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Charlton Aria Acquisition Corporation (CHAR+0.46%) has submitted its Form 10-Q filing for the quarterly period ended September 30, 2024.
The filing indicates that Charlton Aria Acquisition Corporation is a blank check company formed for the purpose of effecting a merger or similar business combination. The company has not commenced operations and has been focusing on organizational activities and preparations for its initial public offering (IPO).
On October 25, 2024, the company completed its IPO, selling 7,500,000 units at $10.00 per unit, generating gross proceeds of $75,000,000. Each unit consists of one Class A ordinary share and one right to acquire one-eighth of a Class A ordinary share.
Simultaneously with the IPO, the company completed a private placement of 240,000 units to its sponsor, generating additional proceeds of $2,400,000.
The company reported a net loss of $331,524 for the period from inception on March 22, 2024, to September 30, 2024. This loss is attributed to formation and operating costs, as well as stock-based compensation expenses.
As of September 30, 2024, Charlton Aria Acquisition Corporation had no cash and a working capital deficit of $320,932. The company plans to address this through working capital loans and other financing options.
The company has established a trust account with the proceeds from the IPO and private placement, which will be used to fund a business combination. The trust account is subject to redemption rights by public shareholders.
Charlton Aria Acquisition Corporation is classified as an emerging growth company and is subject to certain exemptions from reporting requirements.
The company faces risks related to its ability to complete a business combination, market conditions, and potential impacts from geopolitical events. Management has identified material weaknesses in internal controls over financial reporting.
The filing also details related party transactions, including loans and compensation arrangements with the company's sponsor and executives.
No material legal proceedings are reported, and there have been no significant changes to the company's risk factors since its IPO prospectus.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Charlton Aria Acquisition Corporation quarterly 10-Q report dated December 3, 2024. To report an error, please email earnings@qz.com.