QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) | |
(Address of Principal Executive Offices) |
(Zip Code) |
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered | ||
one-third of one redeemable warrant |
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Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer |
☒ | Smaller reporting company | ||||
Emerging growth company |
Page No. |
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1 | ||||||
Item 1. |
1 | |||||
1 | ||||||
2 | ||||||
3 | ||||||
4 | ||||||
5 | ||||||
Item 2. |
17 | |||||
Item 3. |
22 | |||||
Item 4. |
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23 | ||||||
Item 1. |
23 | |||||
Item 1A. |
23 | |||||
Item 2. |
23 | |||||
Item 3. |
24 | |||||
Item 4. |
24 | |||||
Item 5. |
24 | |||||
Item 6. |
24 | |||||
25 |
June 30, 2021 |
December 31, 2020 |
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(Unaudited) |
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Assets |
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Current assets: |
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Cash |
$ | $ | ||||||
Prepaid expenses |
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Total current assets |
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Investments held in Trust Account |
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Total Assets |
$ |
$ |
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Liabilities and Shareholders’ Equity |
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Current liabilities: |
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Accrued expenses |
$ | $ | ||||||
Accounts payable |
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Due to related party |
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Total current liabilities |
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Derivative warrant liabilities |
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Deferred underwriting commissions |
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Total liabilities |
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Commitments and Contingencies (Note 5) |
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Class A ordinary shares, $ |
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Shareholders’ Equity |
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Preference shares, $ |
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Class A ordinary shares, $ |
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Class B ordinary shares, $ |
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Additional paid-in capital |
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Retained earnings (accumulated deficit) |
( |
) | ||||||
Total shareholders’ equity |
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Total Liabilities and Shareholders’ Equity |
$ |
$ |
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For the Three Months Ended June 30, 2021 |
For the Six Months Ended June 30, 2021 |
For the Period from June 10, 2020 (inception) through June 30, 2020 |
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Operating expenses |
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General and administrative expenses |
$ | $ | $ | |||||||||
Administrative expenses—related party |
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Loss from operations |
( |
) | ( |
) | ( |
) | ||||||
Change in fair value of derivative warrant liabilities |
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Net gain (loss) from investments held in Trust Account |
( |
) | ||||||||||
Net income (loss) |
$ | $ | |
$ | ( |
) | ||||||
Basic and diluted weighted average shares outstanding of Class A ordinary shares |
— | |||||||||||
Basic and diluted net income (loss) per ordinary share, Class A |
$ | ( |
) | $ | $ | — |
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Basic and diluted weighted average shares outstanding of Class B ordinary shares |
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Basic and diluted net income per ordinary share, Class B |
$ | $ | $ | ( |
) | |||||||
For the Three and Six Months Ended June 30, 2021 |
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Ordinary Shares |
Additional |
Retained Earnings |
Total |
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Class A |
Class B |
Paid-in |
(Accumulated |
Shareholders’ |
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Shares |
Amount |
Shares |
Amount |
Capital |
Deficit) |
Equity |
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Balance—December 31, 2020 |
$ |
$ |
$ |
$ |
( |
) |
$ |
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Shares subject to possible redemption |
( |
) | ( |
) | — | — | ( |
) | — | ( |
) | |||||||||||||||||
Net income |
— | — | — | — | — | |||||||||||||||||||||||
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Balance—March 31, 2021 (Unaudited) |
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Shares subject to possible redemption |
( |
) | ( |
) | — | — | ( |
) | ( |
) | ( |
) | ||||||||||||||||
Net income |
— | — | — | — | — | |||||||||||||||||||||||
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Balance—June 30, 2021 (Unaudited) |
$ |
$ |
$ |
— |
$ |
$ |
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For the period from June 10, 2020 (inception) through June 30, 2020 |
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Ordinary Shares |
Additional |
Total |
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Class A |
Class B |
Paid-in |
Accumulated |
Shareholder’s |
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Shares |
Amount |
Shares |
Amount |
Capital |
Deficit |
Equity |
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Balance— June 10, 2020 (inception) |
$ |
$ |
$ |
$ |
$ |
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Issuance of Class B ordinary shares to Sponsor |
— |
— | — | |||||||||||||||||||||||||
Net loss |
— | — | — | — | — | ( |
) | ( |
) | |||||||||||||||||||
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Balance— June 30, 2020 (unaudited) |
$ |
$ |
$ |
$ |
( |
) |
$ |
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For the Six Months Ended June 30, 2021 |
For the Period from June 10, 2020 (inception) Through June 30, 2020 |
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Cash Flows from Operating Activities: |
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Net income (loss) |
$ | $ | ( |
) | ||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: |
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General and administrative expenses paid by related party |
— | |||||||
Net gain from investments held in Trust Account |
( |
) | — | |||||
