|
(Exact name of registrant as specified in its charter)
|
|
|
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
|
(Address of Principal Executive Offices, including zip code)
|
(
|
(Registrant’s telephone number, including area code)
|
N/A
|
(Former name, former address and former fiscal year, if changed since last report)
|
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
||
|
|
|
||
|
|
|
||
|
|
|
☐
|
Large accelerated filer
|
☐
|
Accelerated filer
|
☒
|
|
|
Smaller reporting company
|
Emerging growth company
|
Page
|
||
PART 1 – FINANCIAL INFORMATION
|
||
Item 1.
|
1
|
|
1
|
||
2
|
||
3
|
||
4
|
||
5
|
||
Item 2.
|
15
|
|
Item 3.
|
18
|
|
Item 4.
|
18
|
|
PART II – OTHER INFORMATION
|
||
Item 1.
|
18
|
|
Item 1A.
|
18
|
|
Item 2.
|
19 | |
Item 3.
|
19 | |
Item 4.
|
19
|
|
Item 5.
|
19
|
|
Item 6.
|
19
|
|
21
|
ITEM 1. |
CONDENSED FINANCIAL STATEMENTS
|
June 30,
2021
|
December 31,
2020
|
|||||||
(unaudited)
|
||||||||
ASSETS
|
||||||||
Current assets
|
||||||||
Cash
|
$
|
|
$
|
|
||||
Prepaid expenses
|
|
|
||||||
Total Current Assets
|
|
|
||||||
Cash and marketable securities held in Trust Account
|
|
|
||||||
TOTAL ASSETS
|
$
|
|
$
|
|
||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||
Liabilities
|
||||||||
Current liabilities
|
||||||||
Accounts payable and accrued expenses
|
$
|
|
$
|
|
||||
Income taxes payable
|
|
|
||||||
Total Current Liabilities
|
|
|
||||||
Warrant liability
|
|
|
||||||
Deferred underwriting fee payable
|
|
|
||||||
TOTAL LIABILITIES
|
|
|
||||||
Commitments and Contingencies
|
||||||||
Class A common stock subject to possible redemption,
|
|
|
||||||
Stockholders’ Equity
|
||||||||
Preferred stock, $
|
|
|
||||||
Class A common stock, $
|
|
|
||||||
Class B common stock, $
|
|
|
||||||
Additional paid-in capital
|
|
|
||||||
Accumulated Deficit
|
(
|
)
|
(
|
)
|
||||
Total Stockholders’ Equity
|
|
|||||||
Total Liabilities and Stockholders’ Equity
|
$
|
|
$
|
|
Three Months
Ended
June 30,
|
Six Months
Ended
June 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
General and administrative expenses
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Loss from operations
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
Other income (expense):
|
||||||||||||||||
Change in fair value of private warrants liability
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|||||||||
Interest earned on marketable securities held in Trust Account
|
|
|
|
|
||||||||||||
Income (loss) before income taxes
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|||||||||
Provision for income taxes
|
|
(
|
)
|
|
(
|
)
|
||||||||||
Net income (loss)
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
|||||
Weighted average shares outstanding of Class A redeemable common stock
|
|
|
|
|
||||||||||||
Basic and diluted net income per share. Class A redeemable common stock
|
$ | $ | $ | $ | ||||||||||||
Weighted average shares outstanding of Class B non-redeemable common stock
|
|
|
|
|
||||||||||||
Basic and diluted net income (loss) per share, Class B non-redeemable common stock
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
Class A
Common Stock
|
Class B
Common Stock
|
Additional
Paid-in
|
Accumulated |
Total
Stockholders’
|
||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
Capital
|
Deficit
|
Equity
|
||||||||||||||||||||||
Balance – January 1, 2021
|
|
$
|
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||||||||||||
Change in value of Class A common stock subject to possible redemption
|
(
|
)
|
(
|
)
|
— |
— |
(
|
)
|
|
(
|
)
|
|||||||||||||||||
Net income
|
—
|
|
—
|
|
|
|
|
|||||||||||||||||||||
Balance – March 31, 2021 (unaudited)
|
|
|
|
|
|
(
|
)
|
|
||||||||||||||||||||
Change in value of Class A common stock subject to redemption
|
|
|
— |
— |
|
|
|
|||||||||||||||||||||
Net loss
|
—
|
|
—
|
|
|
(
|
)
|
(
|
)
|
|||||||||||||||||||
Balance – June 30, 2021 (unaudited)
|
|
$
|
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
Class A
Common Stock
|
Class B
Common Stock
|
Additional
Paid-in
|
Retained |
Total
Stockholders’
|
||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
Capital
|
Earnings
|
Equity
|
||||||||||||||||||||||
Balance – January 1, 2020
|
|
$
|
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||||
Change in value of Class A common stock subject to possible redemption
|
|
|
— |
— |
|
|
|
|||||||||||||||||||||
Net loss
|
—
|
|
—
|
|
|
(
|
)
|
(
|
