Based on the provided financial report, the title of the article is: "HORIZON SPACE ACQUISITION I CORP. FORM 10-Q FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2025
Horizon Space Acquisition I Corp. (HSPO) filed its quarterly report for the period ended March 31, 2025. The company reported a net loss of $1.4 million, or $0.34 per share, compared to a net loss of $1.1 million, or $0.27 per share, for the same period last year. As of March 31, 2025, HSPO had cash and cash equivalents of $4.2 million and total assets of $4.3 million. The company’s ordinary shares, redeemable warrants, and rights are listed on the Nasdaq Stock Market LLC under the symbols HSPO, HSPOW, and HSPOR, respectively. HSPO is a blank check company 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.
Overview
Horizon Space Acquisition I Corp. (HSPO) is a blank check company formed in the Cayman Islands on June 14, 2022. The company’s purpose is to identify and complete a merger, share exchange, asset acquisition, share purchase, recapitalization, reorganization or other similar business combination with one or more businesses.
HSPO completed its initial public offering (IPO) on December 27, 2022, raising $69 million by selling 6.9 million units at $10 per unit. Each unit consists of one ordinary share, one redeemable warrant, and one right. Concurrently, the company completed a private placement of 385,750 units to its sponsor for $3.86 million.
Financial Performance
HSPO has not generated any revenue to date, as it has been focused on identifying and evaluating potential acquisition targets. For the three months ended March 31, 2025, the company reported net income of $71,454, which consisted of $224,752 in interest and dividend income on investments held in the trust account, offset by $153,298 in operating costs.
In the prior year period, HSPO had net income of $733,464, which included $881,123 in interest and dividend income, offset by $147,659 in operating costs.
Liquidity and Capital Resources
As of March 31, 2025, HSPO had $50,808 in cash available for working capital needs. The remaining $21.9 million is held in a trust account and is generally unavailable for the company’s use prior to a business combination.
The company intends to use the net proceeds from the IPO and private placement to acquire a target business. If the funds available outside the trust account are insufficient, HSPO may need to obtain additional financing to complete a business combination.
HSPO’s management has determined that the company’s current financial condition raises substantial doubt about its ability to continue as a going concern. The company plans to address this by obtaining loans from its sponsor, officers, directors or affiliates.
Recent Developments
HSPO has extended the deadline to complete its initial business combination from the original December 27, 2024 date to May 27, 2025. The company has issued four unsecured promissory notes totaling $480,000 to Squirrel Enlivened (Hong Kong) Technology Limited to fund these extensions.
Additionally, on February 5, 2025, HSPO issued a $300,000 unsecured promissory note to its sponsor for general working capital purposes. The sponsor note can be converted into private units of the company upon completion of a business combination.
Outlook
HSPO continues to search for a suitable target business to acquire. If the company is unable to complete a business combination by the May 27, 2025 deadline, its board of directors would proceed to commence a voluntary liquidation and dissolution.
The company’s ability to continue as a going concern is dependent on its success in identifying and completing a business combination within the required timeframe. HSPO’s management remains focused on this goal but acknowledges the substantial doubt about the company’s future.
