2023 Q3 Form 10-Q Financial Statement

#000149315223037349 Filed on October 16, 2023

View on sec.gov

Income Statement

Concept 2023 Q3 2022 Q3
Revenue $0.00 $0.00
YoY Change
Cost Of Revenue $86.44K
YoY Change
Gross Profit $140.5K
YoY Change
Gross Profit Margin
Selling, General & Admin $395.8K $167.5K
YoY Change 136.37%
% of Gross Profit 281.76%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $14.91K
YoY Change
% of Gross Profit 10.61%
Operating Expenses $395.8K $167.5K
YoY Change 136.35%
Operating Profit -$255.3K
YoY Change
Interest Expense $264.9K $289.6K
YoY Change -8.53%
% of Operating Profit
Other Income/Expense, Net $264.9K $289.6K
YoY Change -8.53%
Pretax Income -$130.9K $122.1K
YoY Change -207.18%
Income Tax $45.12K
% Of Pretax Income
Net Earnings -$176.0K $122.1K
YoY Change -244.13%
Net Earnings / Revenue
Basic Earnings Per Share
Diluted Earnings Per Share -$0.04 $10.85K
COMMON SHARES
Basic Shares Outstanding
Diluted Shares Outstanding

Balance Sheet

Concept 2023 Q3 2022 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $812.0K $1.507M
YoY Change -46.13%
Cash & Equivalents $812.3K $1.507M
Short-Term Investments
Other Short-Term Assets $285.0K $36.31K
YoY Change 684.82%
Inventory
Prepaid Expenses $50.00K
Receivables
Other Receivables
Total Short-Term Assets $1.101M $1.600M
YoY Change -31.18%
LONG-TERM ASSETS
Property, Plant & Equipment
YoY Change
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments $20.98M $87.47M
YoY Change -76.02%
Other Assets $0.00
YoY Change
Total Long-Term Assets $20.98M $87.47M
YoY Change -76.02%
TOTAL ASSETS
Total Short-Term Assets $1.101M $1.600M
Total Long-Term Assets $20.98M $87.47M
Total Assets $22.08M $89.07M
YoY Change -75.21%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $524.0K $232.6K
YoY Change 125.26%
Accrued Expenses $15.00K
YoY Change
Deferred Revenue
YoY Change
Short-Term Debt $205.0K $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $729.7K $247.6K
YoY Change 194.68%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00
YoY Change
Other Long-Term Liabilities $3.019M $3.019M
YoY Change 0.01%
Total Long-Term Liabilities $3.019M $3.019M
YoY Change 0.01%
TOTAL LIABILITIES
Total Short-Term Liabilities $729.7K $247.6K
Total Long-Term Liabilities $3.019M $3.019M
Total Liabilities $3.748M $3.266M
YoY Change 14.76%
SHAREHOLDERS EQUITY
Retained Earnings -$2.053M -$1.467M
YoY Change 39.98%
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity -$2.052M -$1.466M
YoY Change
Total Liabilities & Shareholders Equity $22.08M $89.07M
YoY Change -75.21%

Cashflow Statement

Concept 2023 Q3 2022 Q3
OPERATING ACTIVITIES
Net Income -$176.0K $122.1K
YoY Change -244.13%
Depreciation, Depletion And Amortization $14.91K
YoY Change
Cash From Operating Activities -$473.8K -$106.2K
YoY Change 346.1%
INVESTING ACTIVITIES
Capital Expenditures
YoY Change
Acquisitions
YoY Change
Other Investing Activities -$34.50K -$6.500K
YoY Change 430.77%
Cash From Investing Activities -$34.50K -$6.500K
YoY Change 430.77%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 100.7K 0.000
YoY Change
NET CHANGE
Cash From Operating Activities -473.8K -106.2K
Cash From Investing Activities -34.50K -6.500K
Cash From Financing Activities 100.7K 0.000
Net Change In Cash -407.6K -112.7K
YoY Change 261.64%
FREE CASH FLOW
Cash From Operating Activities -$473.8K -$106.2K
Capital Expenditures
Free Cash Flow
YoY Change

Facts In Submission

Frame Concept Type Concept / XBRL Key Value Unit
CY2023Q3 us-gaap Additional Paid In Capital
AdditionalPaidInCapital
usd
us-gaap Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
usd
dei Entity Central Index Key
EntityCentralIndexKey
0001897245
dei Amendment Flag
AmendmentFlag
false
dei Document Fiscal Period Focus
DocumentFiscalPeriodFocus
Q3
dei Current Fiscal Year End Date
CurrentFiscalYearEndDate
--11-30
CY2022Q4 us-gaap Loans Payable
LoansPayable
usd
CY2023Q3 us-gaap Preferred Stock Value
PreferredStockValue
usd
CY2022Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
usd
us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
usd
ACAX Formation And Organization Costs Paid By Related Parties
FormationAndOrganizationCostsPaidByRelatedParties
usd
ACAX Cash Withdrawn From Trust Account For Taxes
CashWithdrawnFromTrustAccountForTaxes
usd
us-gaap Payments For Proceeds From Other Investing Activities
PaymentsForProceedsFromOtherInvestingActivities
usd
ACAX Cash Withdrawn Form Trust Account For Redemptions
CashWithdrawnFormTrustAccountForRedemptions
usd
us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
usd
us-gaap Proceeds From Issuance Of Private Placement
ProceedsFromIssuanceOfPrivatePlacement
usd
us-gaap Proceeds From Payments For Other Financing Activities
ProceedsFromPaymentsForOtherFinancingActivities
usd
us-gaap Proceeds From Notes Payable
ProceedsFromNotesPayable
usd
us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
usd
us-gaap Payments Of Stock Issuance Costs
PaymentsOfStockIssuanceCosts
usd
ACAX Deferred Underwriters Commissions Charged To Temporary Equity In Connection With Initial Public Offering
DeferredUnderwritersCommissionsChargedToTemporaryEquityInConnectionWithInitialPublicOffering
usd
ACAX Initial Classification Of Class Common Stock Subject To Redemption
InitialClassificationOfClassCommonStockSubjectToRedemption
usd
ACAX Extension Funds Attributable To Common Stock Subject To Redemption
ExtensionFundsAttributableToCommonStockSubjectToRedemption
usd
CY2022Q4 us-gaap Loans Payable
LoansPayable
usd
dei Document Type
DocumentType
10-Q
dei Document Quarterly Report
DocumentQuarterlyReport
true
dei Document Period End Date
DocumentPeriodEndDate
2023-08-31
dei Document Fiscal Year Focus
DocumentFiscalYearFocus
2023
dei Document Transition Report
DocumentTransitionReport
false
dei Entity File Number
EntityFileNumber
001-41254
dei Entity Registrant Name
EntityRegistrantName
ALSET CAPITAL ACQUISITION CORP.
