance transaction costs in connection with a business combination, the Sponsor or an affiliate of the Sponsor, or certain of the Company’s officers and directors may, but are not obligated to, loan the Company funds as may be required, up to $2,000,000 (“Working Capital Loans”). If the Company completes a business combination, the Company will repay the Working Capital Loans. Up to $2,000,000 of such loans may be converted into warrants, at a price of $1.00 per warrant at the option of the lender, upon consummation of ~~our~~the Company’s initial business combination. In the event that a business combination does not close, the Company may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans but no proceeds held in the Trust Account would be used to repay the Working Capital Loans.

~~The terms~~On each of ~~such~~August 17, 2023 and September 20, 2023, the Sponsor loaned the Company $30,000 and $65,000, respectively, as Working Capital ~~Loans, if any, have not been determined and no written agreements exist with respect to such loans.~~Loans. The Working Capital Loans ~~will either~~are to be repaid upon consummation of a business combination, without interest, or, at the lender’s ~~discretion.~~option, up to $2,000,000 of the outstanding Working Capital Loans are convertible into Private Placement Warrants at a price of $1.00 per warrant. As of ~~June~~September 30, 2023 and December 31, 2022, the Company had ~~no borrowings~~$95,000 and $0, respectively, borrowed under ~~the~~ Working Capital ~~Loans.~~Loans from the Sponsor included in Convertible note-related party in the accompanying unaudited condensed consolidated balance sheets.

Administrative Support Agreement

On March 22, 2023, the Company entered into an administrative support agreement under which it will pay the Sponsor a total of $10,000 per month, up until the completion of the Company’s initial business combination or liquidation, for secretarial and administrative services. The Company’s expenses related to the administrative support agreement were $30,000 and $60,000 for the three and ~~six~~nine months ended ~~June~~September 30, 2023. This amount is included in Due to related party on the accompanying balance ~~sheet, which was offset by $27,820 of due from related party, resulting in a balance at June 30, 2023 of $2,180.~~sheet. Upon completion of the initial business combination or the Company’s liquidation, the Company will cease paying these monthly fees. As of September 30, 2023, $35,000 was accrued for amounts due to the Sponsor under the Administrative Support Agreement, offset by $2,820 for amounts that were owed to the Company by the Sponsor.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

The Company is a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and is not required to provide the information otherwise required under this item.

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Item 4. Controls and Procedures

Limitations on effectiveness of controls and procedures

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosure.

Evaluation of Disclosure Controls and Procedures

As required by Rules 13a-15 and 15d-15 under the Exchange Act, our Chief Executive Officer and Chief Financial Officer carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures as of ~~June~~September 30, 2023. Based upon their evaluation, our Chief Executive Officer and Chief Financial Officer concluded that during the period covered by this report, our disclosure controls and procedures were not effective due to the material weakness in internal controls over financial reporting related to the Company’s review and approval of cash disbursements.

The Company’s management has concluded that there was a material weakness in its internal control over financial reporting related to the Company’s review and approval of cash disbursements.

To address this material weakness management has devoted, and plans to continue to devote, significant effort and resources to the remediation and improvement of its internal control over financial reporting.

The Company implemented additional controls related to vendor verification,

The Company implemented additional review of each payment made by several authorized individuals.

As the Company has recently implemented the above controls, the Company will require additional time in order to ensure that the control will operate effectively to address the Company’s material weakness.

Changes in Internal Control Over Financial Reporting

Other than changes that have resulted from the material weakness remediation activities noted above, there has been no change in the internal control over financial reporting, during the most recently completed fiscal quarter, that has materially affected, or is reasonably likely to materially affect, the internal control over financial reporting.

2829

PART II-OTHER INFORMATION

Item 1. Legal Proceedings

None.

Item 1A. Risk Factors

As a “smaller reporting company” as defined by Item 10 of Regulation S-K, the Company is not required to provide the information required by this Item.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Unregistered Sales

On May 31, 2022, the Sponsor, ALWA Sponsor LLC, purchased 2,156,250 Founder Shares for an aggregate purchase price of $25,000. Subsequently, on August 26, 2022, the Sponsor forfeited an aggregate of 287,500 shares for no consideration, resulting in the Sponsor holding an aggregate of 1,868,750 Founder Shares. Subsequently on March 16, 2023, the Sponsor forfeited an aggregate of 373,750 Founder Shares for no consideration, resulting in our Sponsor holding an aggregate of 1,495,000 Founder Shares. Following the expiration of the underwriters’ remaining ~~over-allotment~~over- allotment option on April 30, 2023, the remaining 139,750 Founder Shares were forfeited.

In conjunction with the consummation of our Initial Public Offering, our Sponsor purchased 3,576,900 Private Placement Warrants at a price of approximately $1.00 per Private Placement Warrant, generating total proceeds of $3,577,000. These issuances were made pursuant to the exemption from registration contained in Section 4(a)(2) of the Securities Act. No underwriting discounts or commissions were paid with respect to such sales.

