Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Mar. 30, 2023 | Jun. 30, 2022 | |
Document Information | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 001-40686 | ||
Entity Registrant Name | XPAC ACQUISITION CORP. | ||
Entity Incorporation, State or Country Code | KY | ||
Entity Tax Identification Number | 00-0000000 | ||
Entity Address, Address Line One | 55 West 46th Street, 30th floor | ||
Entity Address, City or Town | New York | ||
Entity Address State Or Province | NY | ||
Entity Address, Postal Zip Code | 10036 | ||
City Area Code | 646 | ||
Local Phone Number | 664-0501 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | false | ||
Entity Shell Company | true | ||
Entity Public Float | $ 222,027,034.41 | ||
Auditor Firm ID | 688 | ||
Auditor Name | Marcum llp | ||
Auditor Location | San Francisco, California | ||
Entity Central Index Key | 0001853397 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Units, each consisting of one Class A ordinary share and one-third of one redeemable warrant | |||
Document Information | |||
Title of 12(b) Security | Units, each consisting of one Class A ordinary share and one-third of one redeemable warrant | ||
Trading Symbol | XPAXU | ||
Security Exchange Name | NASDAQ | ||
Class A Common Stock | |||
Document Information | |||
Title of 12(b) Security | Class A ordinary share, par value $0.0001 per share | ||
Trading Symbol | XPAX | ||
Security Exchange Name | NASDAQ | ||
Entity Common Stock, Shares Outstanding | 21,961,131 | ||
Warrants, each whole warrant exercisable for one Class A ordinary share at an exercise price of $11.50 per whole share | |||
Document Information | |||
Title of 12(b) Security | Warrants, each whole warrant exercisable for one share of common stock at an exercise price of $11.50 per whole share | ||
Trading Symbol | XPAXW | ||
Security Exchange Name | NASDAQ | ||
Class B Common Stock | |||
Document Information | |||
Entity Common Stock, Shares Outstanding | 5,490,283 |
BALANCE SHEETS
BALANCE SHEETS - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash | $ 44,659 | $ 352,190 |
Prepaid expenses | 233,489 | 411,502 |
Total current assets | 278,148 | 763,692 |
Investments held in Trust Account | 222,726,270 | 219,617,731 |
Prepaid expenses - non-current portion | 233,479 | |
Total assets | 223,004,418 | 220,614,902 |
Current liabilities | ||
Accounts payable | 295,328 | 132,916 |
Accrued expenses | 4,966,405 | 914,809 |
Accrued offering costs | 92,000 | 92,000 |
Total current liabilities | 5,353,733 | 1,139,725 |
Promissory note payable - related party | 300,000 | 84,412 |
Deferred underwriter's commission fee | 4,996,157 | 5,380,477 |
Deferred advisory fee - related party | 2,690,239 | 2,305,919 |
Warrant liabilities | 1,874,437 | 5,825,972 |
Total liabilities | 15,214,566 | 14,736,505 |
Commitments and contingencies | ||
Shareholders' deficit | ||
Preference shares, $0.0001 par value; 1,000,000 shares authorized; none issued and outstanding | ||
Accumulated deficit | (14,936,967) | (13,739,883) |
Total shareholders' deficit | (14,936,418) | (13,739,334) |
Total liabilities and shareholders' deficit | 223,004,418 | 220,614,902 |
Class A ordinary shares subject to possible redemption | ||
Current liabilities | ||
Class A ordinary shares subject to possible redemption, 21,961,131 shares at December 31, 2022 and December 31, 2021, at redemption value of $10.14 and $10.00, respectively | 222,726,270 | 219,617,731 |
Class A ordinary shares not subject to possible redemption | ||
Shareholders' deficit | ||
Common stock value | 0 | 0 |
Class B ordinary shares | ||
Shareholders' deficit | ||
Common stock value | $ 549 | $ 549 |
BALANCE SHEETS (Parenthetical)
BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 |
Preference shares, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preference shares, shares authorized | 1,000,000 | 1,000,000 |
Preference shares, shares issued | 0 | 0 |
Preference shares, shares outstanding | 0 | 0 |
Class A ordinary | ||
Ordinary shares, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Ordinary shares, shares authorized | 200,000,000 | 200,000,000 |
Class A ordinary shares subject to possible redemption | ||
Class A common stock subject to possible redemption, shares outstanding | 21,961,131 | 21,961,131 |
Class A ordinary shares subject to possible redemption, redemption value (in dollars per share) | $ 10.14 | $ 10 |
Class A ordinary shares not subject to possible redemption | ||
Ordinary shares, shares issued | 0 | 0 |
Ordinary shares, shares outstanding | 0 | 0 |
Class B ordinary shares | ||
Ordinary shares, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Ordinary shares, shares authorized | 20,000,000 | 20,000,000 |
Ordinary shares, shares issued | 5,490,283 | 5,490,283 |
Ordinary shares, shares outstanding | 5,490,283 | 5,490,283 |
STATEMENTS OF OPERATIONS
STATEMENTS OF OPERATIONS - USD ($) | 10 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2022 | |
Formation and operating costs | $ 2,009,696 | $ 5,162,463 |
Loss from operations | (2,009,696) | (5,162,463) |
Other income | ||
Change in fair value of warrant liabilities | 7,862,415 | 3,951,535 |
Offering expenses related to warrant issuance | (519,498) | |
Gain on securities held in trust | 6,421 | 3,108,539 |
Foreign exchange gain or loss | (47) | 13,844 |
Total other income | 7,349,291 | 7,073,918 |
Net Income | $ 5,339,595 | $ 1,911,455 |
Class A Common Stock Subject to Redemption | ||
Other income | ||
Basic weighted average shares outstanding | 11,097,142 | 21,961,131 |
Basic net income per share | $ 0.33 | $ 0.07 |
Diluted weighted average shares outstanding | 11,097,142 | 21,961,131 |
Diluted net income per share | $ 0.33 | $ 0.07 |
Class B ordinary shares | ||
Other income | ||
Basic weighted average shares outstanding | 5,088,474 | 5,490,283 |
Basic net income per share | $ 0.33 | $ 0.07 |
Diluted weighted average shares outstanding | 5,088,474 | 5,490,283 |
Diluted net income per share | $ 0.33 | $ 0.07 |
STATEMENTS OF CHANGES IN SHAREH
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT - USD ($) | Class A Common Stock Common Stock | Class B Common Stock Common Stock | Additional Paid-in Capital | Accumulated Deficit | Total |
Balance at the beginning at Mar. 11, 2021 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Balance at the beginning (in shares) at Mar. 11, 2021 | 0 | 0 | |||
Increase (Decrease) in Stockholders' Equity | |||||
Issuance of founder shares | $ 575 | 24,425 | 25,000 | ||
Issuance of founder shares (in shares) | 5,750,000 | ||||
Forfeiture of founder shares | $ (26) | 26 | |||
Forfeiture of founder shares (in shares) | (259,717) | ||||
Accretion of Class A ordinary shares to initial redemption amount | $ (24,451) | (19,592,274) | (19,617,025) | ||
Remeasurement of Class A ordinary shares to redemption amount | (6,421) | (6,421) | |||
Capital contribution - related party | 519,517 | 519,517 | |||
Net income | 5,339,595 | 5,339,595 | |||
Balance at the end at Dec. 31, 2021 | $ 549 | (13,739,883) | (13,739,334) | ||
Balance at the end (in shares) at Dec. 31, 2021 | 5,490,283 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Accretion of Class A ordinary shares to initial redemption amount | (3,108,539) | (3,108,539) | |||
Net income | 1,911,455 | 1,911,455 | |||
Balance at the end at Dec. 31, 2022 | $ 549 | $ (14,936,967) | $ (14,936,418) | ||
Balance at the end (in shares) at Dec. 31, 2022 | 5,490,283 |
STATEMENTS OF CASH FLOWS
STATEMENTS OF CASH FLOWS - USD ($) | 10 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2022 | |
Cash Flows from operating activities: | ||
Net income | $ 5,339,595 | $ 1,911,455 |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Gain on securities held in trust | (6,421) | (3,108,539) |
Change in fair value of warrant liabilities | (7,862,415) | (3,951,535) |
Offering costs allocated to warrants | 519,498 | |
Business combination expense paid by Sponsor | 519,517 | |
Changes in operating assets and liabilities: | ||
Prepaid expenses | (644,981) | 178,013 |
Prepaid expenses - non-current | 233,479 | |
Accounts payable | 132,916 | 162,412 |
Accrued expenses | 914,809 | 4,051,596 |
Net cash used in operating activities | (1,087,482) | (523,119) |
Cash Flows from investing activities: | ||
Purchase of investments held in trust account | (219,611,310) | |
Net cash used by investing activities | (219,611,310) | |
Cash Flows from financing activities: | ||
Proceeds from sale of Founder Shares | 25,000 | |
Proceeds from affiliate promissory note | 215,588 | |
Proceeds from sale of Units | 215,219,083 | |
Proceeds from sale of Private Placement Units | 6,392,228 | |
Payment of offering cost | (669,741) | |
Due to related party | 84,412 | |
Net cash provided by financing activities | 221,050,982 | 215,588 |
Net change in cash | 352,190 | (307,531) |
Cash at beginning of period | 352,190 | |
Cash at end of period | 352,190 | 44,659 |
Non-cash financing activities: | ||
Initial classification of ordinary shares subject to possible redemption | (219,611,310) | |
Deferred underwriting fee payable | 5,380,477 | |
Deferred advisory fee - related party | 2,305,919 | |
Deferred offering costs included in accrued offering costs | 92,000 | |
Deferred offering costs included in due to related party | 84,412 | |
Remeasurement of ordinary shares subject to possible redemption value | (6,421) | $ 3,108,539 |
Capital contribution - related party | $ 519,517 |
ORGANIZATION AND BUSINESS BACKG
ORGANIZATION AND BUSINESS BACKGROUND | 12 Months Ended |
Dec. 31, 2022 | |
ORGANIZATION AND BUSINESS BACKGROUND | |
ORGANIZATION AND BUSINESS BACKGROUND | NOTE 1 — ORGANIZATION AND BUSINESS BACKGROUND XPAC Acquisition Corp. (the “Company”) was incorporated in the Cayman Islands on March 11, 2021. The Company was formed for the purpose of entering into a merger, amalgamation, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses (the “Business Combination”). The Company is not limited to a particular industry or sector for purposes of consummating a Business Combination. The Company is an early stage and emerging growth company and, as such, the Company is subject to all of the risks associated with early stage and emerging growth companies. As of December 31, 2022, the Company had not commenced any operations. All activity for the period from March 11, 2021 (inception) through December 31, 2022 relates to the Company’s formation and the initial public offering (“Initial Public Offering”), and since the Initial Public Offering, the search for a target for its Business Combination. The Company will not generate any operating revenues until after the completion of a Business Combination, at the earliest. The Company will generate non-operating income in the form of interest income from the proceeds derived from the Initial Public Offering. The Company has selected December 31 as its fiscal year end. The registration statement for the Company’s Initial Public Offering was declared effective on July 29, 2021 (the “Effective Date”). On August 3, 2021, the Company consummated the Initial Public Offering of 20,000,000 Units at $10.00 per Unit, generating gross proceeds of $200,000,000, which is discussed in Note 3. Simultaneously with the closing of the Initial Public Offering, the Company consummated the sale of 4,000,000 Private Warrants (the “Private Warrants”) at a price of $1.50 per Private Warrant in a private placement to XPAC Sponsor LLC (the “Sponsor”) generating proceeds of $6,000,000 from the sale of the Private Warrants, which is discussed in Note 4. The Company had granted the underwriter in the Initial Public Offering (the “Underwriter”) a 45-day The Company’s management has broad discretion with respect to the specific application of the net proceeds of the Initial Public Offering and the sale of the Private 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 a Business Combination with one or more operating businesses or assets that together have an aggregate fair market value equal to at least 80% of the net assets held in the Trust Account (excluding the deferred underwriting commissions and taxes payable on the income earned on the Trust Account) at the time of the Company’s signing a definitive agreement in connection with its initial Business Combination. 