Company: COPL-UN
Filing Date: 2025-06-13
Form Type: 10-Q
Source: 0001829126-25-004483
Chunk: 30

Company: Copley Acquisition Corp
Filing Date: 2025-06-13
Form: 10-Q
Item: Part I, Item 1
Chunk 30
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 directors’ and officers’ insurance and $15,001 for general working capital that will be used for miscellaneous expenses and reserves, net of estimated interest income.

These amounts are estimates and may differ materially from our actual expenses. If our available funds are not sufficient, we may be unable to continue searching for, or conducting due diligence with respect to, prospective target businesses.

Moreover, if our estimates of the costs of identifying
a target business, undertaking in-depth due diligence and negotiating an initial business combination are less than the actual amount
necessary to do so, we may have insufficient funds available to operate our business prior to our initial business combination. Moreover,
we may need to obtain additional financing either to complete our initial business combination or because we become obligated to redeem
a significant number of our public shares upon completion of our initial business combination, in which case we may issue additional securities
or incur debt in connection with such business combination.

Going Concern Consideration

As of March 31, 2025, the Company had a working
capital deficit of $537,214. Although the Company successfully closed its Initial Public Offering on May 2, 2025, the proceeds available
outside of the trust account are insufficient to provide sufficient liquidity to fund ongoing operations. The Company has incurred and
expects to continue to incur significant costs as a publicly traded company, to evaluate business opportunities, and to close on a business
combination. Such costs will be incurred prior to generating any operating revenues. In connection with the Company’s assessment
of going concern considerations in accordance with ASC 205-40, “Presentation of Financial Statements—Going Concern,”
management had determined that the Company lacks the financial resources it needs to sustain operations for a reasonable period of time,
which is considered to be one year from the date of the issuance of the condensed financial statements. These conditions raise substantial
doubt about the Company’s ability to continue as a going concern.

To address this uncertainty, the Company is currently
evaluating several options to improve its liquidity position. These include raising additional capital through loans or additional investments
from its Sponsor, shareholders, officers, directors, or third parties. The Company’s officers, directors, and Sponsor may, but are
not obligated to, provide working capital loans to the Company in such amounts and on such terms as they may determine in their sole discretion.
However, there is no assurance that the Company will be able to obtain such additional financing on commercially acceptable terms, if
at all.

If the Company is unable to secure additional