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 |
/A | ||
(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 | ||
Units, each consisting of one Class A Ordinary share and one-third of one warrant |
GLBLU |
The Nasdaq Stock Market LLC | ||
Warrants, each whole warrant exercisable for one Class A ordinary share at an exercise price of $11.50 |
GLBLW |
The Nasdaq Stock Market LLC |
Large accelerated filer |
☐ |
Accelerated filer |
☐ | |||
☒ | Smaller reporting company |
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Emerging growth company |
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24 |
September 30, 2021 |
December 31, 2020 |
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(Unaudited) |
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Assets |
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Cash |
$ | $ | ||||||
Prepaid Expenses |
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Total current assets |
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Deferred offering costs |
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Cash and securities held in Trust Account |
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Total Assets |
$ | |
$ | |
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Liabilities and Shareholders’ Equity |
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Accrued offering costs and expenses |
$ | $ | ||||||
Due to related party |
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Total current liabilities |
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Deferred underwriting fee |
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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 ordinary shares subject to possible redemption, |
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Shareholders’ Equity (Deficit) |
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Preference shares, $ |
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Class A ordinary shares, $ |
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Class B ordinary shares, $ (1) |
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Additional paid-in capital |
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Accumulated deficit |
( |
) | ( |
) | ||||
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Total shareholders’ equity (deficit) |
( |
) | ||||||
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Total Liabilities and Shareholders’ Equity (Deficit) |
$ | $ | ||||||
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(1) | Share count at December 31, 2020 included up to 1,125,000 founder shares that were subject to forfeiture by the Sponsor if the over-allotment option was not exercised in full or in part by the underwriters (see Note 6). |
Nine months ended September 30, 2021 |
Three months ended September 30, 2021 |
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Operating costs |
$ | $ | ||||||
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Loss from operations |
( |
) | ( |
) | ||||
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Other-income/(expense) |
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Interest earned on cash and marketable securities held in Trust Account |
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Offering costs allocated to warrants |
( |
) | ||||||
Excess of Private Warrants fair value over purchase price |
( |
) | ||||||
Change in fair value of warrant liability |
( |
) | ||||||
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Total other expense |
( |
) | ( |
) | ||||
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Net loss |
( |
) | ( |
) | ||||
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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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Weighted average shares outstanding, Class B ordinary shares |
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|
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Basic and diluted net income per share, Class B ordinary shares |
$ | ( |
) | $ | ( |
) | ||
|
|
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|
Class A Ordinary shares |
Class B Ordinary shares |
Additional Paid-in Capital |
Accumulated Deficit |
Total Shareholders’ Equity (Deficit) |
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Shares |
Amount |
Shares |
Amount |
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Balance as of January 1, 2021 |
$ | $ | $ | $ | ( |
) | $ | |||||||||||||||||||||
Sale of |
— | |||||||||||||||||||||||||||
Sale of |
— | — | ||||||||||||||||||||||||||
Initial classification of warrant liability |
— | — | ( |
) | ( |
) | ||||||||||||||||||||||
Net loss |
— | — | ( |
) | ( |
) | ||||||||||||||||||||||
Ordinary shares subject to possible redemption |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||