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 a controlling interest in the target business sufficient for it not to be required to register as an investment company under the Investment Company Act of 1940, as amended (the “Investment Company Act”). Management agreed that an amount equal to at least $10.00 per Unit sold in the Initial Public Offering, including the proceeds from the sale of the Private Warrants, will be held in a trust account (“Trust Account”), located in the United States and invested only in U.S. government treasury bills, within the meaning set forth in Section 2(a)(16) of the Investment Company Act, with a maturity of 185 days or less or in money market funds investing solely in U.S. Treasuries and meeting certain conditions of Rule 2a-7 of the Investment Company Act, as determined by the Company, until the earlier of: (i) the completion of a Business Combination and (ii) the distribution of the funds held in the Trust Account, as described below. The Company will provide its public shareholders with the opportunity to redeem all or a portion of the Class A ordinary shares included in the Units sold in the Initial Public Offering (the “Public Shares”) upon the completion of the initial Business Combination at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account calculated as of two days prior to the consummation of the initial Business Combination, including interest earned on the funds held in the Trust Account and not previously released to the Company to pay taxes (which interest shall be net of taxes payable), divided by the number of then issued and outstanding Public Shares, subject to the limitations described herein. The amount deposited in the Trust Account as a result of the Initial Public Offering and subsequent partial exercise of the over-allotment option was an aggregate of $219,611,310, or $10.00 per public share. The per-share amount the Company will distribute to investors who properly redeem their shares will not be reduced by the deferred underwriting commissions the Company will pay to the underwriter. The redemption rights will include the requirement that a beneficial holder must identify itself in order to validly redeem its shares. There will be no redemption rights upon the completion of the Business Combination with respect to the warrants. The initial shareholders, directors and officers have entered into a letter agreement with the Company, pursuant to which they have agreed to waive their redemption rights with respect to any founder shares and Public Shares held by them in connection with the completion of the Business Combination. The Company will only proceed with a Business Combination if the Company has net tangible assets of at least $5,000,001 either prior to or upon such consummation of a Business Combination and, if the Company seeks shareholder approval, a majority of the shares voted are voted in favor of the Business Combination. If a shareholder vote is not required by applicable law or stock exchange rules and the Company does not decide to hold a shareholder vote for business or other reasons, the Company will, pursuant to its amended and restated memorandum and articles of association, conduct the redemptions pursuant to the tender offer rules of the U.S. Securities and Exchange Commission (“SEC”) and file tender offer documents with the SEC prior to completing a Business Combination. If, however, shareholder approval of the transaction is required by applicable law or stock exchange rules, or the Company decides to obtain shareholder approval for business or other 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. If the Company seeks shareholder approval in connection with a Business Combination, the Sponsor has agreed to vote its Founder Shares (as defined in Note 5), and any Public Shares purchased during or after the Initial Public Offering in favor of approving a Business Combination. Additionally, each public shareholder may elect to redeem their Public Shares irrespective of whether they vote for or against the proposed transaction or do not vote at all. Notwithstanding the above, if the Company seeks shareholder approval of a Business Combination and it does not conduct redemptions pursuant to the tender offer rules, the amended and restated memorandum and articles of association provides that a public shareholder, together with any affiliate of such shareholder or any other person with whom such shareholder 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% or more of the Public Shares, without the prior consent of the Company. The Sponsor has agreed (a) to waive its redemption rights with respect to its Founder Shares and Public Shares held by it in connection with the completion of a Business Combination and (b) not to propose an amendment to the amended and restated memorandum and articles of association (i) to modify the substance or timing of the Company’s obligation to allow redemption in connection with the Company’s initial Business Combination or to redeem 100% of its Public Shares if the Company does not complete a Business Combination or (ii) with respect to any other provision relating to shareholders rights or pre-initial Business Combination activity, unless the Company provides the public shareholders with the opportunity to redeem their Public Shares in conjunction with any such amendment. The Company will have until 24 months from the closing of the Initial Public Offering to complete a Business Combination (subject to any extension in the amount of time that the Company has to consummate a Business Combination beyond 24 months as a result of a shareholder vote to amend the Company’s amended and restated memorandum and articles of association) (the “Combination Period”). If the Company is unable to complete a Business Combination within the Combination Period, 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 The Sponsor has agreed to waive its liquidation rights with respect to the Founder Shares if the Company fails to complete a Business Combination within the Combination Period. However, if the Sponsor acquires Public Shares in or after the Initial Public Offering, such Public Shares will be entitled to liquidating distributions from the Trust Account if the Company fails to complete a Business Combination within the Combination Period. The underwriter has agreed to waive it right to its deferred underwriting commission (see Note 8) 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 Initial Public Offering price per Unit ($10.00). 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) $10.00 per Public Share or (2) such lesser 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 franchise and income taxes. This liability will not apply with respect to 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 Initial Public Offering 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 and 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. Proposed Business Combination On April 25, 2022, the Company entered into a Business Combination Agreement (the “ Business Combination Agreement”) with (i) SUPERBAC PubCo Holdings Inc, an exempted company limited by shares incorporated under the laws of the Cayman Islands (“ PubCo”), (ii) BAC1 Holdings Inc., an exempted company limited by shares incorporated under the laws of the Cayman Islands and a direct wholly owned subsidiary of PubCo (“ Merger Sub 1”), (iii) BAC2 Holdings Inc., an exempted company limited by shares incorporated under the laws of the Cayman Islands and a direct wholly owned subsidiary of PubCo (“ Merger Sub 2”), and (iv) SuperBac Biotechnology Solutions S.A., a corporation incorporated under the laws of the Federative Republic of Brazil (“ SuperBac”), pursuant to which the Company agreed to combine with SuperBac in a series of transactions that would result in PubCo becoming a publicly-traded company and listed on the Nasdaq Capital Market, with PubCo indirectly owning at least ninety-five percent (95%), but potentially less than one hundred percent (100%) of the equity interests in SuperBac (on a fully-diluted basis). As a result of the Business Combination, among other things: (i) each Class A ordinary share of an exempted company incorporated with limited liability in the Cayman Islands to be formed by SuperBac (“Newco”) issued and outstanding will automatically be cancelled and cease to exist in exchange for the right to receive such number or fraction of a newly issued Class A ordinary share of PubCo that is equal to the quotient obtained by dividing the Per Share Merger Equity Consideration Value (as defined in the Business Combination Agreement) by $10.00 (“Share Exchange Ratio”), without interest, subject to rounding, (ii) each Class B ordinary share of Newco issued and outstanding will automatically be cancelled and cease to exist in exchange for the right to receive such number or fraction of a newly issued Class B ordinary share of PubCo that is equal to the Share Exchange Ratio, without interest, subject to rounding, and (iii) each unvested option to purchase shares of SuperBac under the Company ESOPs (as defined in the Business Combination Agreement) shall automatically be vested and, together with each outstanding vested option to purchase shares of SuperBac under the Company ESOPs, all such vested options will be “net exercised” in full and the resultant number of shares of SuperBac will be converted into a number of Class A ordinary shares of PubCo determined in accordance with the quotient obtained by dividing the Per Option Conversion Value (as defined in the Business Combination Agreement) by $10.00. The Per Share Merger Equity Consideration Value is defined in the Business Combination Agreement and is based on an amount in dollars equal to: (a) the Acquisition Closing Equity Value of $316,950,513.46 (minus the Company Reorganization Payments, the Sponsor Final Promote Amount, any Excess of Company Transaction Expenses and any Excess of Permitted Indebtedness, each as defined in the Business Combination Agreement, provided that such resulting dollar amount shall be as adjusted downwards by a factor equal to the proportion of the number of Remaining Minority Company Shares (as defined in the Business Combination Agreement) outstanding to the number of SuperBac shares outstanding); divided by (b) the number of outstanding Newco Shares (as defined in the Business Combination Agreement). Upon closing of the transactions contemplated by the Business Combination Agreement with respect to the Acquisition Merger (“Acquisition Closing”), PubCo is expected to become publicly traded and listed on the Nasdaq Capital Market. The Mergers and each of the other transactions contemplated by the Business Combination Agreement or any of the other Transaction Documents (as defined in the Business Combination Agreement) (the “Transactions”) have been unanimously approved by the Company’s board of directors, which has unanimously determined to recommend that the shareholders of the Company vote to approve the Business Combination Agreement and Transactions. The Mergers and the Transactions have also been approved by SuperBac’s board of directors and SuperBac’s shareholders, and SuperBac will convene and hold a further meeting of its shareholders to obtain shareholder approval of the exercise of the SuperBac warrants, the conversion of the Class C preferred shares of SuperBac, and an increase in the number the SuperBac’s authorized issuable share capital. Consummation of the Transactions is subject to customary conditions, including (i) approval by the Company’s and SuperBac’s shareholders (certain of which SuperBac shareholder approvals were obtained on May 12, 2022, with other approvals remaining outstanding), (ii) the absence of any law or governmental order which has the effect of making consummation of the Transactions illegal or which otherwise prevents or prohibits consummation of the Transactions, (ii) the effectiveness of the registration statement filed in connection with the proposed SuperBac Business Combination, (iii) PubCo’s initial listing application with Nasdaq in connection with the Transactions shall have been conditionally approved and Class A ordinary shares of PubCo to be issued in connection with the Transactions shall have been approved for listing on the Nasdaq Capital Market, subject to official notice of issuance, and (iv) material accuracy of representations and warranties, and material compliance with covenants, in the Business Combination Agreement. In addition, the obligations of SuperBac to consummate the Transactions are subject, among others, to: (i) the condition that the Post-Redemption Trust Account Balance (as defined in the Business Combination Agreement), plus the PIPE Gross Proceeds (as defined in the Business Combination Agreement) (minus any unreimbursed Excess of Company Transaction Expenses (as defined in the Business Combination Agreement)), in each case, to be made available to PubCo at the Acquisition Closing, shall be at least $150,000,000, and (ii) at the Acquisition Closing, the Company having at least $5,000,001 in tangible net assets after giving effect to the XPAC Share Redemptions (as defined in the Business Combination Agreement). Upon completion of the Business Combination, (i) the current shareholders of SuperBac are expected to own approximately 46.6% of the outstanding share capital of PubCo (which includes approximately 20.3% to be held by Temasek (being Sommerville Investments B.V., Orjen Investments Pte. Ltd. and any of their respective affiliates)), (ii) the Company’s existing public shareholders are expected to own approximately 42.7% of the outstanding share capital of PubCo, and (iii) XPAC Sponsor LLC, a Cayman Islands limited liability company (the “Sponsor”) (which is wholly owned by XP Inc.), together with the current independent directors of the Company, is expected to own approximately 10.7% of the outstanding share capital of PubCo, assuming no redemptions from the Company’s