Company: IPCX
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076625
Chunk: 18

Company: Inflection Point Acquisition Corp. III
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 carrying
value of redeemable shares will result in charges against additional paid-in capital (to the extent available) and accumulated deficit.
Accordingly, as of June 30, 2025, Class A ordinary shares subject to possible redemption are presented at redemption value as temporary
equity, outside of the shareholders’ deficit section of the Company’s balance sheet. As of June 30, 2025, the Class A ordinary
shares subject to possible redemption reflected in the balance sheet are reconciled in the following table:

    Gross proceeds 
    $  253,000,000 
  
    Less: 

    Proceeds allocated to Public Rights 
     (7,369,890)
  
    Class A ordinary shares issuance cost 
     (16,778,066)
  
    Plus: 

    Accretion of carrying value to redemption value 
     25,729,718 
  
    Class A Ordinary Shares subject to possible redemption, June 30, 2025 
    $254,581,762 

Share-based compensation

The Company records share-based compensation
in accordance with FASB ASC Topic 718, “Compensation-Share Compensation” (“ASC 718”), guidance to account for
its share-based compensation. It defines a fair value-based method of accounting for an employee share option or similar equity instrument.
The Company recognizes all forms of share-based payments at their fair value on the grant date, which are based on the estimated number
of awards that are ultimately expected to vest. Share-based payments are valued using a Probability Weighted Expected Return Method (“PWERM
Model”). Grants of share-based payment awards issued to non-employees for services rendered have been recorded at the fair value
of the share-based payment, which is the more readily determinable value. The grants are amortized on a straight-line basis over the
requisite service periods, which is generally the vesting period. If an award is granted, but vesting does not occur, any previously
recognized compensation cost is reversed in the period related to the termination of service. Share-based compensation expenses are included
in costs and operating expenses depending on the nature of the services provided in the statements of operations.

Net Income (Loss) per Ordinary Share

Net income per share is computed by dividing
net income by the weighted average number of ordinary shares outstanding for the period. The calculation of diluted income per share
does not consider the effect of the rights issued in connection with the Initial Public Offering and rights issued as