dei Entity Incorporation State Country Code
EntityIncorporationStateCountryCode
DE
dei Entity Tax Identification Number
EntityTaxIdentificationNumber
87-3296100
dei Entity Address Address Line1
EntityAddressAddressLine1
4800 Montgomery Lane
dei Entity Address Address Line2
EntityAddressAddressLine2
Suite 210
dei Entity Address City Or Town
EntityAddressCityOrTown
Bethesda
dei Entity Address State Or Province
EntityAddressStateOrProvince
MD
dei Entity Address Postal Zip Code
EntityAddressPostalZipCode
20814
dei City Area Code
CityAreaCode
301
dei Local Phone Number
LocalPhoneNumber
971-3955
dei Entity Current Reporting Status
EntityCurrentReportingStatus
Yes
dei Entity Interactive Data Current
EntityInteractiveDataCurrent
Yes
dei Entity Filer Category
EntityFilerCategory
Non-accelerated Filer
dei Entity Small Business
EntitySmallBusiness
true
dei Entity Emerging Growth Company
EntityEmergingGrowthCompany
true
dei Entity Ex Transition Period
EntityExTransitionPeriod
false
dei Entity Shell Company
EntityShellCompany
true
CY2023Q3 us-gaap Cash
Cash
812293 usd
CY2022Q4 us-gaap Cash
Cash
1172581 usd
CY2023Q3 us-gaap Other Assets Current
OtherAssetsCurrent
285000 usd
CY2022Q4 us-gaap Other Assets Current
OtherAssetsCurrent
9043 usd
CY2023Q3 us-gaap Assets Current
AssetsCurrent
1101156 usd
CY2022Q4 us-gaap Assets Current
AssetsCurrent
1194624 usd
CY2023Q3 us-gaap Assets Held In Trust Noncurrent
AssetsHeldInTrustNoncurrent
20977754 usd
CY2022Q4 us-gaap Assets Held In Trust Noncurrent
AssetsHeldInTrustNoncurrent
88102610 usd
CY2023Q3 us-gaap Assets
Assets
22078910 usd
CY2022Q4 us-gaap Assets
Assets
89297234 usd
CY2023Q3 us-gaap Accounts Payable And Accrued Liabilities Current
AccountsPayableAndAccruedLiabilitiesCurrent
524377 usd
CY2022Q4 us-gaap Accounts Payable And Accrued Liabilities Current
AccountsPayableAndAccruedLiabilitiesCurrent
376541 usd
CY2023Q3 us-gaap Loans Payable
LoansPayable
205305 usd
CY2023Q3 us-gaap Liabilities Current
LiabilitiesCurrent
729682 usd
CY2022Q4 us-gaap Liabilities Current
LiabilitiesCurrent
376541 usd
CY2023Q3 us-gaap Deferred Compensation Liability Classified Noncurrent
DeferredCompensationLiabilityClassifiedNoncurrent
3018750 usd
CY2022Q4 us-gaap Deferred Compensation Liability Classified Noncurrent
DeferredCompensationLiabilityClassifiedNoncurrent
3018750 usd
CY2023Q3 us-gaap Liabilities
Liabilities
3748432 usd
CY2022Q4 us-gaap Liabilities
Liabilities
3395291 usd
CY2023Q3 us-gaap Temporary Equity Carrying Amount Attributable To Parent
TemporaryEquityCarryingAmountAttributableToParent
20382965 usd
CY2022Q4 us-gaap Temporary Equity Carrying Amount Attributable To Parent
TemporaryEquityCarryingAmountAttributableToParent
87934212 usd
CY2023Q3 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.0001
CY2022Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.0001
CY2023Q3 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
1000000 shares
CY2022Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
1000000 shares
CY2023Q3 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2023Q3 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2022Q4 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2022Q4 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2023Q3 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-2052750 usd
CY2022Q4 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-2032532 usd
CY2023Q3 us-gaap Stockholders Equity
StockholdersEquity
-2052487 usd
CY2022Q4 us-gaap Stockholders Equity
StockholdersEquity
-2032269 usd
CY2023Q3 us-gaap Liabilities And Stockholders Equity
LiabilitiesAndStockholdersEquity
22078910 usd
CY2022Q4 us-gaap Liabilities And Stockholders Equity
LiabilitiesAndStockholdersEquity
89297234 usd
CY2023Q3 ACAX Administration Fee Related Party
AdministrationFeeRelatedParty
30000 usd
CY2022Q3 ACAX Administration Fee Related Party
AdministrationFeeRelatedParty
30000 usd
CY2023Q3 us-gaap General And Administrative Expense
GeneralAndAdministrativeExpense
315777 usd
CY2022Q3 us-gaap General And Administrative Expense
GeneralAndAdministrativeExpense
87454 usd
CY2023Q3 ACAX Franchise Tax
FranchiseTax
50000 usd
CY2022Q3 ACAX Franchise Tax
FranchiseTax
50000 usd
CY2023Q3 us-gaap Operating Expenses
OperatingExpenses
395777 usd
CY2022Q3 us-gaap Operating Expenses
OperatingExpenses
167454 usd
CY2023Q3 us-gaap Investment Income Interest
InvestmentIncomeInterest
264876 usd
CY2022Q3 us-gaap Investment Income Interest
InvestmentIncomeInterest
289586 usd
CY2023Q3 us-gaap Nonoperating Income Expense
NonoperatingIncomeExpense
264876 usd
CY2022Q3 us-gaap Nonoperating Income Expense
NonoperatingIncomeExpense
289586 usd
CY2023Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
-130901 usd
CY2022Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
122132 usd
CY2023Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
45124 usd
CY2023Q3 us-gaap Net Income Loss
NetIncomeLoss
-176025 usd
CY2022Q3 us-gaap Net Income Loss
NetIncomeLoss
122132 usd
ACAX Administration Fee Related Party
AdministrationFeeRelatedParty
90000 usd
ACAX Administration Fee Related Party
AdministrationFeeRelatedParty
70000 usd
us-gaap General And Administrative Expense
GeneralAndAdministrativeExpense
540847 usd
us-gaap General And Administrative Expense
GeneralAndAdministrativeExpense
153751 usd
ACAX Franchise Tax
FranchiseTax
155000 usd
ACAX Franchise Tax
FranchiseTax
118398 usd
us-gaap Operating Expenses
OperatingExpenses
785847 usd
us-gaap Operating Expenses
OperatingExpenses
342149 usd
us-gaap Investment Income Interest
InvestmentIncomeInterest
1940734 usd
us-gaap Investment Income Interest
InvestmentIncomeInterest
356799 usd
us-gaap Nonoperating Income Expense
NonoperatingIncomeExpense
1940734 usd
us-gaap Nonoperating Income Expense
NonoperatingIncomeExpense
356799 usd
us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
1154887 usd
us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
14650 usd
us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
375004 usd
us-gaap Net Income Loss
NetIncomeLoss
779883 usd
us-gaap Net Income Loss
NetIncomeLoss
14650 usd
us-gaap Net Income Loss
NetIncomeLoss
779883 usd
us-gaap Net Income Loss
NetIncomeLoss
14650 usd
CY2022Q4 us-gaap Stockholders Equity
StockholdersEquity
-2032269 usd
us-gaap Stock Redeemed Or Called During Period Value
StockRedeemedOrCalledDuringPeriodValue
-594796 usd
ACAX Stock Issued During Period Value Extension Loan
StockIssuedDuringPeriodValueExtensionLoan
-205305 usd
us-gaap Net Income Loss
NetIncomeLoss
779883 usd
CY2023Q3 us-gaap Stockholders Equity
StockholdersEquity
-2052487 usd
CY2021Q4 us-gaap Stockholders Equity
StockholdersEquity
20000 usd
CY2021Q4 us-gaap Stockholders Equity
StockholdersEquity
20000 usd
us-gaap Stock Issued During Period Value New Issues
StockIssuedDuringPeriodValueNewIssues
86250000 usd