existing public shareholders, assuming no equity or debt financings being entered in connection with the Business Combination and other assumptions. In connection with the Business Combination, PubCo will adopt a dual-class share structure pursuant to which all shareholders of PubCo other than Luiz Augusto Chacon de Freitas, SuperBac’s founder and CEO (together with his controlled shareholding vehicles and permitted transferees, the “Founder”), will receive Class A ordinary shares entitled to one vote per share, and the Founder will receive Class B ordinary shares entitled to 10 votes per share. Assuming no redemptions from the Company’s existing public shareholders, upon completion of the Business Combination, the Founder is expected to hold at least a majority of the voting rights in PubCo. Upon completion of the Business Combination, PubCo’s board of directors will consist of seven directors. The initial composition of PubCo’s board of directors will be (i) five individuals to be designated by the Founder (one such director being Luiz Augusto Chacon de Freitas Filho, and at least two such directors being independent directors and being appointed as members of PubCo audit committee), and (ii) two individuals to be designated by the Sponsor (one such director being an independent director and being appointed as a member of PubCo audit committee), in each case subject to such individuals not being Excluded Appointees (as defined in PubCo Articles). PubCo’s memorandum and articles of association that will be in effect upon the consummation of the Business Combination (the “PubCo Articles”) will provide that the number of directors on PubCo’s board of directors may be increased from seven to nine, if and as determined by the holders of a majority of the PubCo Class B ordinary shares, voting exclusively and as a separate class. The PubCo Articles also include rights for the Founder and the Sponsor to appoint specified numbers of directors if their ownership of PubCo shares is above certain specified thresholds. For so long as the Founder owns at least 25% of the voting power of PubCo’s outstanding share capital, the Founder will be entitled to nominate a majority of the designees to PubCo’s board of directors, as set out in the PubCo Articles. The directors of PubCo will include Luiz Augusto Chacon de Freitas Filho (as Chairman of the board of directors) and other directors to be appointed in due course by the Founder and the Sponsor pursuant to the Business Combination Agreement. The details of the other directors of PubCo will be included in one or more amendments to the Registration Statement (as defined below) in due course. PubCo’s executive team upon Closing is expected to be comprised of Luiz Augusto Chacon de Freitas Filho as President and Chief Executive Officer; Mozart Fogaça Júnior as Vice President; Wilson Ernesto da Silva as Chief Financial Officer; and Giuliano Pauli as Operations Director. Lock-up Joinder Agreement As contemplated by the Business Combination Agreement, certain SuperBac shareholders entered into a lock-up agreement on April 25, 2022 (the “Lock-up Agreement”). On May 26, 2022, one additional SuperBac shareholder holding approximately 0.4% of the outstanding share capital of SuperBac entered into a joinder agreement (the “Lock-up Joinder Agreement”) with the Company, by which such SuperBac shareholder agreed to be bound by the provisions of the Lock-Up Agreement and subject itself to a lock-up period of six months from Acquisition Closing. Investment Agreement Joinder As contemplated by the Business Combination Agreement, SuperBac and certain SuperBac shareholders entered into an investment agreement on April 26, 2022 (the “Investment Agreement”), pursuant to which, among other things, (i) all such shareholders of SuperBac other than the Founder have agreed to, directly or indirectly, contribute their SuperBac shares into an Newco in exchange for newly issued Class A ordinary shares of Newco, and (ii) the Founder has agreed to, directly or indirectly, contribute his SuperBac shares into Newco in exchange for newly issued Class B ordinary shares of Newco, in each case, as and to the extent contemplated by the Investment Agreement. On May 26, 2022, one additional SuperBac shareholder holding approximately 0.4% of the outstanding share capital of SuperBac entered into a joinder agreement (the “Investment Agreement Joinder”) with SuperBac, and the Company, by which such SuperBac shareholder agreed to become a party, to be bound by, and to comply with the Investment Agreement as an Equity Holder in the same manner as if he was an original signatory to the Investment Agreement. Going Concern Consideration At December 31, 2022, the Company had $44,659 in cash and working capital deficit of $5,075,585. The Company has incurred and expects to continue to incur significant costs in pursuit of its acquisition plans. In order to meet the Company’s financial needs between the current period and the consummation of a Business Combination, the Company’s Sponsor or its affiliates can, but are not obligated to, provide funding through Working Capital Loans (as defined below) (Note 5).These conditions raise substantial doubt about the Company’s ability to continue as a going concern for a period of time within one year after the date that the financial statements are issued. There is no assurance that the Company’s plan to consummate a Business Combination will be successful or successful within the Combination Period. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. If the Company is not able to consummate a Business Combination before August 3, 2023 (or by any extension in such time period as a result of a shareholder vote to amend the Company’s amended and restated memorandum and articles of association), the Company will commence an automatic winding up, dissolution and liquidation. Management has determined that the automatic liquidation, should a Business Combination not occur, and potential subsequent dissolution also raises substantial doubt about the Company’s ability to continue as a going concern. There can be no assurance that the Company will be able to complete a Business Combination by August 3, 2023. No adjustments have been made to the carrying amounts of assets or liabilities should the Company be required to liquidate after August 3, 2023. Risks and Uncertainties Management is currently evaluating the impact of the COVID-19 pandemic and has concluded that while it is reasonably possible that the virus could have a negative effect on the Company’s financial position, results of its operations and/or search for a target company, the specific impact is not readily determinable as of the date of these financial statements. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying financial statements of the Company are presented in U.S. dollars in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). In the opinion of management, all adjustments (consisting of normal recurring adjustments) have been made that are necessary to present fairly the financial position, and the results of its operations and its cash flows. 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 independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder 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 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. Use of Estimates The preparation of financial statements in conformity with GAAP requires the Company’s 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 statements and the reported amounts of revenues and expenses during the reporting period. Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statements, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ significantly from those estimates. Income Taxes The Company accounts for income taxes in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC 740”). Under the asset and liability method, as required by this accounting standard, deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the carrying amounts of assets and liabilities in the financial statements and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to the period when assets are realized or liabilities are settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in the operation of statement in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws of the relevant taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. No amounts were accrued for the payment of interest and penalties as of December 31, 2022. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position. ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. The Company is considered to be an exempted Cayman Islands company with no connection to any other taxable jurisdiction and is presently not subject to income taxes or income tax filing requirements in the Cayman Islands or the United States. As such, the Company’s tax provision was zero for the period presented. Offering Costs The Company complies with the requirements of the ASC 340-10-S99-1 and SEC Staff Accounting Bulletin (“SAB”) Topic 5A—”Expenses of Offering”. Offering costs consist principally of professional and registration fees incurred through the balance sheet date that are related to the Initial Public Offering. Offering costs are charged to shareholders’ equity or the statement of operations based on the relative value of the Public Warrants and the Private Warrants to the proceeds received from the Units sold upon the completion of the Initial Public Offering and any over-allotment exercised. Accordingly, on August 3, 2021, offering costs totaling $11,761,739 (consisting of $4,000,000 of underwriting fee, $7,000,000 of deferred underwriting fee and $761,739 of other offering costs) were recognized with $477,711 included in accumulated deficit as an allocation for the Public Warrants and the Private Warrants, and $11,284,028 included in additional paid-in capital. On August 16, 2021, the underwriter partially exercised the over-allotment option and, on August 19, 2021, purchased an additional 1,961,131 Units (the “Over-Allotment Units”) from the Company, generating gross proceeds of $19,611,310. As a result of the partial exercise of the over-allotment option, the incremental increase in offering costs is $1,078,624 (consisting of $392,228 of underwriting fee and $686,396 of deferred underwriting fee) with $41,786 included in accumulated deficit as allocation for the Public Warrants and the Private Warrants, and $1,036,838 included in additional paid-in capital. Net Income Per Ordinary Share The Company’s statements of operations include a presentation of net income (loss) per share for ordinary shares subject to possible redemption and applies the two-class method in calculating net income (loss) per share. Net income (loss) per ordinary share, basic and diluted, is calculated by dividing the pro-rata allocation of net income (loss) for each class, by the weighted average number of Class A and Class B non-redeemable ordinary shares outstanding for the period. Net income (loss) is allocated pro-rata between Class A redeemable and Class B non-redeemable shares based on their respective weighted average shares outstanding for the period. The following tables reflect the calculation of basic and diluted net income (loss) per ordinary share (in dollars, except per share amounts): For the Year ended For the period from March 11 through December 31, 2022 December 31, 2021 Non- Non- Redeemable Redeemable Redeemable Class A Class B Class B Ordinary Ordinary Redeemable Class Ordinary Shares Shares A Ordinary Shares Shares Basic and diluted net income per share: Numerator: Allocation of net income $ 1,529,164 $ 382,291 $ 3,660,920 $ 1,678,675 Denominator: Weighted-average shares outstanding 21,961,131 5,490,283 11,097,142 5,088,474 Basic and diluted net income per share $ 0.07 $ 0.07 $ 0.33 $ 0.33 Fair Value of Financial Instruments The fair value of the Company’s assets held in the Trust Account which qualify as financial instruments under ASC 820, “Fair Value Measurement,” approximates the carrying amounts represented in the balance sheet, primarily due to their short-term nature. The Company applies ASC 820, which establishes a framework for measuring fair value and clarifies the definition of fair value within that framework. ASC 820 defines fair value as an exit price, which is the price that would be received for an asset or paid to transfer a liability in the Company’s principal or most advantageous market in an orderly transaction between market participants on the measurement date. The fair value hierarchy established in ASC 820 generally requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the entity’s own assumptions based on market data and the entity’s judgments about the assumptions that market participants would use in pricing the asset or liability and are to be developed based on the best information available in the circumstances. Level 1 — Assets and liabilities with unadjusted, quoted prices listed on active market exchanges. Inputs to the fair value measurement are observable inputs, such as quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs to the fair value measurement are determined using prices for recently traded assets and liabilities with similar underlying terms, as well as direct or indirect observable inputs, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 — Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities. Warrant Liabilities The Company accounts for warrants for the Company’s ordinary shares that are not indexed to its own shares as liabilities at fair value on the balance sheet. The warrants are subject to remeasurement at each balance sheet date and any change in fair value is recognized as a component of other income (expense), net on the statement of operations. The Company will continue to adjust the liabilities for changes in fair value until the earlier of the exercise or expiration of the ordinary share warrants. At that time, the portion of the warrant liabilities related to the ordinary share warrants will be reclassified to additional paid-in capital. Related Parties Parties, which can be a corporation or individual, are considered related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operational decisions. Companies are also considered to be related if they are subject to common control or common significant influence. Cash and Cash Equivalents The Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents. The Company had cash of $44,659 and $352,190 and no cash equivalents as of December 31, 2022 and December 31, 2021, respectively. Investments Held in Trust Account As of December 31, 2022 and December 31, 2021, $222,726,270 and $ 219,617,731, respectively, held in the Trust Account was held in money market funds, which are invested in U.S. Treasury securities. The investments held in the Trust Account are presented at fair value at the end of each reporting period. Gains or losses resulting from the change in fair value of these securities are included in gains (losses) on investments held in the Trust Account on the accompanying statement of operations. The estimated fair value of investments held in the Trust Account are determined using available market information. Class A Ordinary Shares Subject to Possible Redemption The Company accounts for its ordinary shares subject to possible redemption in accordance with the guidance in Accounting Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from Equity.” Ordinary shares subject to mandatory redemption (if any) are classified as a liability instrument and is measured at fair value. Conditionally redeemable ordinary shares (including ordinary shares 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, ordinary shares are classified as shareholder’s equity. The Company’s ordinary shares 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 ordinary shares subject to possible redemption are presented at redemption value as temporary equity, outside of the shareholder’s equity section of the Company’s balance sheet. Immediately upon the closing of the Initial Public Offering, the Company recognized the accretion from initial book value to redemption amount. Increases or decreases in the carrying amount of redeemable ordinary shares are affected by charges against additional paid-in capital and accumulated deficit. As of December 31, 2022 and December 31, 2021, the Class A ordinary shares subject to possible redemption reflected in the balance sheet is reconciled in the following table: As of As of December 31, December 31, 2022 2021 Beginning Balance $ 219,617,731 $ — Gross Proceeds from Initial Public Offering and over-allotment — 219,611,310 Less: Issuance costs related to redeemable Class A ordinary shares — (11,010,457) Fair value of Public Warrants — (8,606,567) Plus: Remeasurement of carrying value to redemption value 3,108,539 19,623,446 Class A ordinary shares subject to possible redemption $ 222,726,270 $ 219,617,731 Recent Accounting Pronouncements In August 2020, the FASB issued ASU No. 2020-06, Debt with Conversion and other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40). The new guidance eliminates the beneficial conversion and cash conversion accounting models for convertible instruments. It also amends the accounting for certain contracts in an entity’s own equity that are currently accounted for as derivatives because of specific settlement provisions. In addition, the new guidance modifies how particular convertible instruments and certain contracts that may be settled in cash or shares impact the diluted EPS computation. This guidance is effective as of January 1, 2024 for smaller reporting companies (early adoption is permitted effective January 1, 2021). The Company is currently evaluating the effect the updated standard will have on its financial position, results of operations or financial statement disclosure. In June 2022, the FASB issued ASU 2022-03, ASC Subtopic 820 “Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions”. The ASU amends ASC 820 to clarify that a contractual sales restriction is not considered in measuring an equity security at fair value and to introduce new disclosure requirements for equity securities subject to contractual sale restrictions that are measured at fair value. The ASU applies to both holders and issuers of equity and equity-linked securities measured at fair value. The amendments in this ASU are effective for the Company in fiscal years beginning after December 15, 2023, and interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued or made available for issuance. The Company is currently assessing what impact, if any, that ASU 2022-03 would have on its financial position, results of operations or cash flows. The Company has considered all new accounting pronouncements and has concluded that there are no new pronouncements that may have a material impact on the results of operations, financial condition, or cash flows, based on the current information. |
INITIAL PUBLIC OFFERING
INITIAL PUBLIC OFFERING | 12 Months Ended |
Dec. 31, 2022 | |
INITIAL PUBLIC OFFERING | |
INITIAL PUBLIC OFFERING | NOTE 3 — INITIAL PUBLIC OFFERING Pursuant to the Initial Public Offering on August 3, 2021, the Company sold 20,000,000 Units at a price of $10.00 per Unit. Each Unit consisted of one Class A ordinary shares and one On August 16, 2021, the underwriter partially exercised the over-allotment option and on August 19, 2021, purchased an additional 1,961,131 Units from the Company (the “Over-Allotment Units”), generating gross proceeds of $19,611,310. In connection with the Underwriter’s partial exercise of their over-allotment option, the Sponsor purchased an additional 261,485 Private Warrants (the “Additional Private Warrants”), generating gross proceeds to the Company of approximately $392,228. An aggregate of $10.00 per Unit sold in the Initial Public Offering was held in the Trust Account and invested in U.S. government securities, within the meaning set forth in Section 2(a)(16) of the Investment Company Act, with a maturity of 185 days or less or in money market funds investing solely in U.S. Treasuries and meeting the conditions of Rule 2a-7 of the Investment Company Act, as determined by the Company. |
PRIVATE PLACEMENT
PRIVATE PLACEMENT | 12 Months Ended |
Dec. 31, 2022 | |
PRIVATE PLACEMENT | |
PRIVATE PLACEMENT | NOTE 4 — PRIVATE PLACEMENT Simultaneously with the closing of the Initial Public Offering, the Sponsor purchased an aggregate of 4,000,000 Private Warrants, at a price of $1.50 per Private Warrant, for an aggregate of $6,000,000, in a private placement. Simultaneously, with the closing of the exercise of the over-allotment option, the Company completed the sale of an additional 261,485 Private Warrants to the Sponsor, at a purchase price of $1.50 per Private Warrant, generating additional gross proceeds of $392,228. A portion of the proceeds from the sale of Private Warrants were added to the proceeds from the Initial Public Offering and partial over-allotment exercise held in the Trust Account. If the Company does not complete a Business Combination within the Combination Period, the proceeds from the sale of the Private Warrants held in the Trust Account will be used to fund the redemption of the Public Shares (subject to the requirements of applicable law), and the Private Warrants will expire worthless. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2022 | |
RELATED PARTY TRANSACTIONS | |
RELATED PARTY TRANSACTIONS | NOTE 5 — RELATED PARTY TRANSACTIONS Founder Shares In March 2021, the Sponsor purchased 5,750,000 shares of the Company’s Class B ordinary shares (the “Founder Shares”) for an aggregate purchase price of $25,000. This amount was paid on behalf of the Company to cover certain expenses. The Founder Shares included an aggregate of up to 750,000 shares subject to forfeiture by the Sponsor to the extent that the underwriter’s overallotment was not exercised in full or in part, so that the number of Founder Shares collectively represent 20% of the Company’s issued and outstanding shares after the Initial Public Offering. Since the underwriter did not exercise the over-allotment option in full, the Sponsor surrendered 259,717 Class B ordinary shares, which were forfeited by the Company. As a result of such forfeiture, there are currently 5,490,283 Class B ordinary shares issued and outstanding The Sponsor and the Company’s directors and executive officers have agreed, subject to certain limited exceptions, not to transfer, assign or sell any of the Founder Shares until the earlier of (A) one year after the completion of a Business Combination and (B) subsequent to a Business Combination, (x) if the last reported sale price of the Class A ordinary shares equals or exceeds $12.00 per share (as adjusted for stock splits, stock reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 120 days after a Business Combination, or (y) the date on which the Company completes a liquidation, merger, amalgamation, stock exchange, reorganization or other similar transaction that results in all of the Company’s shareholders having the right to exchange their shares of Class A ordinary shares for cash, securities or other property. Director Shares On May 12, 2021, the Sponsor transferred 90,000 Founder Shares in the aggregate to independent directors (“Director Shares”) at a price of $0.004 per share for gross proceeds of approximately $390. The fair value of the Director Shares was $8.01 per share or $720,459 in total as of May 12, 2021, which was calculated using a valuation model that takes into account various assumptions such as the probability of successfully completing the Business Combination among other factors. The transfer of the Director Shares to the independent directors is deemed to be a benefit to the Company. As such, the excess fair value over the purchase price of $720,068 must be considered an expense to the Company under SAB Topic 5A. As the assignment agreement underlying the Director Shares contains a performance obligation contingent upon consummation of the Business Combination, the expense will not be recognized until such time as the Business Combination is considered probable. A liquidity event such as a change in control or Business Combination is not considered probable under ASC Topic 718, “Compensation - Stock Compensation,” and as such this will not be recorded until consummation of the Company’s Business Combination. Promissory Note — Related Party In March 2021, the Sponsor issued an unsecured promissory note to the Company (the “Promissory Note”), pursuant to which the Company may borrow up to an aggregate principal amount of $300,000. The Promissory Note is non-interest bearing. On December 27, 2021, the Promissory Note was amended to be payable upon consummation of the Business Combination. As of December 31, 2021, the Company had $84,412 outstanding under the promissory note. On February 7, 2022, the Sponsor funded an additional $215,588 to the Company, resulting in $300,000 outstanding as of December 31, 2022. Related Party Loans In order to fund working capital deficiencies or finance transaction costs in connection with a Business Combination, the Sponsor or an affiliate of the Sponsor may, but is not obligated to, loan the Company funds as may be required (“Working Capital Loans”). If the Company completes a Business Combination, the Company may repay the Working Capital Loans out of the proceeds of the Trust Account released to the Company. 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. Except for the foregoing, the terms of such Working Capital Loans, if any, have not been determined and no written agreements exist with respect to such loans. At the lender’s discretion, up to $1,500,000 of such Working Capital Loans may be convertible into warrants of the post-Business Combination entity at a price of $1.50 per warrant. The warrants would be identical to the Private Warrants. As of December 31, 2022 and December 31, 2021, the Company had no outstanding borrowings under the Working Capital Loans. Administrative Services Agreement Pursuant to an administrative services agreement entered into with the Sponsor on July 29, 2021, the Sponsor may charge the Company a $10,000 per month fee for office space, administrative and support services. As of December 31, 2022 and December 31, 2021, the Sponsor has not charged, and does not intend to charge in the future, any amount in relation to the provision of these services. As a result, the Company has not incurred or accrued for any expense related to this agreement. Advisory Services The Company engaged XP Investimentos Corretora de Câmbio, Títulos e Valores Mobiliários S.A. (“XP Investimentos”), an indirect, wholly-owned subsidiary of XP, Inc. and an affiliate of the Sponsor, to provide financial consulting services, consisting of a review of deal structure and terms and related advice in connection with the Initial Public Offering, for which it received a fee of $1,725,443 of the cash underwriting paid to the Underwriter. See Note 9 below for further discussion of the Underwriting Agreement. Additionally, XP Investimentos will be entitled to $2,690,239 upon the consummation of a Business Combination. This is included in “Deferred advisory fee - related party” as of December 31, 2022. Capital Contribution — Related Party The Company’s Sponsor engaged a third-party professional services provider on behalf of the Company to conduct business due diligence services. The $0.5 million payment of such fees was deemed to be a benefit to the Company under SAB Topic 5A and was recorded to accumulated deficit and formation and operating expenses. |
