Company: AAM-UN
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001213900-25-107616
Chunk: 177

Company: AA Mission Acquisition Corp.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part II, Item 8
Chunk 177
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 unrecognized tax benefits and
no amounts accrued for interest and penalties as of September 30, 2025 and December 31, 2024. The Company is currently not aware of any
issues under review that could result in significant payments, accruals, or material deviation from its position.

There is currently no taxation imposed on income by the Government
of the Cayman Islands. In accordance with Cayman income tax regulations, income taxes are not levied on the Company. Consequently, income
taxes are not reflected in the Company’s condensed financial statements.

F-11

Ordinary Shares Subject to Possible Redemption

The Company accounts for its ordinary shares subject to possible redemption
in accordance with the guidance in Accounting Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from
Equity.” Ordinary shares subject to mandatory redemption (if any) is classified as a liability instrument and is measured at fair
value. Conditionally redeemable ordinary shares (including ordinary shares that features redemption rights that are either within the
control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control)
is classified as temporary equity. At all other times, ordinary shares are classified as shareholders’ equity. The Company’s
ordinary shares features certain redemption rights that are considered to be outside of the Company’s control and subject to occurrence
of uncertain future events. Accordingly, ordinary shares subject to possible redemption are presented at redemption value as temporary
equity, outside of the shareholders’ equity section of the Company’s balance sheet. The Company recognizes changes in redemption
value immediately as they occur and adjusts the carrying value of redeemable ordinary shares to equal the redemption value at the end
of each reporting period. Increases or decreases in the carrying amount of redeemable ordinary shares are affected by charges against
additional paid in capital and accumulated deficit.

As of September 30, 2025, the ordinary shares subject to possible redemption
reflected in the balance sheet are reconciled in the following table:

    Public offering proceeds 
    $300,000,000 
  
    Less: 

    Proceeds allocated to Public Warrants 
     (21,300,000)
  
    Allocation of offering costs related to redeemable shares 
     (11,700,113)
  
    Plus: 

    Accretion of carrying value to redemption value 
     34,500,113 
  
    Ordinary shares subject to possible redemption 
    $301,500,000 

    Over