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) |
(Commission File Number) |
(IRS 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 |
Item 1. |
Financial Statements (Unaudited) |
Assets |
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Current assets: |
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Cash |
$ | |||
Prepaid expenses |
||||
Total current assets |
||||
Investments held in Trust Account |
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Total Assets |
$ |
|||
Liabilities and Shareholders’ Equity |
||||
Current liabilities: |
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Accounts Payable |
$ | |||
Accrued expenses |
||||
Total current liabilities |
||||
Derivative warrant liabilities |
||||
Deferred underwriting commissions |
||||
Total liabilities |
||||
Commitments and Contingencies |
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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, $ 27,661,394 shares subject to possible redemption) |
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Class B ordinary shares, $ |
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Additional paid-in capital |
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Accumulated earnings |
||||
Total shareholders’ equity |
||||
Total Liabilities and Shareholders’ Equity |
$ |
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For the Three Months Ended June 30, 2021 |
For the period from January 13, 2021 (inception) through June 30, 2021 |
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General and administrative expenses |
$ | $ | ||||||
General and administrative expenses - related party |
||||||||
Loss from operations |
( |
) | ( |
) | ||||
Other income (expenses) |
||||||||
Change in fair value of derivative warrant liabilities |
||||||||
Offering costs - derivative warrant liabilities |
( |
) | ( |
) | ||||
Income from investments held in Trust Account |
||||||||
Net income |
$ | $ | ||||||
Weighted average shares outstanding of Class A common stock subject to possible redemption , basic and diluted |
||||||||
Basic and diluted net income per share, Class A common stock subject to possible redemption |
$ | $ | ||||||
Weighted average shares outstanding of non-redeemable common stock, basic and diluted |
||||||||
Basic and diluted net income per share, non-redeemable common stock |
$ | $ | ||||||
Ordinary Shares |
Additional Paid-in Capital |
Accumulated Earnings/ (Deficit) |
Total Shareholders’ Equity |
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Class A |
Class B |
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Shares |
Amount |
Shares |
Amount |
|||||||||||||||||||||||||
Balance - January 13, 2021 (inception) |
$ |
$ |
$ |
$ |
$ |
|||||||||||||||||||||||
Issuance of Class B ordinary shares to Sponsor |
— | — | — | |||||||||||||||||||||||||
Sale of units in initial public offering, less fair value of public warrants |
— | — | — | |||||||||||||||||||||||||
Excess cash received over the fair value of the private placement warrants |
||||||||||||||||||||||||||||
Offering costs |
— | — | — | — | ( |
) | — | ( |
) | |||||||||||||||||||
Class A ordinary shares subject to possible redemption |
( |
) | ( |
) | — | — | ( |
) | — | ( |
) | |||||||||||||||||
Net loss |
— | — | — | — | — | ( |
) | ( |
) | |||||||||||||||||||
Balance - March 31, 2021 (unaudited) |
$ |
$ |
$ |
$ |
( |
) |
$ |
|||||||||||||||||||||
Sale of units in initial public offering, less fair value of public warrants |
— | — | — | |||||||||||||||||||||||||
Excess cash received over the fair value of the private placement warrants |
— | — | — | — | — | |||||||||||||||||||||||
Offering costs |
— | — | — | — | ( |
) | — | ( |
) | |||||||||||||||||||
Forfeiure of Class B ordinary shares |
— | — | ( |
) | ( |
) | — | — | ||||||||||||||||||||
Class A ordinary shares subject to possible redemption |
( |
) | ( |
) | — | — | ( |
) | — | ( |
) | |||||||||||||||||
Net income |
— | — | — | — | — | |||||||||||||||||||||||
Balance - June 30, 2021 (unaudited) |
$ |
$ |
$ |
$ |
$ |
|||||||||||||||||||||||
Cash Flows from Operating Activities: |
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Net income |
$ | |||
Adjustments to reconcile net income to net cash used in operating activities: |
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Change in fair value of derivative warrant liabilities |
( |
) | ||
Offering costs - derivative warrant liabilities |
||||
General and administrative expenses paid by related party in exchange for issuance of Class B ordinary shares |
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Income from investments held in Trust Account |
( |
) | ||
Changes in operating assets and liabilities: |
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Prepaid expenses |
( |
) | ||
Accounts payable |
||||
Accrued expenses |
||||
|
|
|||
Net cash used in operating activities |
( |
) | ||
|
|
|||
Cash Flows from Investing Activities: |
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Cash deposited in Trust Account |
( |
) | ||
|
|
|||
Net cash used in investing activities |
( |
) | ||
|
|
|||
Cash Flows from Financing Activities: |
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Repayment of note payable to related party |
( |
) | ||
Proceeds received from initial public offering, gross |
||||
Proceeds received from private placement |
||||
Offering costs paid |
( |
) | ||
|
|
|||
Net cash provided by financing activities |
||||
|
|
|||
Net change in cash |
||||