SHAREHOLDERS' DEFICIT
SHAREHOLDERS' DEFICIT | 12 Months Ended |
Dec. 31, 2022 | |
SHAREHOLDERS' DEFICIT | |
SHAREHOLDERS' DEFICIT | NOTE 6 — SHAREHOLDERS’ DEFICIT Preference shares — Class A ordinary shares — Class B ordinary shares — The Class B ordinary shares (Founder Shares) will automatically convert into Class A ordinary shares at the time of a Business Combination on a one-for-one basis, subject to adjustment. In the case that additional Class A ordinary shares, or equity-linked securities, are issued or deemed issued in excess of the amounts offered in the Initial Public Offering and related to the closing of a Business Combination, the ratio at which Class B ordinary shares shall convert into Class A ordinary shares will be adjusted (unless the holders of a majority of the outstanding Class B ordinary shares agree to waive such adjustment with respect to any such issuance or deemed issuance) so that the number of Class A ordinary shares issuable upon conversion of all Class B ordinary shares will equal, in the aggregate, on an as-converted basis, 20% of the sum of the total number of all ordinary shares outstanding upon the completion of the Initial Public Offering plus all Class A ordinary shares and equity-linked securities issued or deemed issued in connection with a Business Combination (excluding any shares or equity-linked securities issued, or to be issued, to any seller in a Business Combination). Refer to Note 3 for discussion of the Initial Public Offering that occurred on August 3, 2021. |
WARRANT LIABILITIES
WARRANT LIABILITIES | 12 Months Ended |
Dec. 31, 2022 | |
WARRANT LIABILITIES | |
WARRANT LIABILITIES | NOTE 7 — WARRANT LIABILITIES Public Warrants may only be exercised for a whole number of shares. No fractional warrants will be issued upon separation of the Units and only whole warrants will trade. The Public Warrants will become exercisable on the later of (a) 12 months from the closing of the Initial Public Offering and (b) 30 days after the completion of a Business Combination. Redemption of warrants when the price per Class A ordinary share equals or exceeds ● 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 to each warrant holder; and ● if, and only if, the last reported sale price of the Class A ordinary shares for any 20 trading days within a 30 -trading day period ending on the third trading day prior to the date on which the Company will send the notice of redemption to the warrant holders (referred to as the “Reference Value”) equals or exceeds $18.00 per share (as adjusted for adjustments to the number of shares issuable upon exercise or the exercise price of a warrant). If and when the Public Warrants become redeemable by the Company, it may exercise its redemption right even if the Company is unable to register or qualify the underlying securities for sale under all applicable state securities laws. Redemption of warrants when the price per Class A ordinary share equals or exceeds ● in whole and not in part; ● at $0.10 per warrant; ● upon a minimum of 30 days ’ prior written notice of redemption provided that holders will be able to exercise their warrants on a cashless basis prior to redemption and receive that number of shares based on the redemption date and the fair market value of the Class A ordinary shares; ● if, and only if, the Reference Value equals or exceeds $10.00 per share (as adjusted for adjustments to the number of shares issuable upon exercise or the exercise price of a warrant); and ● if the Reference Value is less than $18.00 per share (as adjusted for adjustments to the number of shares issuable upon exercise or the exercise price of a warrant), the Private Warrants must also be concurrently called for redemption on the same terms as the outstanding public warrants, as described above. In addition, if (x) the Company issues additional shares of Class A ordinary shares or equity-linked securities for capital raising purposes in connection with the closing of a Business Combination at an issue price or effective issue price of less than $9.20 per share of Class A ordinary shares (with such issue price or effective issue price to be determined in good faith by the Company’s 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) (the “Newly Issued Price”), (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 a Business Combination on the date of the consummation of a Business Combination (net of redemptions), and (z) the volume weighted average trading price of the shares of Class A ordinary shares during the 20 trading day period starting on the trading day prior to the day on which the Company consummates a Business Combination (such price, 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 higher of the Market Value and the Newly Issued Price, the $18.00 per share redemption trigger price and the “Redemption of Warrants when the price per share of Class A ordinary shares equals or exceeds $10.00” described above will be adjusted (to the nearest cent) to be equal to 180% of the higher of the Market Value and the Newly Issued Price, and the $10.00 per share redemption trigger price described above. The Private Warrants are identical to the Public Warrants underlying the Units sold in the Initial Public Offering, except that the Private Warrants and the shares of Class A ordinary shares issuable upon the exercise of the Private Warrants will not be transferable, assignable or saleable until 30 days after the completion of a Business Combination, subject to certain limited exceptions. Additionally, the Private Warrants will be exercisable for cash or on a cashless basis, at the holder’s option, and be non-redeemable so long as they are held by the initial purchasers or their permitted transferees (except for a number of shares of Class A ordinary shares as described above under Redemption of warrants for Class A ordinary shares). If the Private Warrants are held by someone other than the initial purchasers or their permitted transferees, the Private Warrants will be redeemable by the Company in all redemption scenarios and exercisable by such holders on the same basis as the Public Warrants. As of December 31, 2022 and December 31, 2021, there were 7,320,377 Public Warrants and 4,261,485 Private Warrants outstanding. The Company accounts for the Public Warrants and Private Warrants in accordance with the guidance contained in ASC 815-40. Such guidance provides that because an event that is not within the entity’s control could require net cash settlement the warrants do not meet the criteria for equity classification and as a result each warrant must be recorded as a derivative liability. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2022 | |
COMMITMENTS AND CONTINGENCIES. | |
COMMITMENTS AND CONTINGENCIES | NOTE 8 — COMMITMENTS AND CONTINGENCIES Registration and Shareholder Rights The holders of the Founder Shares and Private Warrants (and any shares of Class A ordinary shares issuable upon the exercise of the Private Warrants and warrants that may be issued upon conversion of the Working Capital Loans and upon conversion of the Founder Shares) are entitled to registration rights pursuant to a registration rights and shareholder agreement signed on the effective date of the Initial Public Offering, requiring the Company to register such securities for resale (in the case of the Founder Shares, only after conversion to shares of Class A ordinary shares). The holders of these securities will be entitled to make up to three demands, excluding short form demands, that the Company register such securities. In addition, the holders will have certain “piggy-back” registration rights with respect to registration statements filed subsequent to the completion of a Business Combination and rights to require the Company to register for resale such securities pursuant to Rule 415 under the Securities Act. However, the registration and shareholder rights agreement provides that the Company will not permit any registration statement filed under the Securities Act to become effective until termination of the applicable lock-up period. The Company will bear the expenses incurred in connection with the filing of any such registration statements. Underwriting Agreement In connection with the Initial Public Offering, the underwriter was granted a 45-day The underwriter was paid a cash underwriting discount of $0.20 per Unit, or $4,392,226 in the aggregate upon the closing of the Initial Public Offering and the partial exercise of the over-allotment option. In addition, the underwriter will be entitled to a deferred fee of $0.35 per Unit, or $7,686,396 in the aggregate. Of this amount, $2,305,919 will be paid to XP Investimentos as an advisory fee (see Note 5). Subject to the terms of the underwriting agreement, (i) the deferred fee will be placed in the Trust Account and released to the underwriter only upon the completion of a Business Combination and (ii) the deferred fee will be waived by the underwriter in the event that the Company does not complete a Business Combination. |
RECURRING FAIR VALUE MEASUREMEN
RECURRING FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2022 | |
RECURRING FAIR VALUE MEASUREMENTS | |
RECURRING FAIR VALUE MEASUREMENTS | NOTE 9- RECURRING FAIR VALUE MEASUREMENTS As of December 31, 2022 and December 31, 2021, the Company’s warrant liabilities were valued at $1,874,437 and $5,825,972, respectively. Under the guidance in ASC 815-40, the Public Warrants and the Private Warrants do not meet the criteria for equity treatment. As such, the Public Warrants and the Private Warrants must be recorded on the balance sheet at fair value. This valuation is subject to re-measurement at each balance sheet date. With each re-measurement, the valuations will be adjusted to fair value, with the change in fair value recognized in the Company’s statement of operations. The following table presents fair value information as of December 31, 2022 and December 31, 2021 of the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. As of December 31, 2022 (Level 1) (Level 2) (Level 3) Assets: Investments held in the Trust Account $ 222,726,270 $ — $ — Liabilities: Public Warrants $ 1,184,437 $ — $ — Private Warrants $ — $ — $ 690,000 As of December 31, 2021 (Level 1) (Level 2) (Level 3) Assets: Investments held in the Trust Account $ 219,617,731 $ — $ — Liabilities: Public Warrants $ 3,665,972 $ — $ — Private Warrants $ — $ — $ 2,160,000 The Company’s private warrant liabilities are based on a valuation model utilizing management judgment and pricing inputs from observable and unobservable markets with less volume and transaction frequency than active markets. Significant deviations from these estimates and inputs could result in a material change in fair value. The fair value of the Private Warrant liabilities is classified within Level 3 of the fair value hierarchy at the initial measurement date. On September 20, 2021, the Public Warrants started trading separately from the Public Shares underlying the Units that were sold in the Initial Public Offering and partial exercise of the over-allotment. Accordingly, as of September 30, 2021, the Public Warrants were reclassified from a Level 3 to a Level 1 classification due to use of the observed trading price of the separated Public Warrants. Transfers between Levels are recorded at the end of each reporting period. For the period ended December 31, 2022, there were no transfers between levels. Measurement The Company established the initial fair value for the warrants on August 3, 2021, the date of the consummation of the Company’s Initial Public Offering, using a Black-Scholes-Merton formula model. At the date