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Balance as of March 31, 2021 (restated – See Note 2) |
$ | $ | $ | $ | ( |
) | $ | ( |
) | |||||||||||||||||||
Net income |
— | — | ||||||||||||||||||||||||||
Change in ordinary shares subject to possible redemption (restated – See Note 2) |
( |
) | ( |
) | ||||||||||||||||||||||||
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Balance as of June 30, 2021 (restated – See Note 2) |
$ | $ | $ | $ | ( |
) | $ | ( |
) | |||||||||||||||||||
Net loss |
— | — | ( |
) | ( |
) | ||||||||||||||||||||||
Change in ordinary shares subject to possible redemption (restated – See Note 2) |
( |
) | ( |
) | ||||||||||||||||||||||||
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Balance as of September 30, 2021 |
$ | $ | $ | $ | ( |
) | $ | ( |
) | |||||||||||||||||||
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Nine months ended September 30, 2021 |
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Cash flows from operating activities: |
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Net Loss |
$ |
( |
) | |
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 |
( |
) | ||
Offering costs allocated to warrants |
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Excess of Private Warrants fair value over purchase price |
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Change in fair value of warrant liability |
( |
) | ||
Changes in operating assets and liabilities: |
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Prepaid expenses |
( |
) | ||
Accrued expenses |
( |
) | ||
Due to related party |
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|
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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 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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Proceeds from sale of Units, net of underwriting commissions |
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Proceeds from sale of Private Warrants |
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Proceeds from issuance of promissory note to Sponsor |
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Payment on promissory issued to Sponsor |
( |
) | ||
Payment of deferred 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 the period |
$ | |||
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Supplemental disclosure of cash flow information: |
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Initial classification of Class A ordinary shares subject to possible redemption |
$ | |||
Change in Class A ordinary shares subject to possible redemption |
$ | |||
Deferred underwriters’ discount payable charged to additional paid-in capital |
$ |
As Reported |
Adjustment |
As Restated |
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Balance Sheet as of February 26, 2021 (as restated in footnote 2 of the Company’s Quarterly Report on Form 10-Q filed with the SEC on May 24, 2021) |
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Class A ordinary shares subject to possible redemption ($) |
$ |
$ |
$ |
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Shareholders’ equity (deficit) |
||||||||||||
Class A ordinary shares, $0.0001 par value |
( |
) |
— |
|||||||||
Class B ordinary shares, $0.0001 par value |
— |
|||||||||||
Additional paid-in capital |
( |
) |
— |
|||||||||
Retained Earnings (Accumulated Deficit) |
( |
) |
( |
) |
( |
) | ||||||
|
|
|
|
|
|
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Total shareholders’ equity (deficit) |
$ |
$ |
( |
) |
$ |
( |
) | |||||
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Shares subject to possible redemption |
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Balance Sheet as of March 31, 2021 (included in the Company’s Quarterly Report on Form 10-Q filed with the SEC on May 24, 2021) |
| |||||||||||
Class A ordinary shares subject to possible redemption ($) |
$ |
$ |
$ |
|||||||||
Shareholders’ equity (deficit) |
||||||||||||
Class A ordinary shares, $0.0001 par value |
( |
) |
— |
|||||||||
Class B ordinary shares, $0.0001 par value |
— |
|||||||||||
Additional paid-in capital |
( |
) |
— |
|||||||||
Retained Earnings (Accumulated Deficit) |
( |
) |
( |
) |
( |
) | ||||||
|
|
|
|
|
|
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Total shareholders’ equity (deficit) |
$ |
$ |
( |
) |
$ |
( |
) | |||||
|
|
|
|
|
|
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Shares subject to possible redemption |
||||||||||||
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Statement of Changes in Shareholders’ Equity (Deficit) as of March 31, 2021 (included in the Company’s Quarterly Report on Form 10-Q filed with the SEC on May 24, 2021) |
| |||||||||||
Class A ordinary shares outstanding |
( |
) | — | |||||||||
Class A ordinary shares |
$ | $ | ( |
) | $ | — | ||||||
Additional Paid-In-Capital |
( |
) | — | |||||||||
