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 |
Page |
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Item 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. |
20 |
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Item 3. |
23 |
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Item 4. |
24 |
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Item 1. |
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Item 1A. |
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Item 2. |
25 |
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Item 3. |
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Item 4. |
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Item 5. |
25 |
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Item 6. |
26 |
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27 |
Item 1. |
Condensed Financial Statements |
June 30, 2022 Unaudited |
December 31, 2021 |
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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, Class A Common Stock Subject to Possible Redemption and Stockholders’ Deficit: |
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Current liabilities: |
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Accounts payable |
$ | $ | ||||||
Accrued expenses |
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Working Capital Loan - related party |
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Income tax payable |
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Franchise tax payable |
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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 |
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Class A common stock subject to possible redemption, $ value $of approximately |
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Stockholders’ Deficit: |
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Preferred stock, $ |
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Class A common stock, $ non-redeemable shares issued and outstanding as of June 30, 2022 and December 31, 2021 |
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Class F common stock, $ |
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Additional paid-in capital |
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Accumulated deficit |
( |
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Total stockholders’ deficit |
( |
) | ( |
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Total Liabilities, Class A Common Stock Subject to Possible Redemption and Stockholders’ Deficit |
$ |
$ |
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For t he Three Months Ended June 30, |
For t he Six Months Ended June 30, |
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2022 |
2021 |
2022 |
2021 |
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General and administrative expenses |
$ | $ | $ | $ | ||||||||||||
General and administrative expenses—related party |
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Franchise tax expenses |
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Loss from operations |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
Offering costs associated with derivative warrant liabilities |
( |
) | ||||||||||||||
Change in fair value of derivative warrant liabilities |
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Income from investments held in Trust Account |
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Net icome before income taxes |
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Income tax expense |
( |
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) | ||||||||||||
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Net income |
$ | $ | $ | $ | ||||||||||||
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Weighted average shares outstanding of Class A common stock |
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Basic and diluted net income per share, Class A common stock |
$ | $ | $ | $ | ||||||||||||
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Weighted average shares outstanding of Class F common stock, basic |
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Basic net income per share, Class F common stock |
$ | $ | $ | $ | ||||||||||||
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Weighted average shares outstanding of Class F common stock, diluted |
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Diluted net income per share, Class F common stock |
$ | $ | $ | $ | ||||||||||||
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Common Stock |
Total |
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Class A |
Class F |
Additional Paid-In |
Accumulated |
Stockholders’ |
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Shares |
Amount |
Shares |
Amount |
Capital |
Deficit |
Deficit |
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Balance—December 31, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) | |||||||||||||||||||
Net income |
— | — | — | — | ||||||||||||||||||||||||
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Balance—March 31, 2022 (unaudited) |
( |
) |
( |
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Increase in redemption value of Class A common stock subject to possible redemption |
— | — | — | — | — | ( |
) | ( |
) | |||||||||||||||||||
Net income |
— | — | — | — | ||||||||||||||||||||||||
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Balance—June 30, 2022 (unaudited) |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) | |||||||||||||||||||
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Common Stock |
Total |
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Class A |
Class F |
Additional Paid-In |
Accumulated |
Stockholders’ |
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Shares |
Amount |
Shares |
Amount |
Capital |
Deficit |
Deficit |
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Balance—January 1, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
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Accretion of Class A common stock subject to possible redemption amount |
— | — | — | — | ( |
) | ( |
) | ( |
) | ||||||||||||||||||
Net income |
— | — | — | — | ||||||||||||||||||||||||
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Balance—March 31, 2021 (unaudited) |
( |
) |
( |
) | ||||||||||||||||||||||||
Net income |
— | — | — | — | ||||||||||||||||||||||||
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Balance—June 30, 2021 (unaudited) |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) | |||||||||||||||||||
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For t he Six Months Ended June 30, |
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2022 |
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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General and administrative expenses paid by related party under note payable |
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Offering costs allocated to derivative warrant liabilities |
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Change in fair value of derivative warrant liabilities |
( |
) | ( |
) | ||||
Income from investments held in Trust Account |
( |
) | ( |
) | ||||
Changes in operating assets and liabilities: |
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Prepaid expenses |
( |
) | ( |
) | ||||
Accounts payable |
( |
) | ||||||
Accrued expenses |
( |
) | ||||||
Income tax payable |
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Franchise tax payable |
( |
) | ||||||
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Net cash used in operating activities |
( |
) | ( |
) | ||||
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Cash Flows from Investing Activities: |
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Cash deposited in 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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Repayment of note payable to related party |
( |
) | ||||||
Proceeds received from initial public offering, gross |