of the Initial Public Offering, the Company allocated the proceeds received from (i) the sale of Units (which were inclusive of one Class A ordinary share and one-third of one Public Warrant), and (ii) the sale of Private Warrants, first to the warrants based on their fair values as determined at initial measurement, with the remaining proceeds allocated to Class A ordinary shares subject to possible redemption (temporary equity), based on their relative fair values at the initial measurement date. As of December 31, 2022, the Public Warrants were publicly traded and their fair value was based on the market trade price on that date. The fair value for the Private Warrants was estimated using a Monte Carlo simulation model. The following table presents a summary of the changes in the fair value of the Warrants liabilities classified as Level 3, measured on a recurring basis. Private Warrant Public Warrant Liabilities Liabilities Fair Value as of August 3, 2021 and August 19, 2021 (initial measurement) $ 5,081,820 $ 8,606,567 Transfer out of Level 3 — (8,606,567) Change in fair value of warrant liabilities (2,921,820) — Fair Value as of December 31, 2021 $ 2,160,000 $ — Change in fair value of warrant liabilities (1,470,000) — Fair Value as of December 31, 2022 $ 690,000 $ — The key inputs into the Monte Carlo formula model were as follows for December 31, 2021 and the initial measurement on December 31, 2022, December 31, 2021 and August 3, 2021: Private Warrant Liabilities December 31, 2022 December 31, 2021 August 3, 2021 Share price $ 10.00 $ 9.69 $ 9.61 Exercise price $ 11.50 $ 11.50 $ 11.50 Risk-free rate 3.95 % 1.31 % 0.81 % Expected term of warrants 5.08 years 5.6 years 6.0 years Volatility 0.001 % 10.56 % 19.36 % |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2022 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | NOTE 10 — SUBSEQUENT EVENTS The Company evaluated subsequent events to determine if events or transactions occurred after the balance sheet date up to the date that the financial statements were issued. The Company identified no subsequent events, other than those described below, as of the date that the financial statements were issued. On February 9, 2023, the Company, PubCo, Merger Sub 1, Merger Sub 2, Newco and SuperBac entered into the Second Amendment Agreement to the Business Combination Agreement (“Second BCA Amendment”), pursuant to which the parties thereto amended the Business Combination Agreement to extend the date by which either the Company or SuperBac can terminate the Business Combination Agreement if the transactions contemplated thereby have not been consummated by such date from January 31, 2023 to February 28, 2023 (and if such date is not a business day, then the next following business day). As of the date that the financial statements were issued, the Business Combination Agreement has not been amended to extend the aforementioned date beyond February 28, 2023. Accordingly, pursuant to the terms of the Business Combination Agreement, the Business Combination Agreement can be terminated by the Company or SuperBac at any time. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Basis of Presentation | Basis of Presentation The accompanying financial statements of the Company are presented in U.S. dollars in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). In the opinion of management, all adjustments (consisting of normal recurring adjustments) have been made that are necessary to present fairly the financial position, and the results of its operations and its cash flows. |
Emerging Growth Company | 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 independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder 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 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. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires the Company’s 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 statements and the reported amounts of revenues and expenses during the reporting period. Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statements, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ significantly from those estimates. |
Income Taxes | Income Taxes The Company accounts for income taxes in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC 740”). Under the asset and liability method, as required by this accounting standard, deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the carrying amounts of assets and liabilities in the financial statements and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to the period when assets are realized or liabilities are settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in the operation of statement in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws of the relevant taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. No amounts were accrued for the payment of interest and penalties as of December 31, 2022. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position. ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. The Company is considered to be an exempted Cayman Islands company with no connection to any other taxable jurisdiction and is presently not subject to income taxes or income tax filing requirements in the Cayman Islands or the United States. As such, the Company’s tax provision was zero for the period presented. |
Offering Costs | Offering Costs The Company complies with the requirements of the ASC 340-10-S99-1 and SEC Staff Accounting Bulletin (“SAB”) Topic 5A—”Expenses of Offering”. Offering costs consist principally of professional and registration fees incurred through the balance sheet date that are related to the Initial Public Offering. Offering costs are charged to shareholders’ equity or the statement of operations based on the relative value of the Public Warrants and the Private Warrants to the proceeds received from the Units sold upon the completion of the Initial Public Offering and any over-allotment exercised. Accordingly, on August 3, 2021, offering costs totaling $11,761,739 (consisting of $4,000,000 of underwriting fee, $7,000,000 of deferred underwriting fee and $761,739 of other offering costs) were recognized with $477,711 included in accumulated deficit as an allocation for the Public Warrants and the Private Warrants, and $11,284,028 included in additional paid-in capital. On August 16, 2021, the underwriter partially exercised the over-allotment option and, on August 19, 2021, purchased an additional 1,961,131 Units (the “Over-Allotment Units”) from the Company, generating gross proceeds of $19,611,310. As a result of the partial exercise of the over-allotment option, the incremental increase in offering costs is $1,078,624 (consisting of $392,228 of underwriting fee and $686,396 of deferred underwriting fee) with $41,786 included in accumulated deficit as allocation for the Public Warrants and the Private Warrants, and $1,036,838 included in additional paid-in capital. |
Net Income Per Ordinary Share | Net Income Per Ordinary Share The Company’s statements of operations include a presentation of net income (loss) per share for ordinary shares subject to possible redemption and applies the two-class method in calculating net income (loss) per share. Net income (loss) per ordinary share, basic and diluted, is calculated by dividing the pro-rata allocation of net income (loss) for each class, by the weighted average number of Class A and Class B non-redeemable ordinary shares outstanding for the period. Net income (loss) is allocated pro-rata between Class A redeemable and Class B non-redeemable shares based on their respective weighted average shares outstanding for the period. The following tables reflect the calculation of basic and diluted net income (loss) per ordinary share (in dollars, except per share amounts): For the Year ended For the period from March 11 through December 31, 2022 December 31, 2021 Non- Non- Redeemable Redeemable Redeemable Class A Class B Class B Ordinary Ordinary Redeemable Class Ordinary Shares Shares A Ordinary Shares Shares Basic and diluted net income per share: Numerator: Allocation of net income $ 1,529,164 $ 382,291 $ 3,660,920 $ 1,678,675 Denominator: Weighted-average shares outstanding 21,961,131 5,490,283 11,097,142 5,088,474 Basic and diluted net income per share $ 0.07 $ 0.07 $ 0.33 $ 0.33 |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The fair value of the Company’s assets held in the Trust Account which qualify as financial instruments under ASC 820, “Fair Value Measurement,” approximates the carrying amounts represented in the balance sheet, primarily due to their short-term nature. The Company applies ASC 820, which establishes a framework for measuring fair value and clarifies the definition of fair value within that framework. ASC 820 defines fair value as an exit price, which is the price that would be received for an asset or paid to transfer a liability in the Company’s principal or most advantageous market in an orderly transaction between market participants on the measurement date. The fair value hierarchy established in ASC 820 generally requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the entity’s own assumptions based on market data and the entity’s judgments about the assumptions that market participants would use in pricing the asset or liability and are to be developed based on the best information available in the circumstances. Level 1 — Assets and liabilities with unadjusted, quoted prices listed on active market exchanges. Inputs to the fair value measurement are observable inputs, such as quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs to the fair value measurement are determined using prices for recently traded assets and liabilities with similar underlying terms, as well as direct or indirect observable inputs, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 — Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities. |
Warrant Liabilities | Warrant Liabilities The Company accounts for warrants for the Company’s ordinary shares that are not indexed to its own shares as liabilities at fair value on the balance sheet. The warrants are subject to remeasurement at each balance sheet date and any change in fair value is recognized as a component of other income (expense), net on the statement of operations. The Company will continue to adjust the liabilities for changes in fair value until the earlier of the exercise or expiration of the ordinary share warrants. At that time, the portion of the warrant liabilities related to the ordinary share warrants will be reclassified to additional paid-in capital. |
Related Parties | Related Parties Parties, which can be a corporation or individual, are considered related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operational decisions. Companies are also considered to be related if they are subject to common control or common significant influence. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents. The Company had cash of $44,659 and $352,190 and no cash equivalents as of December 31, 2022 and December 31, 2021, respectively. |
Investments Held in Trust Account | Investments Held in Trust Account As of December 31, 2022 and December 31, 2021, $222,726,270 and $ 219,617,731, respectively, held in the Trust Account was held in money market funds, which are invested in U.S. Treasury securities. The investments held in the Trust Account are presented at fair value at the end of each reporting period. Gains or losses resulting from the change in fair value of these securities are included in gains (losses) on investments held in the Trust Account on the accompanying statement of operations. The estimated fair value of investments held in the Trust Account are determined using available market information. |