)
|
|||||||||||||||||||
Balance – March 31, 2020 (unaudited)
|
|
|
|
|
|
|
|
|||||||||||||||||||||
Change in value of Class A common stock subject to redemption
|
|
|
— |
— |
|
|
|
|||||||||||||||||||||
Net loss
|
—
|
|
—
|
|
|
(
|
)
|
(
|
)
|
|||||||||||||||||||
Balance – June 30, 2020 (unaudited)
|
|
$
|
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
Six Months ended
June 30,
|
||||||||
2021
|
2020
|
|||||||
Cash Flows from Operating Activities:
|
||||||||
Net income (loss)
|
$
|
|
$
|
(
|
)
|
|||
Adjustments to reconcile net income (loss) to net cash used in operating activities:
|
||||||||
Change in fair value of warrants
|
(
|
)
|
|
|||||
Interest earned on marketable securities held in Trust Account
|
(
|
)
|
(
|
)
|
||||
Changes in operating assets and liabilities:
|
||||||||
Prepaid expenses and other current assets
|
(
|
)
|
|
|||||
Accounts payable and accrued expenses
|
|
|
||||||
Income taxes payable
|
(
|
)
|
|
|||||
Net cash used in operating activities
|
(
|
)
|
(
|
)
|
||||
Cash Flows from Investing Activities:
|
||||||||
Cash withdrawn from Trust Account for payment of federal income and franchise taxes
|
|
|
||||||
Net cash provided by investing activities
|
|
|
||||||
Net Change in Cash
|
(
|
)
|
(
|
)
|
||||
Cash – Beginning
|
|
|
||||||
Cash – Ending
|
$
|
|
$
|
|
||||
Non-cash investing and financing activities:
|
||||||||
Change in value of common stock subject to possible redemption
|
$
|
|
$
|
(
|
)
|
|||
Supplemental disclosure of cash flow information: |
||||||||
Federal income and franchise taxes paid |
$ | $ |
NOTE 1. |
DESCRIPTION OF ORGANIZATION AND
BUSINESS OPERATIONS
|
NOTE 2. |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
|
Three Months
Ended
June 30,
|
Six Months
Ended
June 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Redeemable Class A Common Stock
|
||||||||||||||||
Numerator: Earnings allocable to Redeemable Class A Common Stock
|
||||||||||||||||
Interest Income
|
|
|
|
|
||||||||||||
Income and Franchise Tax
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||||
Redeemable Net Earnings
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Denominator: Weighted Average Redeemable Class A Common Stock
|
||||||||||||||||
Redeemable Class A Common Stock, Basic and Diluted
|
|
|
|
|
||||||||||||
Earnings/Basic and Diluted Redeemable Class A Common Stock
|
$ | $ | $ |
$
|
|
|||||||||||
Non-Redeemable Class B Common Stock
|
||||||||||||||||
Numerator: Net Income (Loss) minus Redeemable Net Earnings
|
||||||||||||||||
Net Income (Loss)
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
|||||
Redeemable Net Earnings
|
|
(
|
)
|
|
(
|
)
|
||||||||||
Non-Redeemable Net Earnings (Loss)
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
|||||
Denominator: Weighted Average Non-Redeemable Class B Common Stock
|
||||||||||||||||
Non-Redeemable Class B Common Stock, Basic and Diluted
|
|
|
|
|
||||||||||||
Income (Loss)/Basic and Diluted Non-Redeemable Class B Common Stock
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
NOTE 3. |
PUBLIC OFFERING
|
NOTE 4. |
PRIVATE PLACEMENT
|
NOTE 5. |
RELATED PARTY TRANSACTIONS
|
NOTE 6. |
COMMITMENTS AND CONTINGENCIES
|
NOTE 7. |
STOCKHOLDERS’ EQUITY
|
NOTE 8. |
WARRANT LIABILITY
|
• |
in whole and not in part;
|
• |
at a price of $
|
• |
upon not less than
|
• |
if, and only if, the last reported sale price of the
Class A common stock equals or exceeds $
|
• |
in whole and not in part;
|
• |
at $
|
• |
if, and only if, the last reported sale price of the
Class A common stock equals or exceeds $
|
• |
if, and only if, the Private placement warrants are
also concurrently exchanged at the same price (equal to a number of shares of Class A common stock) as the outstanding Public Warrants, as described above; and
|
• |
if, and only if, there is an effective registration
statement covering the issuance of the shares of Class A common stock (or a security other than the Class A common stock into which the Class A common stock has been converted or exchanged for in the event the Company is not the surviving
company in the Business Combination) issuable upon exercise of the warrants and a current prospectus relating thereto available throughout the
|
NOTE 9. |
FAIR VALUE MEASUREMENTS
|
Level 1: |
Quoted prices in active markets for identical assets or
liabilities. An active market for an asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis.