Change in fair value of derivative warrant liabilities |
( |
) | — | |||||
Changes in operating assets and liabilities: |
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Prepaid expenses |
— | |||||||
Accounts payable |
— | |||||||
Accrued expenses |
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Due to related party |
— | |||||||
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Net cash used in operating activities |
( |
) | — | |||||
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Net decrease in cash |
( |
) | — | |||||
Cash—beginning of the period |
— | |||||||
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|
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Cash—end of the period |
$ |
$ |
— |
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Supplemental disclosure of noncash investing and financing activities: |
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Deferred offering costs included in accrued expenses |
$ | — | $ | |||||
Deferred offering costs included in accounts payable |
$ | — | $ | |||||
Deferred offering costs included in note payable |
$ | — | $ | |||||
Deferred offering costs paid in exchange for issuance of Class B ordinary shares to Sponsor |
$ | — | $ | |||||
Change in value of Class A ordinary shares subject to possible redemption |
$ | $ | — |
• | Level 1, defined as observable inputs such as quoted prices (unadjusted) for identical instruments in active markets; |
• | Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable such as quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active; and |
• | Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions, such as valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable . |
For the Three Months Ended June 30, 2021 |
For the Six Months Ended June 30, 2021 |
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For the Period from June 10, 2020 (inception) through June 30, 2020 |
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Class A ordinary shares |
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Numerator: Income allocable to Class A ordinary shares |
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Income (loss) from investments held in Trust Account |
$ | ( |
) |
$ | |
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$ |
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Less: Company’s portion available to be withdrawn to pay taxes |
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Net income (loss) attributable |
$ |
( |
) |
$ |
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$ |
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Denominator: Weighted average Class A ordinary shares |
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Basic and diluted weighted average shares outstanding Class A ordinary shares |
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Basic and diluted net income per share, Class A ordinary shares |
$ |
( |
) |
$ |
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$ |
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Class B ordinary shares |
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Numerator: Net income (loss) minus net income allocable to Class A ordinary shares |
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Net income (loss) |
$ | $ | |
|
$ |
( |
) | |||||
Net (income)/loss allocable to Class A ordinary shares |
( |
) |
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Net income (loss) attributable |
$ |
$ |
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|
( |
) | |||||
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Denominator: weighted average Class B ordinary shares |
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Basic and diluted weighted average shares outstanding Class B ordinary shares |
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Basic and diluted net income per share, Class B ordinary shares |
$ |
$ |
|
|
$ |
( |
) | |||||
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• | in whole and not in part; |
• | at a price of $ |
• | upon a minimum of 30 days’ prior written notice of redemption; and |
• | if, and only if, the last reported sales price (the “closing price”) of the Class A ordinary shares equals or exceeds $ 30-trading day period ending on the third trading day prior to the date on which the Company sends the notice of redemption to the warrant holders. |
Fair Value Measured as of June 30, 2021 |
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Description |
Quoted Prices in Active Markets (Level 1) |
Significant Other Observable Inputs (Level 2) |
Significant Other Unobservable Inputs (Level 3) |
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Assets: |
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U.S. Treasury bills (1) |
$ | |
$ | — | $ | — | ||||||
Liabilities: |
||||||||||||
Derivative warrant liabilities—Public warrants |
$ | $ | — | $ | — | |||||||
Derivative warrant liabilities—Private warrants |
$ | — | $ | — | $ | |
Fair Value Measured as of December 31, 2020 |
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Description |
Quoted Prices in Active Markets (Level 1) |
Significant Other Observable Inputs (Level 2) |
Significant Other Unobservable Inputs (Level 3) |
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Assets: |
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U.S. Treasury bills (2) |
$ | |
$ | — | $ | — | ||||||
Liabilities: |
||||||||||||
Derivative warrant liabilities—Public warrants |
$ | $ | — | $ | — | |||||||
Derivative warrant liabilities—Private warrants |
$ | — | $ | — | $ | |
(1) | Includes $ |
(2) | Includes $ |
Derivative warrant liabilities—Level 3, at December 31, 2020 |
$ | |
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Change in fair value of derivative warrant liabilities |
( |
) | ||
Derivative warrant liabilities—Level 3, at March 31, 2021 |
$ | |||
Change in fair value of derivative warrant liabilities |
( |
) | ||
Derivative warrant liabilities—Level 3, at June 30, 2021 |
$ | |||
As of June 30, 2021 |
As of December 31, 2020 | |||
Volatility |
||||
Stock price |
$ |
$ | ||
Time to M&A |
||||
Risk-free rate |
||||
Dividend yield |
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 from Registered Securities |
Item 3. |
Defaults Upon Senior Securities |
Item 4. |
Mine Safety Disclosures |
Item 5. |
Other Information |
Item 6. |
Exhibits. |
REDBALL ACQUISITION CORP. | ||||||
Date: August 11, 2021 | /s/ Alec Scheiner | |||||
Name: | Alec Scheiner | |||||
Title: | Chief Executive Officer | |||||
(Principal Executive Officer) | ||||||
Date: August 11, 2021 | /s/ David Grochow | |||||
Name: | David Grochow | |||||
Title: | Chief Financial Officer | |||||
(Principal Financial and Accounting Officer) |