us-gaap Adjustments To Additional Paid In Capital Other
AdjustmentsToAdditionalPaidInCapitalOther
-3018750 usd
us-gaap Stock Issued During Period Value Other
StockIssuedDuringPeriodValueOther
4737500 usd
us-gaap Adjustments To Additional Paid In Capital Stock Issued Issuance Costs
AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts
2200348 usd
us-gaap Stock Redeemed Or Called During Period Value
StockRedeemedOrCalledDuringPeriodValue
-87112500 usd
ACAX Adjustments To Additional Paid In Capital Common Stock Measurement Adjustment
AdjustmentsToAdditionalPaidInCapitalCommonStockMeasurementAdjustment
-156799 usd
us-gaap Net Income Loss
NetIncomeLoss
14650 usd
CY2022Q3 us-gaap Stockholders Equity
StockholdersEquity
-1466247 usd
CY2022Q3 us-gaap Stockholders Equity
StockholdersEquity
-1466247 usd
us-gaap Net Income Loss
NetIncomeLoss
779883 usd
us-gaap Net Income Loss
NetIncomeLoss
14650 usd
us-gaap Investment Income Interest
InvestmentIncomeInterest
1940734 usd
us-gaap Investment Income Interest
InvestmentIncomeInterest
356799 usd
ACAX Formation And Organization Costs Paid By Related Parties
FormationAndOrganizationCostsPaidByRelatedParties
5000 usd
us-gaap Increase Decrease In Prepaid Expense
IncreaseDecreaseInPrepaidExpense
285000 usd
us-gaap Increase Decrease In Prepaid Expense
IncreaseDecreaseInPrepaidExpense
50000 usd
us-gaap Increase Decrease In Other Current Assets
IncreaseDecreaseInOtherCurrentAssets
-9043 usd
us-gaap Increase Decrease In Other Current Assets
IncreaseDecreaseInOtherCurrentAssets
36314 usd
us-gaap Increase Decrease In Accounts Payable And Accrued Liabilities
IncreaseDecreaseInAccountsPayableAndAccruedLiabilities
147836 usd
us-gaap Increase Decrease In Accounts Payable And Accrued Liabilities
IncreaseDecreaseInAccountsPayableAndAccruedLiabilities
237618 usd
us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
-1288972 usd
us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
-185845 usd
ACAX Cash Withdrawn From Trust Account For Taxes
CashWithdrawnFromTrustAccountForTaxes
919547 usd
us-gaap Payments For Proceeds From Other Investing Activities
PaymentsForProceedsFromOtherInvestingActivities
6500 usd
ACAX Cash Withdrawn Form Trust Account For Redemptions
CashWithdrawnFormTrustAccountForRedemptions
68351348 usd
us-gaap Payments To Acquire Restricted Investments
PaymentsToAcquireRestrictedInvestments
205305 usd
us-gaap Payments To Acquire Restricted Investments
PaymentsToAcquireRestrictedInvestments
87112500 usd
us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
69065590 usd
us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
-87119000 usd
us-gaap Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
84525000 usd
us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
68351348 usd
us-gaap Proceeds From Issuance Of Private Placement
ProceedsFromIssuanceOfPrivatePlacement
4737500 usd
us-gaap Proceeds From Payments For Other Financing Activities
ProceedsFromPaymentsForOtherFinancingActivities
9137 usd
us-gaap Proceeds From Notes Payable
ProceedsFromNotesPayable
205305 usd
us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
33475 usd
us-gaap Repayments Of Related Party Debt
RepaymentsOfRelatedPartyDebt
33475 usd
us-gaap Repayments Of Related Party Debt
RepaymentsOfRelatedPartyDebt
211153 usd
us-gaap Payments Of Stock Issuance Costs
PaymentsOfStockIssuanceCosts
289195 usd
us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
-68136906 usd
us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
88762152 usd
us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
-360288 usd
us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
1457307 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
1172581 usd
CY2021Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
50000 usd
CY2023Q3 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
812293 usd
CY2022Q3 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
1507307 usd
ACAX Deferred Underwriters Commissions Charged To Temporary Equity In Connection With Initial Public Offering
DeferredUnderwritersCommissionsChargedToTemporaryEquityInConnectionWithInitialPublicOffering
3018750 usd
ACAX Initial Classification Of Class Common Stock Subject To Redemption
InitialClassificationOfClassCommonStockSubjectToRedemption
87112500 usd
ACAX Remeasurement Of Common Stock Subject To Redemption
RemeasurementOfCommonStockSubjectToRedemption
594796 usd
ACAX Remeasurement Of Common Stock Subject To Redemption
RemeasurementOfCommonStockSubjectToRedemption
1319361 usd
ACAX Extension Funds Attributable To Common Stock Subject To Redemption
ExtensionFundsAttributableToCommonStockSubjectToRedemption
205305 usd
us-gaap Nature Of Operations
NatureOfOperations
<p id="xdx_805_eus-gaap--NatureOfOperations_zYCfeaaclpK8" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"><b>NOTE 1 — <span id="xdx_828_zn7nTXeJPaw2">DESCRIPTION OF ORGANIZATION, BUSINESS OPERATIONS AND LIQUIDITY</span></b></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">Alset Capital Acquisition Corp. (the “Company”) was incorporated in Delaware on October 20, 2021. The Company was formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses (the “Business Combination”). The Company is not limited to a particular industry or sector for purposes of consummating a Business Combination. The Company is an early stage and emerging growth company and, as such, the Company is subject to all of the risks associated with early stage and emerging growth companies.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">As of August 31, 2023, the Company has not commenced any operations. All activity for the period from October 20, 2021 (inception) through August 31, 2023 relates to the Company’s formation and the initial public offering (“Initial Public Offering”), which is described below and the pursuit of a suitable acquisition candidate. The Company will not generate any operating revenues until after the completion of its initial Business Combination, at the earliest. The Company will generate non-operating income in the form of interest income from the proceeds derived from the Initial Public Offering. The Company has selected November 30 as its fiscal year end.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">On September 9, 2022, the Company entered into an agreement and plan of merger (the “Merger Agreement”) by and among the Company, HWH International Inc., a Nevada corporation (“HWH”) and HWH Merger Sub Inc., a Nevada corporation and a wholly owned subsidiary of the Company (“Merger Sub”). The Company and Merger Sub are sometimes referred to collectively as the “ACAX Parties.” Pursuant to the Merger Agreement, a business combination between the Company and HWH will be effected through the merger of Merger Sub with and into HWH, with HWH surviving the merger as a wholly owned subsidiary of the Company (the “Merger”). Upon the closing of the Merger (the “Closing”), it is anticipated that the Company will change its name to “HWH International Inc.” The board of directors of the Company has (i) approved and declared advisable the Merger Agreement, the Ancillary Agreements (as defined in the Merger Agreement) and the transactions contemplated thereby and (ii) resolved to recommend approval of the Merger Agreement and related transactions by the stockholders of the Company.