Retained Earnings (Accumulated Deficit) |
( |
) | ( |
( |
) | |||||||
|
|
|
|
|
|
|||||||
Total Shareholders’ Equity (Deficit) |
$ | $ | ( |
) | $ | ( |
) | |||||
|
|
|
|
|
|
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Statement of Operations for the three months ended March 31, 2021 (included in the Company’s Quarterly Report on Form 10-Q filed with the SEC on May 24, 2021) |
| |||||||||||
Weighted average shares outstanding, Redeemable Class A ordinary shares |
( |
) |
||||||||||
Basic and diluted net income per share, Redeemable Class A ordinary shares |
$ |
— |
$ |
( |
) |
$ |
( |
) | ||||
Weighted average shares outstanding, Non-redeemable Class A and Class B ordinary shares |
( |
) |
||||||||||
Basic and diluted net income per shares, Non-redeemable Class A and Class B ordinary shares |
$ |
( |
) |
$ |
$ |
( |
) | |||||
Balance Sheet as of June 30, 2021 (included in the Company’s Quarterly Report on Form 10-Q filed with the SEC on August 10, 2021) |
| |||||||||||
Class A ordinary shares subject to possible redemption ($) |
$ |
$ |
$ |
|||||||||
Shareholders’ equity (deficit) |
||||||||||||
Class A ordinary shares, $0.0001 par value |
( |
) |
— |
|||||||||
Class B ordinary shares, $0.0001 par value |
— |
|||||||||||
Additional paid-in capital |
( |
) |
— |
|||||||||
Retained Earnings (Accumulated Deficit) |
( |
) |
( |
) | ||||||||
|
|
|
|
|
|
|||||||
Total shareholders’ equity (deficit) |
$ |
$ |
( |
) |
$ |
( |
) | |||||
|
|
|
|
|
|
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Shares subject to possible redemption |
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Statement of Changes in Shareholders’ Equity (Deficit) as of June 30, 2021 (included in the Company’s Quarterly Report on Form 10-Q filed with the SEC on August 10, 2021) |
| |||||||||||
Class A ordinary shares outstanding |
( |
) | — | |||||||||
Class A ordinary shares |
$ | $ | ( |
) | $ | — | ||||||
Additional Paid-In-Capital |
( |
) | — | |||||||||
Retained Earnings (Accumulated Deficit) |
( |
( |
) | |||||||||
|
|
|
|
|
|
|||||||
Total Shareholders’ Equity (Deficit) |
$ | $ | ( |
) | $ | ( |
) | |||||
|
|
|
|
|
|
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Statement of Operations for the three months ended June 30, 2021 (included in the Company’s Quarterly Report on Form 10-Q filed with the SEC on August 10, 2021) |
| |||||||||||
Weighted average shares outstanding, Redeemable Class A ordinary shares |
||||||||||||
Basic and diluted net income per share, Redeemable Class A ordinary shares |
$ |
— |
$ |
$ |
||||||||
Weighted average shares outstanding, Non-redeemable Class A and Class B ordinary shares |
( |
) |
||||||||||
Basic and diluted net income per shares, Non-redeemable Class A and Class B ordinary shares |
$ |
$ |
( |
) |
$ |
|||||||
Statement of Operations for the six months ended June 30, 2021 (included in the Company’s Quarterly Report on Form 10-Q filed with the SEC on August 10, 2021) |
| |||||||||||
Weighted average shares outstanding, Redeemable Class A ordinary shares |
( |
) |
||||||||||
Basic and diluted net income per share, Redeemable Class A ordinary shares |
$ |
— |
$ |
$ |
||||||||
Weighted average shares outstanding, Non-redeemable Class A and Class B ordinary shares |
( |
) |
||||||||||
Basic and diluted net income per shares, Non-redeemable Class A and Class B ordinary shares |
$ |
$ |
( |
) |
$ |
Nine Months Ended September 30, 2021 |
Three Months Ended September 30, 2021 |
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Class A o rdinary s hares |
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Numerator: Net loss allocable to Class A ordinary shares |
||||||||
Net loss |
$ | ( |
) | $ | ( |
) | ||
Less: Allocation of net income to Class B ordinary shares |
( |
) | ( |
) | ||||
Proportionate share of net income |
$ | ( |
) | $ | ( |
) | ||
Denominator: Weighted Average Class A ordinary shares |
||||||||
Basic and diluted weighted average shares outstanding |
||||||||
Basic and diluted net income per share |
$ | ( |
) | $ | ( |
) | ||
Class B o rdinary s hares |
||||||||
Numerator: Net loss allocable to Class B ordinary shares |
||||||||
Net loss |
$ | ( |
) | $ | ( |
) | ||
Less: Allocation of net income to Class A ordinary shares |
( |
) | ( |
) | ||||
Proportionate share of net income |
$ | ( |
) | $ | ( |
) | ||
Denominator: Weighted Average Class B ordinary shares |
||||||||
Basic and diluted weighted average shares outstanding |
||||||||
Basic and diluted net income per share |
$ | ( |
) | $ | ( |
) | ||
Level 1 – |
Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. Valuation adjustments and block discounts are not being applied. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these securities does not entail a significant degree of judgment. | |
Level 2 – |