Use of Proceeds

On March 22, 2023, the Company consummated an Initial Public Offering of 5,421,000 units (the “Units”), inclusive of 221,000 over-allotment Units resulting from the partial exercise by the underwriters of their over-allotment option which occurred on March 17, 2023, at $10.00 per Unit, generating gross proceeds of $54,210,000, and incurring offering costs (inclusive of the partial exercise of the underwriter’s over-allotment option on March 17, 2023) of approximately $4.0 million, including approximately $0.8 million of underwriting fees, approximately $1.9 million associated with deferred underwriting fees, approximately $0.3 million of costs associated with the issuance of Representative Shares, and approximately $1.0 million of other offering costs.

After deducting the underwriting discounts and commissions (excluding the deferred portion, which amount will be payable upon consummation of the initial business combination, if consummated) and the IPO expenses, $55,836,300 of the net proceeds from the IPO and certain of the proceeds from the sale of the Private Placement Warrants (or $10.30 per Unit sold in the IPO, including partial over-allotment option exercise) were placed in the Trust Account established for the benefit of our public stockholders maintained by Continental Stock Transfer & Trust Company acting as trustee.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

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Item 5. Other Information

None.

Item 6. Exhibits.


Exhibit Number		Description

10.1		Promissory Note, dated August 17, 2023, issued to ALWA Sponsor, LLC.

10.2		Promissory Note, dated September 20, 2023, issued to ALWA Sponsor, LLC.

31.1*		Certification of Principal Executive Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a) under the Securities Exchange Act of 1934, as amended, as adopted pursuant to Section 302 of the Sarbanes Oxley Act of 2002.

31.2*		Certification of Principal Financial Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a) under the Securities Exchange Act of 1934, as amended, as adopted pursuant to Section 302 of the Sarbanes Oxley Act of 2002.

32.1*		Certification of Principal Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes Oxley Act of 2002.

32.2*		Certification of Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes Oxley Act of 2002.

101.INS		XBRL Instance Document

101.SCH		XBRL Taxonomy Extension Schema Document

101.CAL		XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF		XBRL Taxonomy Extension Definition Linkbase Document

101.LAB		XBRL Taxonomy Extension Label Linkbase Document

101.PRE		XBRL Taxonomy Extension Presentation Linkbase Document

104		Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

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, nor shall they be deemed incorporated by reference in any filing under the Securities Act, except as shall be expressly set forth by specific reference in such filing.

3031

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized on this 28^th22nd day of ~~September,~~December, 2023.


FOUR LEAF ACQUISITION CORPORATION

By:	/s/ Angel Orrantia
Name:		Angel Orrantia
Title:		Chief Executive Officer
		~~(Principal~~ (Principal Executive Officer)

By:	/s/ Coco Kou
Name:		Coco Kou
Title:		Chief Executive Officer
		~~(Principal~~ (Principal Financial Officer)

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	Common Stock Subject to Possible Redemption				Common Stock										Additional			Retained Earnings			Total
	Class A				Class A				Class B						Paid-in			(Accumulated			Stockholders’
For the six months ended June 30, 2023	Shares		Amount		Shares		Amount		Shares			Amount			Capital			Deficit)			Equity







Balance - December 31, 2022		—	$	—		—	$	—		1,495,000	(1)	$	150		$	24,850		$	(6,306	)	$	18,694
Issuance of private placement warrants		—		—		—		—		—			—			3,577,000			—			3,577,000
Issuance of Class A common stock, net of issuance costs of $3,928,774		5,421,000		48,928,489		—		—		—			—			—			—			—
Issuance of Public Warrants, net of issuance costs of $ 90,313		—		—		—		—		—			—			1,127,840			—			1,127,840
Issuance of Representative Shares		—		—		54,210		5		—			—			270,515			—			270,520
Accretion of Class A common stock to redemption value		—		314,307		—		—		—			—			(314,307	)		—			(314,307	)
Net loss		—		—		—		—		—			—			—			(42,784	)		(42,784	)

Balance - March 31, 2023 (unaudited)		5,421,000	$	49,242,796		54,210	$	5		1,495,000	(1)	$	150		$	4,685,898		$	(49,090	)	$	4,636,963
Accretion of Class A common stock to redemption value		—		2,231,134		—		—		—			—			(2,231,134	)		—			(2,231,134	)
Forfeiture of Class B common stock due to expiration of over-allotment option		—		—		—		—		(139,750	)		(14	)		14			—			—
Net income		—		—		—		—		—			—			—			453,111			453,111

Balance - June 30, 2023 (unaudited)		5,421,000	$	51,473,930		54,210	$	5		1,355,250		$	136		$	2,454,778		$	404,021		$	2,858,940

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company