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Proceeds received from private placement |
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Working Capital Loan - related party |
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Offering costs paid |
( |
) | ||||||
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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 the period |
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Cash - end of the period |
$ |
$ |
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Supplemental disclosure of noncash activities: |
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Deferred offering costs included in accrued expenses |
$ | $ | ||||||
Deferred offering costs paid by related party under promissory note |
$ | $ | ||||||
Accounts payable paid through promissory note |
$ | $ | ||||||
Deferred underwriting commissions in connection with the initial public offering |
$ | $ |
• | 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 t he Six Months EndedJune 30, 2022 |
For t he Six Months EndedJune 30, 2021 |
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Class A |
Class F |
Class A |
Class F |
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Basic and diluted net income per common stock: |
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Numerator: |
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Allocation of net income, basic |
$ | $ | $ | $ | ||||||||||||
Allocation of net income, diluted |
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Denominator: |
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Basic weighted average common stock outstanding |
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Diluted weighted average common stock outstanding |
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Basic net income per common stock |
$ | $ | $ | $ | ||||||||||||
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Diluted net income per common stock |
$ | $ | $ | $ | ||||||||||||
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For The Three Months Ended June 30, 2022 |
For The Three Months Ended June 30, 2021 |
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Class A |
Class F |
Class A |
Class F |
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Basic and diluted net income per common stock: |
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Numerator: |
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Allocation of net income, basic |
$ | $ | $ | $ | ||||||||||||
Allocation of net income, diluted |
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Denominator: |
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Basic weighted average common stock outstanding |
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Diluted weighted average common stock outstanding |
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Basic net income per common stock |
$ | $ | $ | $ | ||||||||||||
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Diluted net income per common stock |
$ | $ | $ | $ | ||||||||||||
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Gross proceeds from Initial Public Offering |
$ | |||
Less: |
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Fair value of Public Warrants at issuance |
( |
) | ||
Offering costs allocated to Class A common stock subject to possible redemption |
( |
) | ||
Plus: |
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Accretion on Class A common stock subject to possible redemption amount |
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Class A common stock subject to possible redemption as of December 31, 2021 |
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Increase in redemption value of Class A common stock subject to possible redemption |
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Class A common stock subject to possible redemption as of June 30, 2022 |
$ | |||
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• | in whole and not in part; |
• | at a price of $ |
• | upon a minimum of |
• | if, and only if, the last reported sale price of Class A common stock equals or exceeds $ |
• | in whole and not in part; |
• | at $ |
• | if, and only if, the last reported sale price of 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 issuable upon exercise of the warrants and a current prospectus relating thereto available throughout the |
Quoted Prices in Active Markets |
Significant Other Observable Inputs |
Significant Other Unobservable Inputs |
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Description |
(Level 1) |
(Level 2) |
(Level 3) |
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Assets: |
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Investments held in Trust Account—Money market fund |
$ | |
$ | — | $ | — | ||||||
Liabilities: |
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Derivative warrant liabilities—Public warrants |
$ | — | — | |||||||||
Derivative warrant liabilities—Private placement warrants |
$ | — | $ | $ | ||||||||
Working Capital Loan—related party |
$ | — | $ | — | $ |
Quoted Prices in Active Markets |
Significant Other Observable Inputs |
Significant Other Unobservable Inputs |
||||||||||
Description |
(Level 1) |
(Level 2) |
(Level 3) |
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Assets: |
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Investments held in Trust Account—Money market fund |
$ | $ | — | $ | — | |||||||
Liabilities: |
||||||||||||
Derivative warrant liabilities-Public warrants |
$ | — | — | |||||||||
Derivative warrant liabilities—Private placement warrants |
$ | — | $ | — | $ | |||||||
Working Capital Loan—related party |
$ | — | $ | — | $ |
December 31, 2021 |
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Exercise price |
$ | |||
Stock price |
$ | |||
Term (yrs) |
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Volatility |
% | |||
Risk-free rate |
% |
Derivative Warrant Liabilities |
Working Capital Loans- Related Party |
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Level 3 - Instruments January 1, 2021 |
$ |
$ |
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Issuance of Public and Private Placement Warrants |
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Transfer of Public Warrants to Level 1 |
( |
) |
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Change in fair value of derivative warrant liabilities |
( |
) |
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Working capital loan - related party |
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Level 3 - Instruments at December 31, 2021 |
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Transfer of Private Placement Warrants from Level 3 to Level 2 |
( |
) | ||||||
Working capital loan - related party |
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Level 3 - Instruments at March 31, 2022 |
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Working capital loan - related party |
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Level 3 - Instruments at June 30, 2022 |
$ | $ | ||||||
Level 3—Derivative warrant liabilities at January 1, 2021 |
$ | |||
Issuance of Public and Private Placement Warrants |
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Transfer of Public Warrants to Level 1 |
( |
) | ||
Change in fair value of derivative warrant liabilities |
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Level 3—Derivative warrant liabilities at March 31, 2021 |
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Change in fair value of derivative warrant liabilities |
( |
) | ||
Working capital loan—related party |
||||
Level 3—Derivative warrant liabilities and working capital loans—related party at June 30, 2021 |
$ | |||
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. |
* | 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 15, 2022 |
TLG ACQUISITION ONE CORP. | |||
By: |
/s/ John Michael Lawrie | |||
Name: |
John Michael Lawrie | |||
Title: |
Chief Executive Officer | |||
(Principal Executive Officer) |