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 33.75pt"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">HWH is wholly–owned by Alset International Limited, a public company listed on the Singapore Exchange Securities Trading Limited. Alset International Limited is majority-owned and controlled by certain officers and directors of the Company and its sponsor. The Company’s sponsor is owned by Alset International Limited and Alset Inc.; Alset Inc. is the majority stockholder of Alset International Limited, and Chan Heng Fai, the Company’s Chairman and Chief Executive Officer is also the majority stockholder, Chairman and Chief Executive Officer of Alset Inc., and the Chairman and Chief Executive Officer of HWH and Alset International Limited. The Merger is expected to be consummated in the fourth quarter of 2023, following the receipt of the required approval by the shareholder of HWH and the satisfaction of certain other customary closing conditions. This transaction was approved by the stockholders of the Company at the Special Meeting of stockholders held on August 1, 2023.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 33.75pt"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The total consideration to be paid at Closing (the “Merger Consideration”) by the Company to the HWH shareholders will be $<span id="xdx_904_eus-gaap--StockIssuedDuringPeriodValueAcquisitions_c20220908__20220909__us-gaap--TypeOfArrangementAxis__custom--MergerAgreementMember__us-gaap--BusinessAcquisitionAxis__custom--HWHInternationalIncMember__us-gaap--StatementClassOfStockAxis__us-gaap--CommonClassAMember_znomfMrGbtec" title="Total consideration paid">125,000,000</span>, and will be payable in shares of Class A common stock, par value $<span id="xdx_907_eus-gaap--CommonStockParOrStatedValuePerShare_iI_pid_c20220909__us-gaap--TypeOfArrangementAxis__custom--MergerAgreementMember__us-gaap--BusinessAcquisitionAxis__custom--HWHInternationalIncMember__us-gaap--StatementClassOfStockAxis__us-gaap--CommonClassAMember_zkA3unGrZuU6" title="Common stock, par value">0.0001</span> per share, of the Company (“Company Common Stock”). The number of shares of the Company Common Stock to be paid to the shareholders of HWH as Merger Consideration will be <span id="xdx_900_eus-gaap--StockIssuedDuringPeriodSharesAcquisitions_c20220908__20220909__us-gaap--TypeOfArrangementAxis__custom--MergerAgreementMember__us-gaap--BusinessAcquisitionAxis__custom--HWHInternationalIncMember__us-gaap--StatementClassOfStockAxis__us-gaap--CommonClassAMember_zIfyG7QTFkWe" title="Total consideration paid, shares">12,500,000</span>, with each share being valued at $<span id="xdx_90B_eus-gaap--SharesIssuedPricePerShare_iI_pid_c20220909__us-gaap--TypeOfArrangementAxis__custom--MergerAgreementMember__us-gaap--BusinessAcquisitionAxis__custom--HWHInternationalIncMember__us-gaap--StatementClassOfStockAxis__us-gaap--CommonClassAMember_z1XNsFObUua1" title="Shares price">10.00</span>. All cash proceeds remaining in the trust will be used to pay transaction costs and as growth capital for HWH.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The registration statement for the Company’s Initial Public Offering was declared effective on January 31, 2022. On February 3, 2022, the Company consummated the Initial Public Offering of <span id="xdx_903_eus-gaap--StockIssuedDuringPeriodSharesNewIssues_pid_uShares_c20220201__20220203__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--IPOMember_zIxdk44n8qi6" title="Number of shares issued">8,625,000</span> units (“Units” and, with respect to the shares of common stock included in the Units being offered, the “Public Shares”), generating gross proceeds of $<span id="xdx_903_eus-gaap--ProceedsFromIssuanceInitialPublicOffering_pp0p0_c20220201__20220203__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--IPOMember_zAKiVfInnkd7" title="Proceeds from issuance initial public offering">86,250,000</span>, which includes the full exercise of the underwriters’ option to purchase an additional <span id="xdx_909_eus-gaap--StockIssuedDuringPeriodSharesNewIssues_c20220201__20220203__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--IPOMember__srt--TitleOfIndividualAxis__custom--UnderwritersMember_zTs5ENGhH86c" title="Stock issued during period shares new issues">1,125,000</span> Units generating additional gross proceeds to the Company of $<span id="xdx_90E_eus-gaap--ProceedsFromIssuanceInitialPublicOffering_pp0p0_c20220201__20220203__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--IPOMember__srt--TitleOfIndividualAxis__custom--UnderwritersMember_zaRWgBfLazPl" title="Proceeds from issuance initial public offering">11,250,000</span>, which is described in Note 3.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">Simultaneously with the closing of the Initial Public Offering, the Company consummated the private sale of <span id="xdx_90A_eus-gaap--StockIssuedDuringPeriodSharesNewIssues_pid_uShares_c20220201__20220203__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--PrivatePlacementMember__dei--LegalEntityAxis__custom--AlsetAcquisitionSponsorLLCMember_zDqmKxTtg3m8" title="Stock issued during period shares new issues">473,750</span> units (the “Private Placement Units”) at a price of $<span id="xdx_90A_eus-gaap--SharesIssuedPricePerShare_iI_pid_uUSDPShares_c20220203__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--PrivatePlacementMember__dei--LegalEntityAxis__custom--AlsetAcquisitionSponsorLLCMember_zdI2kDee2Yb2" title="Shares issued price per share">10.00</span> per Private Placement Unit in private placement to Alset Acquisition Sponsor, LLC (the “Sponsor”) generating gross proceeds to the Company in the amount of $<span id="xdx_908_eus-gaap--ProceedsFromIssuanceInitialPublicOffering_c20220201__20220203__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--PrivatePlacementMember__dei--LegalEntityAxis__custom--AlsetAcquisitionSponsorLLCMember_zKLRw3mcXUQk" title="Proceeds from issuance of IPO">4,737,500</span>.