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HCM II Acquisition Corp. (HOND-0.85%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The company completed its Initial Public Offering on August 19, 2024, raising $230 million by issuing 23 million units at $10 per unit. Each unit consists of one Class A ordinary share and one-half of one redeemable warrant.
Simultaneously, HCM II Acquisition Corp. completed a private placement of 6.85 million warrants, generating an additional $6.85 million in gross proceeds. These funds have been placed in a trust account.
The company has not commenced operations and is focused on identifying a target for a business combination. As of December 31, 2024, the trust account held approximately $235.2 million.
HCM II Acquisition Corp. has until August 19, 2026, to complete a business combination. If a business combination is not completed within this timeframe, the company will liquidate and distribute the funds held in the trust account to public shareholders.
On March 26, 2025, the company entered into a Business Combination Agreement with Terrestrial Energy Inc. and HCM II Merger Sub Inc., a wholly-owned subsidiary. The merger is expected to close in the fourth quarter of 2025, subject to shareholder approval and other customary closing conditions.
The company plans to change its jurisdiction of incorporation from the Cayman Islands to Delaware as part of the business combination process.
HCM II Acquisition Corp. reported a net income of $3.4 million for the period from April 4, 2024, to December 31, 2024, primarily due to interest income from the trust account.
The company has no long-term debt and its operations are funded through the proceeds from the IPO and private placement.
Management has identified liquidity concerns and substantial doubt about the company's ability to continue as a going concern if a business combination is not completed within the specified timeframe.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the HCM II Acquisition Corp. annual 10-K report dated March 31, 2025. To report an error, please email earnings@qz.com.