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-sixth of one redeemable Warrant |
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Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer |
☒ | Smaller reporting company | ||||
Emerging growth company |
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Item 1. |
Interim Financial Statements. |
March 31, 2022 |
December 31, 2021 |
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(Unaudited) |
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ASSETS |
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Current assets |
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Cash and cash equivalents |
$ | $ | ||||||
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 STOCKHOLDERS’ DEFICIT |
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Current liabilities |
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Accrued expenses |
$ | $ | ||||||
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Total Current Liabilities |
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Deferred underwriting fee payable |
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Warrant liability |
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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, |
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Stockholders’ Deficit |
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Preferred stock, $ or outstanding |
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Class A common stock, $ or outstanding excluding redemption at March 31, 2022 and December 31, 2021 |
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Class B 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 AND STOCKHOLDERS’ DEFICIT |
$ |
$ |
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Three Months Ended March 31, |
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2022 |
2021 |
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Formation and operational costs |
$ | $ | ||||||
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Loss from operations |
( |
) |
( |
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Other income: |
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Change in fair value of warrant liability |
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Interest earned on investments held in Trust Account |
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Total other income |
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Net income |
$ |
$ |
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Weighted average shares outstanding, Class A common stock |
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Basic and diluted earnings per share, Class A common stock |
$ |
$ |
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Weighted average shares outstanding of Class B common stock |
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Basic and diluted earnings per share, Class B common stock |
$ |
$ |
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Class A Common Stock |
Class B Common Stock |
Additional Paid-in |
Accumulated |
Total Stockholders’ |
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Shares |
Amount |
Shares |
Amount |
Capital |
Deficit |
Deficit |
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Balance – January 1, 2022 |
$ |
$ |
$ | $ |
( |
) |
$ |
( |
) | |||||||||||||||||||
Net income |
— | — | — | — | — | |||||||||||||||||||||||
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Balance – March 31, 2022 |
$ | $ |
$ | $ |
( |
) |
$ |
( |
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Class A Common Stock |
Class B Common Stock |
Additional Paid-in |
Accumulated |
Total Stockholders’ |
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Shares |
Amount |
Shares |
Amount |
Capital |
Deficit |
Equity (Deficit) |
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Balance – January 1, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
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Accretion of Class A common stock to redemption amount |
— | — | — | — | ( |
) | ( |
) | ( |
) | ||||||||||||||||||
Cash paid in excess of fair value for Private Placement Warrants |
— | — | — | — | — | |||||||||||||||||||||||
Net income |
— | — | — | — | — | |||||||||||||||||||||||
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Balance – March 31, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
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Three Months Ended March 31, |
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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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Change in fair value of warrant liability |
( |
) | ( |
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Transaction costs related to warrant liability |
— | |||||||
Interest earned on investment held in Trust Account |
( |
) | ( |
) | ||||
Changes in operating assets and liabilities: |
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Prepaid expenses |
( |
) | ( |
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Accounts payable and accrued expenses |
( |
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Net cash flows used in operating activities |
( |
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( |
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CASH FLOWS FROM INVESTING ACTIVITIES |
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Investment of cash in Trust Account |
( |
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Net cash flows used in financing 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 Warrants |
— | |||||||
Repayment of promissory note – related party |
( |
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Payment of offering costs |
( |
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Net cash flows 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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Offering costs included in accrued offering costs |
$ | $ | ||||||
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Offering costs paid through promissory note |
$ | $ | ||||||
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Deferred underwriting fee payable |
$ | $ | ||||||
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Gross proceeds |
$ | |||
Less: |
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Proceeds allocated to Public Warrants |
$ | ( |
) | |
Class A common stock issuance costs |
$ | ( |
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Plus: |
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Accretion of carrying value to redemption value |
$ | |||
Class A common stock subject to possible redemption |
$ | |||
Three Months Ended March 31, |
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2022 |
2021 |
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Class A |
Class B |
Class A |
Class B |
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Basic net income per common share |
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Numerator: |
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Allocation of net income, as adjusted |
$ | $ | $ | $ | ||||||||||||
Denominator: |
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Basic weighted average shares outstanding |
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Basic net income per common share |
$ | $ | $ | $ |
• | in whole and not in part; |
• | at a price of $ |
• | upon a minimum of |
• | if, and only if, the closing price of the Class A common stock for any a period ending on the third trading day prior to the date on which the Company sends the notice of redemption to the warrant holders (the “Reference Value”) equals or exceeds $18.00 per share (as adjusted for stock splits, stock capitalizations, reorganizations, recapitalizations and the like). |
• | in whole and not in part; |
• | at a price of $ |
• | upon a minimum of |
• | if, and only if, the Reference Value (as defined above) equals or exceeds $ |
• | if the Reference Value is less than $ |
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. |
Description |
Level |
March 31, 2022 |
December 31, 2021 |
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Assets: |
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Investments held in Trust Account |
1 |
$ |
$ |
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Liabilities: |
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Warrant Liability - Public Warrants |
1 |
$ |
$ |
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Warrant Liability - Private Placement Warrants |
3 |
$ |
$ |
Input: |
March 31, 2022 |
December 31, 2021 |
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Private Warrants |
Private Warrants |
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IPO Price (per unit) |
$ | $ | ||||||||||||||
Underlying Asset Price (per share) |
$ | $ | ||||||||||||||
Strike Price |
$ | $ | ||||||||||||||
Time to Maturity (in years) |
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Risk Free Interest Rate |
% | % | ||||||||||||||
Concluded Volatility for Black-Scholes-Merton Model |
% | % |
Private Placement Warrants |
Public Warrants |
Warrant Liabilities |
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Fair value as of January 1, 2021 |
$ |
$ |
$ |
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Initial measurement on March 4, 2021 |
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Change in fair value |
( |
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) |
( |
) | ||||||
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Fair value as of March 31, 2021 |
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Change in fair value |
( |
) | ( |
) | ||||||||
Transfers to Level 1 on April 23, 2021 |
( |
) | ( |
) | ||||||||
Fair value as of December 31, 2021 |
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Change in fair value |
( |
) |
( |
) | ||||||||
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Fair value as of March 31, 2022 |
$ |
$ |
$ |
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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 |
* | Filed herewith. |
** | Furnished herewith. |
ADVANCED MERGER PARTNERS, INC. | ||||||
Date: May 16, 2022 | By: | /s/ Roy J. Katzovicz | ||||
Name: | Roy J. Katzovicz | |||||
Title: | Chief Executive Officer | |||||
(Principal Executive Officer) | ||||||
Date: May 16, 2022 | By: | /s/ Stephen Katchur | ||||
Name: | Stephen Katchur | |||||
Title: | Chief Financial Officer | |||||
(Principal Financial and Accounting Officer) |