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The Company’s management has broad discretion with respect to the specific application of the net proceeds of the Initial Public Offering and the sale of Private Placement Units, although substantially all of the net proceeds are intended to be applied toward consummating a Business Combination. There is no assurance that the Company will be able to complete a Business Combination successfully. The Company must complete one or more initial Business Combinations with one or more operating businesses or assets with a fair market value equal to at least <span id="xdx_901_ecustom--PercentageOfAggregateFairMarketValueOfAsset_iI_pid_dp_uPure_c20230831_zGQgEzWL9CCb" title="Aggregate market fair value percentage">80</span>% of the net assets held in the Trust Account (as defined below) (excluding the deferred underwriting commissions and taxes payable on the interest earned on the Trust Account). <span id="xdx_905_eus-gaap--SaleOfStockDescriptionOfTransaction_c20221201__20230831__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--IPOMember_zxgL54262lgl" title="Description on sale of stock">The Company will only complete a Business Combination if the post-transaction company owns or acquires 50% or more of the outstanding voting securities of the target or otherwise acquires a controlling interest in the target business sufficient for it not to be required to register as an investment company under the Investment Company Act of 1940, as amended (the “Investment Company Act”). Upon the closing of the Initial Public Offering, management has agreed that an amount equal to at least $10.10 per Unit sold in the Initial Public Offering, including proceeds from the Private Placement Units, will be held in a trust account (“Trust Account”)</span>, located in the United States and invested only in U.S. government securities, within the meaning set forth in Section 2(a)(16) of the Investment Company Act, with a maturity of <span id="xdx_90F_ecustom--TermOfRestrictedInvestments_dtD_c20221201__20230831_zvcI0FK3Xep1" title="Term of restricted investments">185</span> days or less or in any open-ended investment company that holds itself out as a money market fund selected by the Company meeting certain conditions of Rule 2a-7 of the Investment Company Act, as determined by the Company, until the earlier of: (i) the completion of a Business Combination and (ii) the distribution of the funds held in the Trust Account, as described below.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The Company will provide the holders of the outstanding Public Shares (the “Public Stockholders”) with the opportunity to redeem all or a portion of their Public Shares either (i) in connection with a stockholder meeting called to approve the Business Combination or (ii) by means of a tender offer in connection with the Business Combination. The decision as to whether the Company will seek stockholder approval of a Business Combination or conduct a tender offer will be made by the Company. The Public Stockholders will be entitled to redeem their Public Shares for a pro rata portion of the amount then in the Trust Account (initially anticipated to be $<span id="xdx_90A_eus-gaap--SharesIssuedPricePerShare_iI_pid_uUSDPShares_c20230831_zTGIboeELZQc" title="Share price">10.10</span> per Public Share, plus any pro rata interest then in the Trust Account, net of taxes payable). There will be no redemption rights upon the completion of a Business Combination with respect to the Company’s warrants. The Public Shares subject to redemption will be recorded at a redemption value and classified as temporary equity upon the completion of the Initial Public Offering in accordance with the Accounting Standards Codification (“ASC”) Topic 480 “<i>Distinguishing Liabilities from Equity</i>.”</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">All of the Public Shares contain a redemption feature which allows for the redemption of such Public Shares in connection with the Company’s liquidation, if there is a stockholder vote or tender offer in connection with the Company’s Business Combination and in connection with certain amendments to the Company’s Certificate of Incorporation. In accordance with the rules of the U.S. Securities and Exchange Commission (the “SEC”) and its guidance on redeemable equity instruments, which has been codified in ASC 480-10-S99, redemption provisions not solely within the control of a company require common stock subject to redemption to be classified outside of permanent equity. Given that the Public Shares will be issued with other freestanding instruments (i.e., public warrants), the initial carrying value of Class A common stock classified as temporary equity will be the allocated proceeds determined in accordance with ASC 470-20. The Class A common stock is subject to ASC 480-10-S99. If it is probable that the equity instrument will become redeemable, we have the option to either (i) accrete changes in the redemption value over the period from the date of issuance (or from the date that it becomes probable that the instrument will become redeemable, if later) to the earliest redemption date of the instrument or (ii) recognize changes in the redemption value immediately as they occur and adjust the carrying amount of the instrument to equal the redemption value at the end of each reporting period. We have elected to recognize the changes immediately. The accretion or remeasurement will be treated as a deemed dividend (i.e., a reduction to retained earnings, or in absence of retained earnings, additional paid-in capital). The Public Shares are redeemable and will be classified as such on the balance sheet until such date that a redemption event takes place. Redemptions of the Company’s Public Shares may be subject to the satisfaction of conditions, including minimum cash conditions, pursuant to an agreement relating to the Company’s Business Combination.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">If the Company seeks stockholder approval of the Business Combination, the Company will proceed with a Business Combination if a majority of the outstanding shares voted are voted in favor of the Business Combination, or such other vote as required by law or stock exchange rule. If a stockholder vote is not required by applicable law or stock exchange listing requirements and the Company does not decide to hold a stockholder vote for business or other reasons, the Company will, pursuant to its second amended and restated certificate of incorporation (the “Certificate of Incorporation”), conduct the redemptions pursuant to the tender offer rules of the U.S. Securities and Exchange Commission and file tender offer documents with the SEC prior to completing a Business Combination. If, however, stockholder approval of the transaction is required by applicable law or stock exchange listing requirements, or the Company decides to obtain stockholder approval for business or other reasons, the Company will offer to redeem shares in conjunction with a proxy solicitation pursuant to the proxy rules and not pursuant to the tender offer rules. If the Company seeks stockholder approval in connection with a Business Combination, the Sponsor has agreed to vote its Founder Shares (as defined in Note 5) and any Public Shares purchased during or after the Initial Public Offering in favor of approving a Business Combination. Additionally, each Public Stockholder may elect to redeem their Public Shares without voting, and if they do vote, irrespective of whether they vote for or against the proposed transaction.