Wed, Jun 11, 10:01 AM (7 days ago)
**Summary of Finnovate Acquisition Corp. (FNVT) 10-K/A Amendment** **Financial Performance:** - **Revenue:** No revenue generated; the company is in the pre-revenue stage. - **Net Income:** Net loss of $215,486 for the year ended December 31, 2024, primarily due to $1,622,093 in formation, general, and administrative expenses offset by $1,406,607 in interest earned on the bank account and the investment held in the Trust Account. - **Operating Expenses:** $1,622,093 in formation, general, and administrative expenses for the year ended December 31, 2024. **Strategic Overview:** - **Business Model:** Finnovate Acquisition Corp. is a blank check company formed for the purpose of effecting a business combination with one or more businesses or entities. - **Business Combination:** The company is pursuing a business combination with Scage International Limited, a zero-emission solution provider in China. - **Future Outlook:** The company has until November 8, 2025, to complete a business combination, unless extended further by shareholders' approval. **Risk Factors:** - **Market Risks:** The company faces risks related to economic uncertainty, volatility in financial markets, geopolitical instability, and other external factors. - **Operational Risks:** The company may not be able to complete a business combination within the prescribed time frame, which could result in liquidation and distribution of funds in the Trust Account. - **Financial Risks:** The company's financial performance is dependent on completing a business combination, and there is no assurance that it will be successful. **Financial Condition:** - **Cash Position:** As of December 31, 2024, the company had $769 in cash outside the Trust Account and $10,208,877 in the Trust Account. - **Liquidity:** The company has used $877,915 in operating activities for the year ended December 31, 2024, primarily driven by interest earned on investments held in the Trust Account. - **Capital Resources:** The company has raised funds through the sale of units and private placement warrants, which are held in the Trust Account. **Market Position Changes:** - **Stock Performance:** The company's securities were suspended from trading on Nasdaq on November 12, 2024, and are now quoted on the OTC Markets under the tickers "FNVUF," "FNVTF," and "FNVWF." - **Shareholder Redemptions:** The company has experienced several shareholder redemptions, with a total of 766,207 shares redeemed as of the date of the filing. **Amendment Details:** - **Changes Made:** The amendment includes updates to the cover page, Part II, Item 8, "Financial Statements and Supplementary Data," and Part IV, Item 15, "Exhibits and Financial Statement Schedules." - **Impact:** The amendment corrects deficiencies related to the audit report and provides updated financial information and exhibits.