Company: NOEMW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001013762-25-004368
Chunk: 348

Company: CO2 Energy Transition Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 348
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 22, 2024, simultaneously with
the closing of the Initial Public Offering, the underwriters elected to fully exercise the over-allotment option to purchase an additional
900,000 units at a price of $10.00 per Unit.

The underwriters were entitled
to a cash underwriting discount of 0.75% of the gross proceeds of the Initial Public Offering, or $517,500, which was paid upon the closing
of the Initial Public Offering, together with 138,000 shares of our common stock. Additionally, the underwriters were entitled to a deferred
underwriting discount of 3.00% of the gross proceeds of the Initial Public Offering, or $2,070,000, payable upon the closing of an initial
business combination from the amounts held in the trust account.

Results of Operations

We have neither engaged
in any operations nor generated any revenues to date. Our only activities from September 30, 2021 (inception) through December 31,
2024, were organizational activities, those necessary to prepare for the Initial Public Offering, described below. We do not expect to
generate any operating revenues until after the completion of our Business Combination. We generate non-operating income in the form
of interest income on marketable securities held in the Trust Account. We incur expenses as a result of being a public company (for legal,
financial reporting, accounting and auditing compliance), as well as for due diligence expenses.

For the year ended December 31,
2024, we had net income of $2,632, which consists of interest income on investments held in the trust account of $310,897, offset by
operating costs of $246,139, provision for income taxes of $61,039 and interest expense of $1,087.

For the year ended December 31,
2023, we had a net loss of $184,365, which consists of general and administrative expense.

64

Critical Accounting Estimates 

The preparation of financial
statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets
and liabilities at the date of the financial statements, and income and expenses during the periods reported. 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 financial statements, which management