Thu, Aug 15, 8:12 PM (338 days ago)
Clover Leaf Capital Corp. reported a net loss of $350.2K for Q2 2024, an improvement from a $534.9K loss in Q2 2023. Year-to-date losses increased to $693.4K, primarily due to elevated formation and operating costs. Current assets decreased significantly from $285.3K at year-end 2023 to $119.3K, while cash reserves dwindled from $162.9K to $51.1K. The Trust Account held $12.9M, down from $14.6M, reflecting shareholder redemptions following extensions of the business combination deadline to October 22, 2024. Liabilities rose to $10.9M, driven by accrued costs and promissory notes. The company continues to face liquidity challenges, with a working capital deficit of $5.7M. Future operations hinge on completing a merger with Kustom Entertainment, with Nasdaq compliance issues posing potential delisting risks. The SEC's recent SPAC regulations may further complicate the acquisition process. The ongoing cash burn and reliance on sponsor loans highlight uncertainties in meeting future operational needs.