Cash - beginning of the period |
||||
|
|
|||
Cash - end of the period |
$ |
|||
|
|
|||
Supplemental disclosure of noncash financing activities: |
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Offering costs included in accrued expenses |
$ | |||
Offering costs funded with note payable |
$ | |||
Prepaid expenses paid by related party under promissory note |
$ | |||
Deferred underwriting commissions |
$ | |||
Initial value of Class A ordinary shares subject to possible redemption |
$ | |||
Change in value of Class A common 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 Period From January 13, 2021 (inception) through June 30, 2021 |
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Class A Common stock subject to possible redemption |
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Numerator: Earnings allocable to Common stock subject to possible redemption |
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Income from investments held in Trust Account |
$ | $ | ||||||
Less: Company’s portion available to be withdrawn to pay taxes |
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Net income attributable |
$ |
$ |
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Denominator: Weighted average Class A common stock subject to possible redemption |
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Basic and diluted weighted average shares outstanding |
||||||||
Basic and diluted net income per share |
$ |
$ |
||||||
Non-Redeemable Common Stock |
||||||||
Numerator: Net Loss minus Net Earnings |
||||||||
Net loss |
$ | $ | ||||||
Net income allocable to Class A common stock subject to possible redemption |
( |
) | ( |
) | ||||
Non-redeemable net loss |
$ |
$ |
||||||
Denominator: weighted average Non-redeemable common stock |
||||||||
Basic and diluted weighted average shares outstanding, Non-redeemable common stock |
||||||||
Basic and diluted net loss per share, Non-redeemable common stock |
$ |
$ |
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As of March 12, 2021 |
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As Previously Reported |
Revision Adjustments |
As Revised |
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Balance Sheet |
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Total assets |
$ | $ | $ | |||||||||
Liabilities and stockholders’ equity |
||||||||||||
Total current liabilities |
$ | $ | $ | |||||||||
Deferred underwriting commissions |
||||||||||||
Derivative warrant liabilities |
||||||||||||
Total liabilities |
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Class A common shares, $ 0.0001 par value; |
( |
) | ||||||||||
Stockholders’ equity |
||||||||||||
Preferred shares- $ 0.0001 par value |
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Class A common shares—$ 0.0001 par value; |
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Class B common shares—$ 0.0001 par value; |
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Additional paid-in-capital |
||||||||||||
Accumulated deficit |
( |
) | ( |
) | ( |
) | ||||||
Total stockholders’ equity |
||||||||||||
Total liabilities and stockholders’ equity |
$ | $ | $ | |||||||||
• | in whole and not in part; |
• | at a price of $ |
• | upon a minimum of |
• | if, and only if, the last reported sale price (the “closing price”) of Class A ordinary shares equals or exceeds $ |
• | in whole and not in part; |
• | at a price of $ |
• | upon a minimum of |
• | if, and only if, the closing price of Class A ordinary shares equals or exceeds $ |
• | if the closing price of the Class A ordinary shares for any |
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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Investments held in Trust Account - U.S. Treasury securities |
$ | $ | — | $ | — | |||||||
Liabilities: |
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Derivative warrant liabilities - Public warrants |
$ | $ | — | $ | — | |||||||
Derivative warrant liabilities - Private placement warrants |
$ | — | $ | $ | — | |||||||
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$ | $ | $ | — | |||||||||
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March 9, 2021 |
April 26, 2021 |
June 30, 2021 |
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Exercise price |
$ | $ | $ | |||||||||
Stock price |
$ | $ | $ | |||||||||
Volatility |
% | % | % | |||||||||
Term |
||||||||||||
Risk-free rate |
% | % | % |
Level 3 - Derivative warrant liabilities at January 13, 2021 (inception) |
$ | |||
Issuance of Public Warrants |
||||
Issuance of Private Placement Warrants |
||||
Change in fair value of derivative warrant liabilities |
( |
) | ||
Level 3 - Derivative warrant liabilities at March 31, 2021 |
$ | |||
Issuance of Public Warrants - over-allotment |
||||
Issuance of Private Placement Warrants - over-allotment |
||||
Transfer of Public Warrants to Level 1 |
( |
) | ||
Transfer of Private Placement Warrants to Level 2 |
( |
) | ||
Level 3 - Derivative warrant liabilities at June 30, 2021 |
$ | |||
* | Filed herewith. |
** | These certifications are furnished to the SEC pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such filing. |
Dated: August 16, 2021 | ESM ACQUISITION CORPORATION | |||||
By: | /s/ Sir Michael Davis | |||||
Name: | Sir Michael Davis | |||||
Title: | Chief Executive Officer (Principal Executive Officer) | |||||
By: | /s/ Jeffrey A. Ball | |||||
Name: | Jeffrey A. Ball | |||||
Title: | Chief Financial Officer (Principal Financial and Accounting Officer) |