Class A Ordinary Shares Subject to Possible Redemption | Class A Ordinary Shares Subject to Possible Redemption The Company accounts for its ordinary shares subject to possible redemption in accordance with the guidance in Accounting Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from Equity.” Ordinary shares subject to mandatory redemption (if any) are classified as a liability instrument and is measured at fair value. Conditionally redeemable ordinary shares (including ordinary shares 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, ordinary shares are classified as shareholder’s equity. The Company’s ordinary shares 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 ordinary shares subject to possible redemption are presented at redemption value as temporary equity, outside of the shareholder’s equity section of the Company’s balance sheet. Immediately upon the closing of the Initial Public Offering, the Company recognized the accretion from initial book value to redemption amount. Increases or decreases in the carrying amount of redeemable ordinary shares are affected by charges against additional paid-in capital and accumulated deficit. As of December 31, 2022 and December 31, 2021, the Class A ordinary shares subject to possible redemption reflected in the balance sheet is reconciled in the following table: As of As of December 31, December 31, 2022 2021 Beginning Balance $ 219,617,731 $ — Gross Proceeds from Initial Public Offering and over-allotment — 219,611,310 Less: Issuance costs related to redeemable Class A ordinary shares — (11,010,457) Fair value of Public Warrants — (8,606,567) Plus: Remeasurement of carrying value to redemption value 3,108,539 19,623,446 Class A ordinary shares subject to possible redemption $ 222,726,270 $ 219,617,731 |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In August 2020, the FASB issued ASU No. 2020-06, Debt with Conversion and other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40). The new guidance eliminates the beneficial conversion and cash conversion accounting models for convertible instruments. It also amends the accounting for certain contracts in an entity’s own equity that are currently accounted for as derivatives because of specific settlement provisions. In addition, the new guidance modifies how particular convertible instruments and certain contracts that may be settled in cash or shares impact the diluted EPS computation. This guidance is effective as of January 1, 2024 for smaller reporting companies (early adoption is permitted effective January 1, 2021). The Company is currently evaluating the effect the updated standard will have on its financial position, results of operations or financial statement disclosure. In June 2022, the FASB issued ASU 2022-03, ASC Subtopic 820 “Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions”. The ASU amends ASC 820 to clarify that a contractual sales restriction is not considered in measuring an equity security at fair value and to introduce new disclosure requirements for equity securities subject to contractual sale restrictions that are measured at fair value. The ASU applies to both holders and issuers of equity and equity-linked securities measured at fair value. The amendments in this ASU are effective for the Company in fiscal years beginning after December 15, 2023, and interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued or made available for issuance. The Company is currently assessing what impact, if any, that ASU 2022-03 would have on its financial position, results of operations or cash flows. The Company has considered all new accounting pronouncements and has concluded that there are no new pronouncements that may have a material impact on the results of operations, financial condition, or cash flows, based on the current information. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Schedule of reconciliation of net income (loss) per ordinary share | For the Year ended For the period from March 11 through December 31, 2022 December 31, 2021 Non- Non- Redeemable Redeemable Redeemable Class A Class B Class B Ordinary Ordinary Redeemable Class Ordinary Shares Shares A Ordinary Shares Shares Basic and diluted net income per share: Numerator: Allocation of net income $ 1,529,164 $ 382,291 $ 3,660,920 $ 1,678,675 Denominator: Weighted-average shares outstanding 21,961,131 5,490,283 11,097,142 5,088,474 Basic and diluted net income per share $ 0.07 $ 0.07 $ 0.33 $ 0.33 |
Schedule of class A ordinary shares subject to possible redemption reflected in the balance sheet | As of As of December 31, December 31, 2022 2021 Beginning Balance $ 219,617,731 $ — Gross Proceeds from Initial Public Offering and over-allotment — 219,611,310 Less: Issuance costs related to redeemable Class A ordinary shares — (11,010,457) Fair value of Public Warrants — (8,606,567) Plus: Remeasurement of carrying value to redemption value 3,108,539 19,623,446 Class A ordinary shares subject to possible redemption $ 222,726,270 $ 219,617,731 |
RECURRING FAIR VALUE MEASUREM_2
RECURRING FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
RECURRING FAIR VALUE MEASUREMENTS | |
Summary of company's financial assets and liabilities that were accounted for at fair value on a recurring basis | As of December 31, 2022 (Level 1) (Level 2) (Level 3) Assets: Investments held in the Trust Account $ 222,726,270 $ — $ — Liabilities: Public Warrants $ 1,184,437 $ — $ — Private Warrants $ — $ — $ 690,000 As of December 31, 2021 (Level 1) (Level 2) (Level 3) Assets: Investments held in the Trust Account $ 219,617,731 $ — $ — Liabilities: Public Warrants $ 3,665,972 $ — $ — Private Warrants $ — $ — $ 2,160,000 |
Summary of changes in the fair value of the warrants liabilities classified as Level 3 measured on a recurring basis | Private Warrant Public Warrant Liabilities Liabilities Fair Value as of August 3, 2021 and August 19, 2021 (initial measurement) $ 5,081,820 $ 8,606,567 Transfer out of Level 3 — (8,606,567) Change in fair value of warrant liabilities (2,921,820) — Fair Value as of December 31, 2021 $ 2,160,000 $ — Change in fair value of warrant liabilities (1,470,000) — Fair Value as of December 31, 2022 $ 690,000 $ — |
Summary of key inputs into the Monte Carlo formula model | Private Warrant Liabilities December 31, 2022 December 31, 2021 August 3, 2021 Share price $ 10.00 $ 9.69 $ 9.61 Exercise price $ 11.50 $ 11.50 $ 11.50 Risk-free rate 3.95 % 1.31 % 0.81 % Expected term of warrants 5.08 years 5.6 years 6.0 years Volatility 0.001 % 10.56 % 19.36 % |
ORGANIZATION AND BUSINESS BAC_2
ORGANIZATION AND BUSINESS BACKGROUND (Details) | 10 Months Ended | 12 Months Ended | ||||
May 26, 2022 | Apr. 25, 2022 USD ($) Vote director $ / shares | Aug. 19, 2021 USD ($) $ / shares shares | Aug. 03, 2021 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) Vote | Dec. 31, 2022 USD ($) Vote $ / shares | |
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Condition for future business combination number of businesses minimum | 1 | |||||
Gross proceeds from sale of warrants | $ 6,392,228 | |||||
Condition for future business combination use of proceeds percentage | 80% | |||||
Condition for future business combination threshold Percentage Ownership | 50% | |||||
Minimum Net Tangible Assets Upon Consummation Of Business Combinations | $ 5,000,001 | |||||
Redemption limit percentage without prior consent | 15% | |||||
Obligation to redeem Public Shares if entity does not complete a Business Combination (as a percent) | 100% | |||||
Threshold period from closing of public offering the company is obligated to complete business combination | 24 months | |||||
Threshold business days for redemption of public shares | 10 days | |||||
Maximum allowed dissolution expenses | $ 100,000 | |||||
Amount deposit into Trust Account | 219,611,310 | |||||
Redemption of shares calculated based on business days prior to consummation of business combination (in days) | 2 days | |||||
Number of directors in board | director | 7 | |||||
Number of individuals designated by founder | director | 5 | |||||
Number of individuals designated by sponsor | director | 2 | |||||
Increased number of directors in board | director | 9 | |||||
Cash | $ 352,190 | $ 44,659 | ||||
Working capital deficit | $ 5,075,585 | |||||
Class A Common Stock | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Common shares, votes per share | Vote | 1 | 1 | ||||
Founder and Chief Executive Officer | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Number of individuals designated by founder | director | 1 | |||||
Founder and Chief Executive Officer | Class A Common Stock | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Common shares, votes per share | Vote | 1 | |||||
Founder and Chief Executive Officer | Class B Common Stock | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Common shares, votes per share | Vote | 10 | |||||
Independent director | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Number of individuals designated by founder | director | 2 | |||||
Number of individuals designated by sponsor | director | 1 | |||||
SuperBac | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Business acquisition share price | $ / shares | $ 10 | |||||
Acquisition Closing Equity Value | $ 316,950,513.46 | |||||
Consideration Value (Per share) | $ / shares | $ 10 | |||||
SuperBac | Shareholder | Lock Up Joinder Agreement | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Lock-up period | 6 months | |||||
SuperBac | Minimum | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Acquisition Closing Equity Value | $ 150,000,000 | |||||
SUPERBAC PubCo Holdings Inc | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Owning interest rate | 95% | |||||
SuperBac | Shareholder | Lock Up Joinder Agreement | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Ownership Percentage by Noncontrolling Owners | 0.40% | |||||
SuperBac | Shareholder | Investment Agreement Joinder | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Ownership Percentage by Noncontrolling Owners | 0.40% | |||||
SuperBac | Temasek | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Equity interests rate | 20.30% | |||||
Ownership interest | 20.30% | |||||
SuperBac | Minimum | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Equity interests rate | 25% | |||||
Ownership interest | 25% | |||||
SuperBac | SUPERBAC PubCo Holdings Inc | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Equity interests rate | 100% | |||||
Ownership interest | 100% | |||||
SuperBac | SuperBac | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Equity interests rate | 46.60% | |||||
Ownership interest | 46.60% | |||||
SuperBac | PubCo | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Equity interests rate | 42.70% | |||||
Ownership interest | 42.70% | |||||
XPAC Sponsor LLC | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Equity interests rate | 10.70% | |||||
Ownership interest | 10.70% | |||||
Initial Public Offering | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Number of units issued | shares | 20,000,000 | |||||
Issue price per share | $ / shares | $ 10 | $ 10 | ||||
Gross proceeds from sale of Units | $ 200,000,000 | |||||
Amount deposit into Trust Account | $ 219,611,310 | |||||
Private Placement | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Number of warrants to be issued | shares | 261,485 | 4,000,000 | ||||
Warrants issue price | $ / shares | $ 1.50 | $ 1.50 | ||||
Gross proceeds from sale of warrants | $ 392,228 | $ 6,000,000 | ||||
Over-allotment option | ||||||
ORGANIZATION AND BUSINESS BACKGROUND | ||||||
Number of units issued | shares | 1,961,131 | |||||
Issue price per share | $ / shares | $ 10 | |||||
Gross proceeds from sale of Units | $ 19,611,310 | |||||
Underwriting option period | 45 days | |||||
Maximum additional Units to be purchased | shares | 3,000,000 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | 12 Months Ended | |||
Aug. 19, 2021 | Aug. 03, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||
Provision for income taxes | $ 0 | |||
Cash | 44,659 | $ 352,190 | ||
Cash equivalents | 0 | 0 | ||
Unrecognized tax benefits accrued for interest and penalties | 0 | |||
Investments held in Trust Account | $ 222,726,270 | $ 219,617,731 | ||
Initial Public Offering | ||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||
Offering costs | $ 11,761,739 | |||
Underwriting fee | 4,000,000 | |||
Deferred underwriting fee | 7,000,000 | |||
Other offering costs | 761,739 | |||
Offering costs included In accumulated deficit | 477,711 | |||
Offering costs included in additional paid-in capital | $ 11,284,028 | |||
Number of units issued | 20,000,000 | |||
Gross proceeds from sale of Units | $ 200,000,000 | |||
Over-allotment option | ||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||
Offering costs | $ 1,078,624 | |||
Underwriting fee | 392,228 | |||
Deferred underwriting fee | 686,396 | |||
Offering costs included In accumulated deficit | 41,786 | |||
Offering costs included in additional paid-in capital | $ 1,036,838 | |||
Number of units issued | 1,961,131 | |||
Gross proceeds from sale of Units | $ 19,611,310 |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Net Income Per Ordinary Share (Details) - USD ($) | 10 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2022 | |
Class A Common Stock Subject to Redemption | ||
Numerator: | ||
Allocation of net income | $ 3,660,920 | $ 1,529,164 |
Denominator: | ||
Basic weighted average shares outstanding | 11,097,142 | 21,961,131 |
Diluted weighted average shares outstanding | 11,097,142 | 21,961,131 |
Basic net income per share | $ 0.33 | $ 0.07 |
Diluted net income per share | $ 0.33 | $ 0.07 |
Class B Common Stock | ||
Numerator: | ||
Allocation of net income | $ 1,678,675 | $ 382,291 |
Denominator: | ||
Basic weighted average shares outstanding | 5,088,474 | 5,490,283 |
Diluted weighted average shares outstanding | 5,088,474 | 5,490,283 |
Basic net income per share | $ 0.33 | $ 0.07 |
Diluted net income per share | $ 0.33 | $ 0.07 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - REDEMPTIONS (Details) - Class A Common Stock Subject to Redemption - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||
Gross Proceeds from Initial Public Offering and over-allotment | $ 219,611,310 | |
Issuance costs related to redeemable Class A ordinary shares | (11,010,457) | |
Fair value of Public Warrants | (8,606,567) | |