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">Notwithstanding the foregoing, if the Company seeks stockholder approval of a Business Combination and it does not conduct redemptions pursuant to the tender offer rules, the Certificate of Incorporation provides that a Public Stockholder, together with any affiliate of such stockholder or any other person with whom such stockholder is acting in concert or as a “group” (as defined under Section 13 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), will be restricted from redeeming its shares with respect to more than an aggregate of <span id="xdx_904_ecustom--AggregatePercentageOfPublicShares_pid_dp_uPure_c20221201__20230831_zy7H3Ziby8R5" title="Aggregate percentage of public shares">15</span>% of the Public Shares, without the prior consent of the Company.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The holders of the Founder Shares have agreed (a) to waive their redemption rights with respect to the Founder Shares and Public Shares held by them in connection with the completion of a Business Combination and (b) not to propose an amendment to the Certificate of Incorporation (i) to modify the substance or timing of the Company’s obligation to allow redemptions in connection with a Business Combination or to redeem <span id="xdx_900_ecustom--BusinessCombinationPercentageOfPublicShare_pid_dp_uPure_c20221201__20230831_zQjq00lvj9ke" title="Percentage of public share">100</span>% of its Public Shares if the Company does not complete a Business Combination within the Combination Period (as defined below) or (ii) with respect to any other provision relating to stockholders’ rights or pre-business combination activity, unless the Company provides the Public Stockholders with the opportunity to redeem their Public Shares in conjunction with any such amendment.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The Company’s Amended and Restated Certificate of Incorporation of February 2, 2022 provided that if the Company had not completed a Business Combination within 12 months from the closing of Initial Public Offering (or 15 months if we had filed a proxy statement, registration statement or similar filing for an initial Business Combination within 12 months from the consummation of Initial Public Offering but had not completed the initial Business Combination within such 12-month period, or up to 21 months if we extend the period of time to consummate a Business Combination, at the election of the Company by two separate three month extensions, subject to satisfaction of certain conditions, including the deposit of up to $<span id="xdx_90E_eus-gaap--Deposits_iI_c20230831__srt--RangeAxis__srt--MaximumMember_zKuiPDYYM8J8" title="Deposits">862,500</span> ($<span id="xdx_907_eus-gaap--SharePrice_iI_pid_uUSDPShares_c20230831__us-gaap--SubsidiarySaleOfStockAxis__us-gaap--IPOMember_zGYDg7K3jnqd" title="Share price">0.10</span> per unit in either case) for each three month extension, into the trust account, or as extended by the Company’s stockholders in accordance with our amended and restated certificate of incorporation), the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but not more than ten business days thereafter, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to pay taxes (less up to $<span id="xdx_902_ecustom--InterestOnDissolutionExpenses_pp0p0_c20221201__20230831_zW3MlwOEsT0i" title="Interest on dissolution expenses">100,000</span> of interest to pay dissolution expenses), divided by the number of then outstanding Public Shares, which redemption will completely extinguish Public Stockholders’ rights as stockholders (including the right to receive further liquidating distributions, if any), and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining stockholders and the Company’s board of directors, dissolve and liquidate, subject in each case to the Company’s obligations under Delaware law to provide for claims of creditors and the requirements of other applicable law. There will be no redemption rights or liquidating distributions with respect to the Company’s warrants, which will expire worthless if the Company fails to complete a Business Combination within the Combination Period.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The holders of the Founders Shares have agreed to waive their liquidation rights with respect to the Founder Shares if the Company fails to complete a Business Combination within the Combination Period. However, if the holders of Founder Shares acquire Public Shares in or after the Initial Public Offering, such Public Shares will be entitled to liquidating distributions from the Trust Account if the Company fails to complete a Business Combination within the Combination Period. The underwriters have agreed to waive their rights to their deferred underwriting commission (see Note 6) held in the Trust Account in the event the Company does not complete a Business Combination within the Combination Period and, in such event, such amounts will be included with the other funds held in the Trust Account that will be available to fund the redemption of the Public Shares. In the event of such distribution, it is possible that the per share value of the assets remaining available for distribution will be less than the Initial Public Offering price per Unit ($<span id="xdx_900_eus-gaap--SharePrice_iI_pid_uUSDPShares_c20230831__srt--RangeAxis__srt--MaximumMember_z7qEypAxbB2h">10.00</span>).