Tue, May 14, 7:29 PM (73 days ago)
Armada Acquisition Corp. I’s quarterly report for the period ending March 31, 2024, indicates a challenging financial position. The company, a blank check entity focused on merging with businesses in the financial services sector, has extended its business combination deadline to May 17, 2024, with potential further extensions until August 17, 2024. Key financial metrics include: - **Cash and Assets**: Cash on hand increased to $107,722 from $60,284, while investments in the Trust Account decreased significantly to $15.8 million from $25.3 million. - **Liabilities and Deficit**: Current liabilities surged to $9.8 million from $8.6 million, primarily due to increased accounts payable and promissory notes. Stockholders’ deficit deepened to $9.6 million from $8.5 million. - **Net Loss**: The company reported a net loss of $380,846 for Q1 2024, driven by operating costs and stock-based compensation, despite interest income from the Trust Account. - **Redemptions**: Significant redemptions reduced shares subject to possible redemption and impacted the Trust Account balance. - **Going Concern**: The report highlights substantial doubt about the company's ability to continue as a going concern due to liquidity issues and the looming deadline for completing a business combination. The company is actively seeking to complete its business combination with Rezolve Limited, involving complex financial arrangements and extensions. Future operations and financial stability hinge on the successful completion of this merger.