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FNVTF (FNVTF0.00%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing reveals that FNVTF has not yet commenced operations and is focused on identifying a target for a business combination. The company reported a net loss of $97,285 for the three months ended September 30, 2024, driven by operating, general, and administrative expenses of $375,172, partially offset by interest income of $277,887.
FNVTF completed its Initial Public Offering on November 8, 2021, raising $172,500,000, and has since been engaged in the process of identifying a suitable business combination target. As of September 30, 2024, the company had $26,126,773 held in a trust account.
The company is pursuing a business combination with Scage International Limited, a zero-emission solution provider in China. The proposed transaction values Scage at $800,000,000, following a reduction from the initial valuation of $1,000,000,000.
FNVTF has extended its deadline to complete a business combination to May 8, 2025, following shareholder approval. The company has faced challenges, including high redemption rates from shareholders, with 1,383,214 shares redeemed at the November 2024 extraordinary general meeting.
The company has received notice from Nasdaq regarding its failure to meet certain listing requirements, resulting in the suspension of trading on Nasdaq and subsequent quotation on OTC Markets. FNVTF continues to seek additional financing to support the business combination.
The filing indicates that FNVTF's management is aware of the substantial doubt about the company's ability to continue as a going concern, given its need to complete a business combination by the extended deadline or face liquidation.
The filing also details various promissory notes and extensions, including a promissory note issued to the sponsor to support the extension period, with a total of $1,387,500 deposited into the trust account to support the extensions.
FNVTF's management is evaluating the impact of various risks, including economic conditions and geopolitical instability, which may affect the company's ability to complete the business combination.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the FNVTF quarterly 10-Q report dated December 10, 2024. To report an error, please email earnings@qz.com.