Valuations based on (i) quoted prices in active markets for similar assets and liabilities, (ii) quoted prices in markets that are not active for identical or similar assets, (iii) inputs other than quoted prices for the assets or liabilities, or (iv) inputs that are derived principally from or corroborated by market through correlation or other means. | |
Level 3 – |
Valuations based on inputs that are unobservable and significant to the overall fair value measurement. |
• | in whole and not in part; |
• | at a price of $0.01 per W arrant; |
• | upon not less than 30 days’ prior written notice of redemption (the “30-day redemption period”) to each warrant holder; and |
• | if, and only if, the last sale price of the Class A ordinary shares equals or exceeds $18.00 per share (as adjusted for stock splits, stock dividends, reorganizations and recapitalizations), for any 20 trading days within a 30-trading day period ending on the third business day prior to the notice of redemption to the warrant holders; and |
• | if, and only if, there is a current registration statement in effect with respect to the Class A ordinary shares underlying the W arrants. |
Quoted |
Significant |
Significant |
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Prices In |
Other |
Other |
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Active |
Observable |
Unobservable |
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September 30, |
Markets |
Inputs |
Inputs |
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2021 |
(Level 1) |
(Level 2) |
(Level 3) |
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Assets: |
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U.S. Money Market held in Trust Account |
$ | $ | $ | $ | ||||||||||||
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Liabilities: |
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Public Warrants Liability |
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Private Warrants Liability |
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$ | $ | $ | $ | |||||||||||||
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Fair Value at January 1, 2021 |
$ | |||
Initial fair value of public and private warrants |
||||
Change in fair value of public and private warrants |
( |
) | ||
Transfer of public warrants to Level 1 |
( |
) | ||
|
|
|||
Fair Value at June 30, 2021 |
$ | |||
Change in fair value of private warrants |
||||
|
|
|||
Fair Value at September 30, 2021 |
$ | |||
|
|
Inputs |
(Initial Measurement) February 26, 2021 |
September 30, 2021 |
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Risk-free interest rate |
% | % | ||||||
Expected term remaining (years) |
||||||||
Expected volatility |
% | % | ||||||
Stock price |
$ | $ |
i. |
all representations and warranties of us and the PIPE Investor contained in the relevant PIPE Subscription Agreement will be true and correct in all material respects (other than representations and warranties that are qualified as to materiality or Material Adverse Effect (as defined in the PIPE Subscription Agreements), which representations and warranties will be true in all respects) at, and as of, the PIPE Closing; | |
ii. |
all conditions precedent to the Closing will have been satisfied or waived; and | |
iii. |
without the consent of the PIPE Investor, the Business Combination Agreement cannot be amended, modified or waived in a manner that reasonably would be expected to materially and adversely affect the economic benefits the PIPE Investor reasonably would expect to receive under the PIPE Subscription Agreement. |
Exhibit No. |
Description of Exhibit | |
2.1 |
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3.1 |
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10.1 |
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10.2 |
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10.3 |
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10.4 |
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10.5 |
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10.6 |
||
10.7 |
||
31.1* |
||
31.2* |
||
32.1** |
||
32.2** |
||
101.INS* |
Inline XBRL Instance Document. | |
101.SCH* |
Inline XBRL Taxonomy Extension Schema Document. | |
101.CAL* |
Inline XBRL Taxonomy Extension Calculation Linkbase Document. | |
101.DEF* |
Inline XBRL Taxonomy Extension Definition Linkbase Document. | |
101.LAB* |
Inline XBRL Taxonomy Extension Label Linkbase Document. | |
101.PRE* |
Inline XBRL Taxonomy Extension Presentation Linkbase Document. | |
104* |
Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101). |
* | Filed herewith. |
** | Furnished. |
CARTESIAN GROWTH CORPORATION | ||||||
Date: November 15, 2021 |
By: |
/s/ Peter Yu | ||||
Name: |
Peter Yu | |||||
Title: |
Chief Executive Officer | |||||
(Principal Executive Officer) | ||||||
Date: November 15, 2021 |
By: |
/s/ Gregory Armstrong | ||||
Name: |
Gregory Armstrong | |||||
Title: |
Chief Financial Officer | |||||
(Principal Financial and Accounting Officer) |