Remeasurement of carrying value to redemption value | $ 3,108,539 | 19,623,446 |
Class A ordinary shares subject to possible redemption | $ 222,726,270 | $ 219,617,731 |
INITIAL PUBLIC OFFERING (Detail
INITIAL PUBLIC OFFERING (Details) - USD ($) | Aug. 19, 2021 | Aug. 03, 2021 | Dec. 31, 2022 |
Initial Public Offering | |||
INITIAL PUBLIC OFFERING | |||
Number of units issued | 20,000,000 | ||
Purchase price per unit | $ 10 | $ 10 | |
Number of shares in a unit | 1 | ||
IPO proceeds held in Trust account, Per unit | $ 10 | ||
Maturity term of U.S. government securities | 185 days | ||
Initial Public Offering | Public Warrants | |||
INITIAL PUBLIC OFFERING | |||
Number of warrants in a unit | 0.33 | ||
Number of shares issuable per warrant | 1 | ||
Exercise price of warrants | $ 11.50 | ||
Over-allotment option | |||
INITIAL PUBLIC OFFERING | |||
Number of units issued | 1,961,131 | ||
Purchase price per unit | $ 10 | ||
Gross proceeds | $ 19,611,310 | ||
Private Placement | Private Placement Warrants | |||
INITIAL PUBLIC OFFERING | |||
Number of units issued | 261,485 | ||
Gross proceeds | $ 392,228 |
PRIVATE PLACEMENT (Details)
PRIVATE PLACEMENT (Details) - USD ($) | 10 Months Ended | ||
Aug. 19, 2021 | Aug. 03, 2021 | Dec. 31, 2021 | |
PRIVATE PLACEMENT | |||
Gross proceeds from sale of warrants | $ 6,392,228 | ||
Private Placement | |||
PRIVATE PLACEMENT | |||
Number of warrants to be issued | 261,485 | 4,000,000 | |
Warrants issue price | $ 1.50 | $ 1.50 | |
Gross proceeds from sale of warrants | $ 392,228 | $ 6,000,000 |
RELATED PARTY TRANSACTIONS - Fo
RELATED PARTY TRANSACTIONS - Founder shares (Details) | 1 Months Ended | 10 Months Ended | 12 Months Ended | ||
May 12, 2021 USD ($) $ / shares shares | Mar. 31, 2021 USD ($) shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2022 D $ / shares shares | Aug. 03, 2021 $ / shares | |
RELATED PARTY TRANSACTIONS | |||||
Aggregate purchase price | $ | $ 25,000 | ||||
Initial Public Offering | |||||
RELATED PARTY TRANSACTIONS | |||||
Issue price per share | $ / shares | $ 10 | $ 10 | |||
Class B ordinary shares | |||||
RELATED PARTY TRANSACTIONS | |||||
Ordinary shares, shares issued | 5,490,283 | 5,490,283 | |||
Ordinary shares, shares outstanding | 5,490,283 | 5,490,283 | |||
Founder Shares | Sponsor | Initial Public Offering | |||||
RELATED PARTY TRANSACTIONS | |||||
Shares subject to forfeiture | 259,717 | ||||
Founder Shares | Sponsor | Class B ordinary shares | |||||
RELATED PARTY TRANSACTIONS | |||||
Number of shares issued | 5,750,000 | ||||
Aggregate purchase price | $ | $ 25,000 | ||||
Shares subject to forfeiture | 750,000 | ||||
Percentage of issued and outstanding shares after the Initial Public Offering collectively held by initial stockholders | 20% | ||||
Restrictions on transfer period of time after business combination completion | 1 year | ||||
Stock price trigger to transfer, assign or sell any shares or warrants of the company, after the completion of the initial business combination (in dollars per share) | $ / shares | $ 12 | ||||
Threshold trading days for transfer, assign or sale of shares or warrants, after the completion of the initial business combination | D | 20 | ||||
Threshold consecutive trading days for transfer, assign or sale of shares or warrants, after the completion of the initial business combination | D | 30 | ||||
Threshold period after the business combination in which the 20 trading days within any 30 trading day period commences | 120 days | ||||
Founder Shares | Director shares | |||||
RELATED PARTY TRANSACTIONS | |||||
Issue price per share | $ / shares | $ 0.004 | ||||
Gross proceeds from transferred shares | $ | $ 390 | ||||
Number of shares transferred | 90,000 | ||||
Share price | $ / shares | $ 8.01 | ||||
Fair value of director shares | $ | $ 720,459 | ||||
Purchase price | $ | $ 720,068 |
RELATED PARTY TRANSACTIONS - Ad
RELATED PARTY TRANSACTIONS - Additional information (Details) - USD ($) | 12 Months Ended | |||
Feb. 07, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | |
RELATED PARTY TRANSACTIONS | ||||
Outstanding balance of related party note | $ 84,412 | |||
Proceeds from promissory note payable-related party | $ 215,588 | |||
Outstanding promissory note payable | 300,000 | 84,412 | ||
Deferred advisory fee - related party | 2,690,239 | 2,305,919 | ||
Payment of fee for business conduct and due diligence services | 500,000 | |||
Promissory Note with Related Party | ||||
RELATED PARTY TRANSACTIONS | ||||
Maximum borrowing capacity of related party promissory note | $ 300,000 | |||
Proceeds from promissory note payable-related party | $ 215,588 | |||
Outstanding promissory note payable | 300,000 | |||
Administrative Services Agreement | ||||
RELATED PARTY TRANSACTIONS | ||||
Expenses per month | 10,000 | |||
Related Party Loans | ||||
RELATED PARTY TRANSACTIONS | ||||
Loan conversion agreement warrant | 1,500,000 | |||
Related Party Loans | Working capital loans | ||||
RELATED PARTY TRANSACTIONS | ||||
Outstanding balance of related party note | $ 0 | $ 0 | ||
Price of warrant | $ 1.50 | |||
XP Investimentos | ||||
RELATED PARTY TRANSACTIONS | ||||
Deferred advisory fee - related party | $ 2,305,919 | |||
XP Investimentos | Deferred advisory fee | ||||
RELATED PARTY TRANSACTIONS | ||||
Deferred advisory fee - related party | 2,690,239 | |||
Advisory Services | ||||
RELATED PARTY TRANSACTIONS | ||||
Cash underwriting paid | $ 1,725,443 |
SHAREHOLDERS' DEFICIT - Preferr
SHAREHOLDERS' DEFICIT - Preferred shares (Details) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 |
SHAREHOLDERS' DEFICIT | ||
Preferred shares, shares authorized | 1,000,000 | 1,000,000 |
Preference shares, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred shares, shares issued | 0 | 0 |
Preferred shares, shares outstanding | 0 | 0 |
SHAREHOLDERS' DEFICIT - Common
SHAREHOLDERS' DEFICIT - Common shares (Details) | 12 Months Ended | |
Dec. 31, 2022 Vote $ / shares shares | Dec. 31, 2021 Vote $ / shares shares | |
SHAREHOLDERS DEFICIT | ||
Threshold conversion ratio of stock | 1 | |
Class A Common Stock | ||
SHAREHOLDERS DEFICIT | ||
Ordinary shares, shares authorized | 200,000,000 | 200,000,000 |
Ordinary shares, par value (in dollars per share) | $ / shares | $ 0.0001 | $ 0.0001 |
Ordinary shares, votes per share | Vote | 1 | 1 |
Class A Common Stock Subject to Redemption | ||
SHAREHOLDERS DEFICIT | ||
Class A common stock subject to possible redemption | 21,961,131 | 21,961,131 |
Class A Common Stock Not Subject to Redemption | ||
SHAREHOLDERS DEFICIT | ||
Ordinary shares, shares issued | 0 | 0 |
Ordinary shares, shares outstanding | 0 | 0 |
Class B Common Stock | ||
SHAREHOLDERS DEFICIT | ||
Ordinary shares, shares authorized | 20,000,000 | 20,000,000 |
Ordinary shares, par value (in dollars per share) | $ / shares | $ 0.0001 | $ 0.0001 |
Ordinary shares, shares issued | 5,490,283 | 5,490,283 |
Ordinary shares, shares outstanding | 5,490,283 | 5,490,283 |
Adjustment of redemption price of stock (as a percent) | 20% | |
Ratio to be applied to the stock in the conversion | 20 |
WARRANT LIABILITIES (Details)
WARRANT LIABILITIES (Details) | 12 Months Ended |
Dec. 31, 2022 D $ / shares shares | |
WARRANTS LIABILITIES | |
Threshold period for filling registration statement after business combination | 15 days |
Maximum threshold period for registration statement to become effective after business combination | 60 days |
Initial Public Offering | Redemption of Warrants When the Price per Class A Ordinary Share Equals or Exceeds $10.00 | |
WARRANTS LIABILITIES | |
Adjustment of redemption price of stock based on market value and newly issued price (as a percent) | 180% |
Public Warrants | |
WARRANTS LIABILITIES | |
Public Warrants exercisable term from the closing of the initial public offering | 12 months |
Minimum threshold written notice period for redemption of public warrants | 30 days |
Number of warrants outstanding | shares | 7,320,377 |
Public Warrants | Redemption of Warrants When the Price per Class A Ordinary Share Equals or Exceeds $18.00 | |
WARRANTS LIABILITIES | |
Minimum threshold written notice period for redemption of public warrants | 30 days |
Stock price trigger for redemption of public warrants (in dollars per share) | $ 18 |
Threshold trading days for redemption of public warrants | D | 20 |
Threshold consecutive trading days for redemption of public warrants | D | 30 |
Threshold number of business days before sending notice of redemption to warrant holders | D | 3 |
Redemption price per public warrant (in dollars per share) | $ 0.01 |
Public Warrants | Redemption of Warrants When the Price per Class A Ordinary Share Equals or Exceeds $10.00 | |
WARRANTS LIABILITIES | |
Minimum threshold written notice period for redemption of public warrants | 30 days |
Stock price trigger for redemption of public warrants (in dollars per share) | $ 10 |
Redemption price per public warrant (in dollars per share) | 0.10 |
Public Warrants | Redemption of Warrants When the Price per Class A Ordinary Share is Less Than $18.00 | |
WARRANTS LIABILITIES | |
Stock price trigger for redemption of public warrants (in dollars per share) | 18 |
Public Warrants | Class A Common Stock | |
WARRANTS LIABILITIES | |
Stock price trigger for redemption of public warrants (in dollars per share) | $ 18 |
Threshold consecutive trading days for redemption of public warrants | D | 20 |
Share price | $ 9.20 |
Percentage of gross proceeds on total equity proceeds | 60% |
Adjustment of exercise price of warrants based on market value and newly issued price (as a percent) | 115% |
Private Placement Warrants | |
WARRANTS LIABILITIES | |
Threshold period for not to transfer, assign or sell any of their shares or warrants after the completion of the initial business combination | 30 days |
Number of warrants outstanding | shares | 4,261,485 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) | 12 Months Ended | |||
Aug. 19, 2021 USD ($) $ / shares shares | Aug. 03, 2021 shares | Dec. 31, 2022 USD ($) item $ / shares | Dec. 31, 2021 USD ($) | |
COMMITMENTS AND CONTINGENCIES. | ||||
Maximum number of demands for registration of securities | item | 3 | |||
Underwriting cash discount per unit | $ / shares | $ 0.20 | |||
Underwriter cash discount | $ 4,392,226 | |||
Deferred fee per unit | $ / shares | $ 0.35 | |||
Aggregate deferred underwriting fee payable | $ 7,686,396 | |||
Deferred advisory fee | 2,690,239 | $ 2,305,919 | ||
XP Investimentos | ||||
COMMITMENTS AND CONTINGENCIES. | ||||
Deferred advisory fee | $ 2,305,919 | |||
Over-allotment option | ||||
COMMITMENTS AND CONTINGENCIES. | ||||
Underwriting option period | 45 days | |||
Maximum additional Units to be purchased | shares | 3,000,000 | |||
Number of units issued | shares | 1,961,131 | |||
Issue price per share | $ / shares | $ 10 | |||
Gross proceeds from sale of Units | $ 19,611,310 |
RECURRING FAIR VALUE MEASUREM_3
RECURRING FAIR VALUE MEASUREMENTS (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
RECURRING FAIR VALUE MEASUREMENTS | ||
Warrant liabilities | $ 1,874,437 | $ 5,825,972 |
Amount of transfers between levels | $ 0 |
RECURRING FAIR VALUE MEASUREM_4
RECURRING FAIR VALUE MEASUREMENTS - Fair value hierarchy of company's assets and liabilities (Details) - Recurring - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Level 1 | ||
Assets: | ||
Investments held in the Trust Account | $ 222,726,270 | $ 219,617,731 |
Level 1 | Public Warrants | ||
Liabilities: | ||
Warrants | 1,184,437 | 3,665,972 |
Level 3 | Private Warrants | ||
Liabilities: | ||
Warrants | $ 690,000 | $ 2,160,000 |
RECURRING FAIR VALUE MEASUREM_5
RECURRING FAIR VALUE MEASUREMENTS - Changes in the fair value of warrants liabilities (Details) - USD ($) | 4 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2022 | |
Changes in the fair value of Warrants liabilities | ||
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Fair Value Adjustment of Warrants | Fair Value Adjustment of Warrants |
Public Warrants | ||
Changes in the fair value of Warrants liabilities | ||
Fair Value as of beginning | $ 8,606,567 | |
Transfer out of Level 3 | (8,606,567) | |
Private Warrants | ||
Changes in the fair value of Warrants liabilities | ||
Fair Value as of beginning | 5,081,820 | $ 2,160,000 |
Change in fair value of warrant liabilities | (2,921,820) | (1,470,000) |
Fair Value as of ending | $ 2,160,000 | $ 690,000 |
RECURRING FAIR VALUE MEASUREM_6
RECURRING FAIR VALUE MEASUREMENTS - Monte Carlo formula model (Details) - Private Warrants | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Aug. 03, 2021 USD ($) |
Share price | |||
RECURRING FAIR VALUE MEASUREMENTS | |||
Warrants measurement input | 10 | 9.69 | 9.61 |
Exercise price | |||
RECURRING FAIR VALUE MEASUREMENTS | |||
Warrants measurement input | 11.50 | 11.50 | 11.50 |
Risk-free rate | |||
RECURRING FAIR VALUE MEASUREMENTS | |||
Warrants measurement input | 0.0395 | 0.0131 | 0.0081 |
Expected term of warrants | |||
RECURRING FAIR VALUE MEASUREMENTS | |||
Warrants measurement input | 5.08 | 5.6 | 6 |
Volatility | |||
RECURRING FAIR VALUE MEASUREMENTS | |||
Warrants measurement input | 0.00001 | 0.1056 | 0.1936 |