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.) |
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 | |||
☒ |
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Page |
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Item 1. |
1 |
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1 |
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2 |
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3 |
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4 |
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5 |
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Item 2. |
17 |
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Item 3. |
20 |
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Item 4. |
20 |
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Item 1. |
21 |
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Item 1A. |
21 |
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Item 2. |
22 |
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Item 3. |
22 |
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Item 4. |
22 |
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Item 5. |
22 |
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Item 6. |
22 |
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23 |
ITEM 1. |
CONDENSED FINANCIAL STATEMENTS |
June 30, |
December 31, |
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2021 |
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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Deferred offering costs |
— | |||||||
Investments held in Trust Account |
— | |||||||
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TOTAL ASSETS |
$ |
$ |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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Current Liabilities: |
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Accounts payable and accrued expenses |
$ | $ | ||||||
Accrued offering costs |
— | |||||||
Advance from related parties |
— | |||||||
Promissory note – related party |
— | |||||||
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Total Current Liabilities |
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Warrant liabilities |
— | |||||||
Deferred underwriting commissions |
— | |||||||
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TOTAL LIABILITIES |
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Commitments and contingencies |
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Class A, common stock subject to possible redemption, |
— | |||||||
Stockholders’ Equity |
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Preferred stock, $ |
— | |||||||
Class A common stock, $ shares issued and outstanding (excluding 36,827,154 and 0 shares subject to possible redemption) at June 30, 2021 and December 31, 2020, respectively |
— | |||||||
Class B common stock, $ |
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Additional paid-in capital |
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Retained earnings/(Accumulated deficit) |
( |
) | ||||||
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Total Stockholders’ Equity |
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TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY |
$ |
$ |
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Three Ended June 30, 2021 |
Six Months Ended June 30, 2021 |
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Formation and operational costs |
$ | $ | ||||||
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Loss from operations |
( |
) |
( |
) | ||||
Other (expense) income: |
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Interest earned on marketable securities held in Trust Account |
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Change in fair value of warrant liabilities |
( |
) | ||||||
Transaction costs allocable to warrant liabilities |
— |
( |
) | |||||
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Other (expense) income, net |
( |
) | ||||||
(Loss) Income before income taxes |
( |
) | ||||||
Benefit (provision) for income taxes |
— |
— |
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Net (loss) income |
$ |
( |
) |
$ |
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Weighted average shares outstanding, Class A redeemable common stock |
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Basic and diluted earnings (loss) per share, Class A redeemable common stock |
$ | — | $ | — | ||||
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Weighted average shares outstanding of Class A and Class B non-redeemable common stock – Basic and diluted |
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Basic and diluted net (loss) income per share, Class A and Class B non-redeemable common stock |
$ |
( |
) |
$ |
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Class A Common Stock |
Class B Common Stock |
Additional Paid-in Capital |
Retained Earnings / (Accumulated Deficit) |
Total Stockholders’ Equity |
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Shares |
Amount |
Shares |
Amount |
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Balance – January 1, 2021 |
— |
$ |
— |
$ |
$ |
$ |
( |
) |
$ |
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Sale of |
— | — | — | |||||||||||||||||||||||||
Sale of |
— | — | — | |||||||||||||||||||||||||
Class A Common stock subject to possible redemption |
( |
) | ( |
) | — | — | ( |
) | ( |
) | ( |
) | ||||||||||||||||
Net income |
— | — | — | — | — | |||||||||||||||||||||||
Balance – March 31, 2021 |
$ |
$ |
$ |
— |
$ |
$ |
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Class A Common stock subject to possible redemption |
— | — | ||||||||||||||||||||||||||
Net loss |
— | — | — | — | — | ( |
) | ( |
) | |||||||||||||||||||
Balance – June 30, 2021 |
$ |
$ |
$ |
$ |
$ |
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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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Interest earned on marketable securities held in Trust Account |
