Company: IPCX
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-111009
Chunk: 24

Company: Inflection Point Acquisition Corp. III
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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13

INFLECTION POINT ACQUISITION CORP. III

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2025

(Unaudited)

Liquidity and Capital Resources

As of September 30, 2025, the Company had cash
and cash equivalents of $1,270,446. The Company intends to use the funds held outside the Trust Account primarily to identify and evaluate
target businesses, perform business due diligence on prospective target businesses, travel to and from the offices, plants or similar
locations of prospective target businesses or their representatives or owners, review corporate documents and material agreements of prospective
target businesses, and structure, negotiate and complete a Business Combination. 

In order to fund working capital deficiencies
or finance transaction costs in connection with a Business Combination, the Sponsor, or certain of our officers and directors or their
affiliates may, but are not obligated to, loan us funds as may be required (“Working Capital Loans”). If the Company completes
a Business Combination, the Company would repay such loaned amounts. In the event that a Business Combination does not close, the Company
may use a portion of the working capital held outside the Trust Account to repay such loaned amounts but no proceeds from our Trust Account
would be used for such repayment. Up to $1,500,000 of such loans may be convertible into Private Placement Units at a price of $10.00
per Unit at the option of the lender. As of September 30, 2025, no such Working Capital Loans were outstanding.

The Company does not believe it will need to raise
additional funds in order to meet the expenditures required for operating its business. However, if the Company’s estimate of the
costs of identifying a target business, undertaking in-depth due diligence and negotiating a Business Combination are less than the actual
amount necessary to do so, the Company may have insufficient funds available to operate our business prior to its Business Combination.
Moreover, the Company may need to obtain additional financing either to complete its Business Combination or because the Company becomes
obligated to redeem a significant number of its Public Shares upon consummation of its Business Combination, in which case the Company
may issue additional securities or incur debt in connection with such Business Combination.

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The accompanying unaudited condensed consolidated
financial statements have been prepared in accordance with accounting