</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">In order to protect the amounts held in the Trust Account, the Sponsor has agreed to be liable to the Company if and to the extent any claims by a third party for services rendered or products sold to the Company, or a prospective target business with which the Company has discussed entering into a transaction agreement, reduce the amount of funds in the Trust Account to below (i) $<span id="xdx_90E_eus-gaap--SharePrice_iI_c20230831__srt--RangeAxis__srt--MaximumMember_zem9xRoSWd2c">10.00</span> per Public Share or (ii) such lesser amount per Public Share held in the Trust Account as of the date of the liquidation of the Trust Account, if less than $<span id="xdx_909_eus-gaap--SharePrice_iI_pid_c20230831__srt--RangeAxis__srt--MinimumMember_zIKVxQ7jqgIl" title="Share price">10.00</span> per Public Share due to reductions in the value of the trust assets, in each case net of the amount of interest which may be withdrawn to pay taxes, except as to any claims by a third party who executed a waiver of any and all rights to seek access to the Trust Account and except as to any claims under the Company’s indemnity of the underwriters of the Initial Public Offering against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the “Securities Act”). Moreover, in the event that an executed waiver is deemed to be unenforceable against a third party, the Sponsor will not be responsible to the extent of any liability for such third-party claims. The Company will seek to reduce the possibility that the Sponsor will have to indemnify the Trust Account due to claims of creditors by endeavoring to have all vendors, service providers (except for the Company’s independent registered accounting firm), prospective target businesses and other entities with which the Company does business, execute agreements with the Company waiving any right, title, interest or claim of any kind in or to monies held in the Trust Account.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">On May 1, 2023, the Company amended the Investment Management Trust Agreement (the “Trust Agreement”) with Wilmington Trust, National Association, a national banking association (“Wilmington Trust”), which was entered into on January 31, 2022 and on May 2, 2023 the Company filed an Amendment to the Amended and Restated Certificate of Incorporation. The Trust Agreement and Amended and Restated Certificate of Incorporation are now amended, in part, so that the Company’s ability to complete a business combination may be extended in additional increments of one month up to a total of twenty-one (21) additional months from the closing date of the Offering, subject to the payment into the trust account by the Company of one-third of 1% of the funds remaining in the trust account following any redemptions in connection with the approval of the amendment to the Company’s Amended and Restated Certificate of Incorporation.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">In connection with the Special Meeting on May 1, 2023, Class A Common Stock stockholders redeemed <span id="xdx_90F_ecustom--CommonStockExcludingRedemptionShares_iI_pid_c20230501__us-gaap--StatementClassOfStockAxis__us-gaap--CommonClassAMember_zVCaZCCyzLr7" title="Common stock excluding redemption, shares">6,648,964</span> shares for approximately $<span id="xdx_904_eus-gaap--CommonStockHeldInTrust_iI_pn5n6_c20230501__us-gaap--StatementClassOfStockAxis__us-gaap--CommonClassAMember_zNgWhDvlrMMj" title="Common stock held in trust">68.4</span> million held in the Trust Account.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">During the nine months ended August 31, 2023, the Company withdrew $<span id="xdx_903_ecustom--CashWithdrawnFromTrustAccountForTaxes_c20221201__20230831_zOOqnc9yhKWl" title="Cash withdrawn from Trust Account for taxes">919,547</span> from the Trust account. $<span id="xdx_90E_ecustom--TrustAccountFundToPayIncomeAndFranchiseTaxes_c20221201__20230831_zyvl5YoLWS67" title="Funds used to pay income and franchise taxes">616,490</span> of these funds were used to pay income and franchise taxes. $<span id="xdx_90A_ecustom--TrustAccountFundHeldInBankForFutureTaxesAndDissolutionExpenses_c20221201__20230831_z0uYzc3Hoaa7" title="Fund held in bank account for future taxes and dissolution expenses">303,057</span> remain in the Company’s bank account for future taxes and dissolution expenses.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"><b><i>Going Concern and Management’s Plan</i></b></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The Company expects to incur significant costs in pursuit of its acquisition plans and will not generate any operating revenues until after the completion of its initial business combination, at the earliest. In addition, the Company expects to have negative cash flows from operations as it pursues an initial business combination target. In connection with the Company’s assessment of going concern considerations in accordance with Accounting Standards Update (“ASU”) 2014-15, “Disclosures of Uncertainties about an Entity’s Ability to Continue as a Going Concern” the Company does not currently have adequate liquidity to sustain operations, which consist solely of pursuing a Business Combination.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The Company may raise additional capital through loans or additional investments from the Sponsor or its stockholders, officers, directors, or third parties. The Company’s officers and directors and the Sponsor may, but are not obligated to (except as described above), loan the Company funds, from time to time, in whatever amount they deem reasonable in their sole discretion, to meet the Company’s working capital needs. Based on the foregoing, the Company believes it will have sufficient cash to meet its needs through the earlier of consummation of a Business Combination or the deadline to complete a Business Combination pursuant to the Company’s Amended and Restated Certificate of Incorporation (unless otherwise amended by shareholders).</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">While the Company expects to have sufficient access to additional sources of capital if necessary, there is no current commitment on the part of any financing source to provide additional capital and no assurances can be provided that such additional capital will ultimately be available. These conditions raise substantial doubt about the Company’s ability to continue as a going concern for a period of time within one year after the date that the financial statements are issued. There is no assurance that the Company’s plans to raise additional capital (to the extent ultimately necessary) or to consummate a Business Combination will be successful or successful within the Combination Period. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">As is customary for a special purpose acquisition company, if the Company is not able to consummate a Business Combination during the Combination Period, it will cease all operations and redeem the Public Shares. Management plans to continue its efforts to consummate a Business Combination during the Combination Period.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"><b><i>Risks and Uncertainties</i></b></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">Management is currently evaluating the impact of the COVID-19 pandemic and has concluded that while it is reasonably possible that the economic effects of the pandemic could have a negative effect on the Company’s financial position, results of its operations and/or search for a target company, the specific impact is not readily determinable as of the date of these financial statements. The balance sheet does not include any adjustments that might result from the outcome of this uncertainty.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p>