|
Level 2: |
Observable inputs other than Level 1 inputs. Examples
of Level 2 inputs include quoted prices in active markets for similar assets or liabilities and quoted prices for identical assets or liabilities in markets that are not active.
|
Level 3: |
Unobservable inputs based on our assessment of the
assumptions that market participants would use in pricing the asset or liability.
|
|
Held-To-Maturity |
Level
|
Amortized
Cost |
Gross
Holding Gains |
Fair Value
|
||||||||||||
June 30, 2021
|
Liquid Treasury Money Market Fund
|
1
|
$
|
|
$
|
|
$
|
|
|||||||||
December 31, 2020
|
U.S. Treasury Securities (Matured on
|
1
|
$
|
|
$
|
(
|
)
|
$
|
|
Description
|
Level
|
June 30,
2021
|
December 31,
2020
|
|||||||||
Liabilities:
|
||||||||||||
Warrant Liability – Public Warrants
|
1
|
$ |
|
$ |
|
|||||||
Warrant Liability – Private Placement Warrants
|
3
|
$ |
|
$ |
|
June 30,
2021
|
December 31,
2020
|
|||||||
Exercise price
|
$
|
|
$
|
|
||||
Stock price
|
$
|
|
$
|
|
||||
Volatility
|
|
%
|
|
%
|
||||
Term
|
|
|
||||||
Risk-free rate
|
|
%
|
|
%
|
||||
Dividend yield
|
|
%
|
|
%
|
|
Private Placement
|
|||
Fair value as of January 1, 2021
|
|
|
||
Change in fair value
|
(
|
)
|
||
Fair value as of June 30, 2021
|
$
|
|
|
Private Placement
|
Public
|
Warrant Liabilities
|
|||||||||
Fair value as of January 1, 2020
|
|
|
|
|
||||||||
Transfer to Level 1
|
|
(
|
)
|
(
|
)
|
|||||||
Change in valuation inputs or other assumptions
|
|
|
||||||||||
Fair value as of June 30, 2020
|
$
|
|
$
|
|
$
|
|
NOTE 10. |
SUBSEQUENT EVENTS
|
ITEM 2. |
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
ITEM 3. |
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
ITEM 4. |
CONTROLS AND PROCEDURES
|
ITEM 1. |
LEGAL PROCEEDINGS.
|
ITEM 1A. |
RISK FACTORS.
|
ITEM 2. |
UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.
|
ITEM 3. |
DEFAULTS UPON SENIOR SECURITIES.
|
ITEM 4. |
MINE SAFETY DISCLOSURES.
|
ITEM 5. |
OTHER INFORMATION.
|
ITEM 6. |
EXHIBITS.
|
No.
|
Description of Exhibit
|
|
Certification of Principal Executive Officer Pursuant to Securities Exchange Act Rules 13a-14(a) and 15(d)-14(a), as adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
||
Certification of Principal Financial Officer Pursuant to Securities Exchange Act Rules 13a-14(a) and 15(d)-14(a), as adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
||
Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
|
||
Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
|
||
101.INS*
|
XBRL Instance Document
|
|
101.CAL*
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
|
101.SCH*
|
XBRL Taxonomy Extension Schema Document
|
|
101.DEF*
|
XBRL Taxonomy Extension Definition Linkbase Document
|
|
101.LAB*
|
XBRL Taxonomy Extension Labels Linkbase Document
|
|
101.PRE*
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
* |
Filed herewith.
|
** |
Furnished.
|
CHP MERGER CORP.
|
||
Date: August 16, 2021
|
/s/ James T. Olsen
|
|
Name:
|
James T. Olsen
|
|
Title:
|
Chief Executive Officer and Director
(Principal Executive Officer)
|
|
Date: August 16, 2021
|
/s/ Benson Jose
|
|
Name:
|
Benson Jose
|
|
Title:
|
Chief Financial Officer
(Principal Financial and Accounting Officer)
|