Mon, Dec 30, 6:21 PM (49 days ago)
Broad Capital Acquisition Corp (BRAC) filed an amendment (Form 10-Q/A) to its quarterly report for the period ending September 30, 2024, primarily to correct misstatements regarding its trust account's investment strategy. The trust account, previously described as holding "marketable securities," now accurately reflects an "interest-bearing demand deposit account" following a liquidation of marketable securities on January 4, 2024. As of September 30, 2024, total assets decreased to $20,211,332 from $50,817,322 at year-end 2023, largely due to redemptions and operational losses. The company reported a net loss of $1,025,807 for the nine months ended September 30, 2024, compared to a loss of $497,939 for the same period in 2023, driven by increased formation and operating costs. Cash in the operating account was $30,680, raising concerns about liquidity as they pursue a business combination. The company continues to negotiate terms for its merger with Openmarkets Group, with ongoing amendments to the agreement reflecting changing valuations and conditions. The financial statements highlight significant uncertainties regarding future operations and the company's ability to continue as a going concern if the merger is not completed.