CY2023Q3 ACAX Percentage Of Aggregate Fair Market Value Of Asset
PercentageOfAggregateFairMarketValueOfAsset
0.80 pure
ACAX Term Of Restricted Investments
TermOfRestrictedInvestments
P185D
CY2023Q3 us-gaap Shares Issued Price Per Share
SharesIssuedPricePerShare
10.10
ACAX Aggregate Percentage Of Public Shares
AggregatePercentageOfPublicShares
0.15 pure
ACAX Business Combination Percentage Of Public Share
BusinessCombinationPercentageOfPublicShare
1 pure
ACAX Interest On Dissolution Expenses
InterestOnDissolutionExpenses
100000 usd
ACAX Cash Withdrawn From Trust Account For Taxes
CashWithdrawnFromTrustAccountForTaxes
919547 usd
ACAX Trust Account Fund To Pay Income And Franchise Taxes
TrustAccountFundToPayIncomeAndFranchiseTaxes
616490 usd
ACAX Trust Account Fund Held In Bank For Future Taxes And Dissolution Expenses
TrustAccountFundHeldInBankForFutureTaxesAndDissolutionExpenses
303057 usd
CY2023Q3 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
1000000 shares
CY2022Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
1000000 shares
CY2023Q3 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.0001
CY2022Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.0001
CY2023Q3 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2022Q4 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
us-gaap Use Of Estimates
UseOfEstimates
<p id="xdx_84F_eus-gaap--UseOfEstimates_zTJ7s3Tnt2m8" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"><b><i><span id="xdx_864_zEzVnnokPvli">Use of Estimates</span></i></b></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">The preparation of the financial statements in conformity with US GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the balance sheet.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the balance sheet, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ significantly from those estimates.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p>
CY2023Q3 us-gaap Cash
Cash
812293 usd
CY2022Q4 us-gaap Cash
Cash
1172581 usd
CY2023Q3 us-gaap Cash Equivalents At Carrying Value
CashEquivalentsAtCarryingValue
0 usd
CY2022Q4 us-gaap Cash Equivalents At Carrying Value
CashEquivalentsAtCarryingValue
0 usd
CY2023Q3 us-gaap Assets Held In Trust Noncurrent
AssetsHeldInTrustNoncurrent
21000000.0 usd
CY2022Q4 us-gaap Assets Held In Trust Noncurrent
AssetsHeldInTrustNoncurrent
88100000 usd
CY2023Q3 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2022Q4 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2023Q3 us-gaap Class Of Warrant Or Right Exercise Price Of Warrants Or Rights1
ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1
0.01
ACAX Underwriter Discount
UnderwriterDiscount
4743750 usd
CY2023Q3 us-gaap Shares Subject To Mandatory Redemption Settlement Terms Amount
SharesSubjectToMandatoryRedemptionSettlementTermsAmount
20382965 usd
CY2022Q4 us-gaap Shares Subject To Mandatory Redemption Settlement Terms Amount
SharesSubjectToMandatoryRedemptionSettlementTermsAmount
87934212 usd
CY2023Q3 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0.34 pure
us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0.32 pure
CY2022Q3 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0 pure
us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0 pure
ACAX Excise Tax Rate
ExciseTaxRate
0.01 pure
ACAX Corporate Alternative Minimum Tax
CorporateAlternativeMinimumTax
0.15 pure
us-gaap Concentration Risk Credit Risk
ConcentrationRiskCreditRisk
<p id="xdx_844_eus-gaap--ConcentrationRiskCreditRisk_z7BJZkcQsly4" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"><b><i><span id="xdx_864_zxSjUAGjH5I2">Concentration of Credit Risk</span></i></b></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt">Financial instruments that potentially subject the Company to concentrations of credit risk consist of a cash account in a financial institution, which, at times, may exceed the Federal Depository Insurance Coverage of $<span id="xdx_900_eus-gaap--CashFDICInsuredAmount_iI_c20230831_zFxgKJPBTh56" title="Federal deposit insurance corporation">250,000</span>. The Company has not experienced losses on this account.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify; text-indent: 0.5in"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt"> </span></p>
CY2023Q3 us-gaap Cash Fdic Insured Amount
CashFDICInsuredAmount
250000 usd
CY2023Q3 us-gaap Convertible Notes Payable Current
ConvertibleNotesPayableCurrent
0 usd
CY2022Q4 us-gaap Convertible Notes Payable Current
ConvertibleNotesPayableCurrent
0 usd
CY2023Q3 us-gaap Administrative Fees Expense
AdministrativeFeesExpense
30000 usd
us-gaap Administrative Fees Expense
AdministrativeFeesExpense
90000 usd
CY2022Q3 us-gaap Administrative Fees Expense
AdministrativeFeesExpense
30000 usd
us-gaap Administrative Fees Expense
AdministrativeFeesExpense
70000 usd
CY2023Q3 us-gaap Share Price
SharePrice
10.00
CY2023Q2 us-gaap Loans Payable
LoansPayable
68928 usd
CY2023Q3 us-gaap Loans Payable
LoansPayable
69158 usd
CY2023Q3 us-gaap Loans Payable
LoansPayable
205305 usd

Files In Submission

Name View Source Status
0001493152-23-037349-index-headers.html Edgar Link pending
0001493152-23-037349-index.html Edgar Link pending
0001493152-23-037349.txt Edgar Link pending
0001493152-23-037349-xbrl.zip Edgar Link pending
acax-20230831.xsd Edgar Link pending
ex31-1.htm Edgar Link pending
ex31-2.htm Edgar Link pending
ex32-1.htm Edgar Link pending
ex32-2.htm Edgar Link pending
Financial_Report.xlsx Edgar Link pending
form10-q.htm Edgar Link pending
MetaLinks.json Edgar Link pending
R1.htm Edgar Link pending
R10.htm Edgar Link pending
R11.htm Edgar Link pending
R12.htm Edgar Link pending
R13.htm Edgar Link pending
R14.htm Edgar Link pending
R15.htm Edgar Link pending
R16.htm Edgar Link pending
R17.htm Edgar Link pending
R18.htm Edgar Link pending
R19.htm Edgar Link pending
R2.htm Edgar Link pending
R20.htm Edgar Link pending
R21.htm Edgar Link pending
R22.htm Edgar Link pending
R23.htm Edgar Link pending
R24.htm Edgar Link pending
R3.htm Edgar Link pending
R4.htm Edgar Link pending
R5.htm Edgar Link pending
R6.htm Edgar Link pending
acax-20230831_pre.xml Edgar Link unprocessable
acax-20230831_lab.xml Edgar Link unprocessable
FilingSummary.xml Edgar Link unprocessable
acax-20230831_def.xml Edgar Link unprocessable
acax-20230831_cal.xml Edgar Link unprocessable
form10-q_htm.xml Edgar Link completed
R7.htm Edgar Link pending
R8.htm Edgar Link pending
R9.htm Edgar Link pending
report.css Edgar Link pending
Show.js Edgar Link pending