( |
) | ||
Transaction costs allocated to warrants |
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Change in fair value of warrant liabilities |
( |
) | ||
Changes in operating assets and liabilities: |
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Prepaid expenses |
( |
) | ||
Accrued expenses |
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Net cash used in operating activities |
( |
) | ||
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Cash Flows from Investing Activities: |
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Investment of cash into Trust Account |
( |
) | ||
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Net cash used in investing activities |
( |
) | ||
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Cash Flows from Financing Activities |
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Proceeds from sale of Units, net of underwriting discounts paid |
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Proceeds from sale of Private Placement Units |
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Advance from related party |
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Repayment of promissory note – related party |
( |
) | ||
Payment of offering costs |
( |
) | ||
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Net cash provided by financing activities |
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Net Change in Cash |
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Cash – Beginning of period |
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Cash – End of period |
$ |
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Non-Cash investing and financing activities: |
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Initial classification of Class A common stock subject to possible redemption |
$ | |||
|
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Change in value of Class A common stock subject to possible redemption |
$ | |||
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Deferred underwriting fee payable |
$ | |||
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Three Ended June, 30 2021 |
Six Months Ended June 30, 2021 |
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Redeemable Class A Common Stock |
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Numerator: Earnings allocable to Redeemable Class A Common Stock |
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Interest Income |
$ | $ | ||||||
Less: Income and Franchise Tax |
( |
) | ( |
) | ||||
Net Earnings |
$ | $ | ||||||
Denominator: Weighted Average Redeemable Class A Common Stock |
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Redeemable Class A Common Stock, Basic and Diluted |
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Earnings/Basic and Diluted Redeemable Class A Common Stock |
$ | $ | ||||||
Non-Redeemable Class A and B Common Stock |
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Numerator: Net (Loss) Income minus Redeemable Net Earnings |
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Net (Loss) Income |
$ | ( |
) | $ | ||||
Redeemable Net Earnings |
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Non-Redeemable Net (Loss) Income |
$ | ( |
) | $ | ||||
Denominator: Weighted Average Non-Redeemable Class A and B Common Stock |
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Non-Redeemable Class A and B Common Stock, Basic (1) |
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Income/Basic and diluted Non-Redeemable Class A and B Common Stock |
$ | ( |
) | $ | ||||
(1) |
The weighted average non-redeemable common stock for the three and six months ended June 30, 2021 includes the effect of |
• | 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, or the 30-day redemption period, to each warrant holder; and |
• | if, and only if, the reported last sale price of the Class A common stock equals or exceeds $18.00 per share (as adjusted for stock splits, stock dividends, reorganizations, recapitalizations and the like) for any 20 trading days within a 30-trading day period commencing once the warrants become exercisable and ending three business days before the Company sends the notice of redemption to the warrantholders. |
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 Gain (Loss) |
Fair Value |
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June 30, 2021 |
U.S. Treasury Securities (Mature s on 07 /15/2021) |
1 | $ | $ | ( |
) | $ | |||||||||||
Description |
Level |
June 30, 2021 |
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Assets: |
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Investments – U.S. Treasury Securities Money Market Fund |
1 | $ | ||||||
Investments – Cash & U.S. Treasury Bills (Matures on 07/15/2021) |
1 | $ | ||||||
Liabilities: |
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Warrant Liability – Public Warrants |
1 | $ | ||||||
Warrant Liability – Placement Warrants |
3 | $ |
Input: |
January 12, 2021 (Initial Measurement) |
June 30, 2021 | ||||||
Risk-free interest rate |
% | % | ||||||
Expected term (years) |
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Expected volatility |
% | % | ||||||
Exercise price |
$ | $ | ||||||
Stock price |
$ | $ |
Private Placement |
Public | Warrant Liabilities (Level 3) |
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Fair value as of January 1, 2021 |
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Initial classification on January 12, 2021 (Initial Public Offering) |
$ | $ | $ | |||||||||
Transfers to Level 1 |
— | ( |
) | ( |
) | |||||||
Change in fair value |
( |
) | ( |
) |
( |
) | ||||||
Fair value as of June 30, 2021 |
$ | $ | — | $ | ||||||||
* | Filed herewith. |
** | Furnished. |
Epiphany Technology Acquisition Corp. | ||||||
Date: August 12, 2021 | /s/ Peter Bell | |||||
Name: | Peter Bell | |||||
Title: | Chief Executive Officer and Chief Financial Officer (Principal Executive Officer and Principal Financial and Accounting Officer) |