Company: PCAP
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001213900-25-108209
Chunk: 34

Company: ProCap Acquisition Corp
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 1
Chunk 34
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ment option liability of $21,211, offset by general and administrative costs of $337,950.

Liquidity and Capital Resources

Until the consummation of the Initial Public Offering,
our only source of liquidity was an initial purchase of shares of Class B ordinary shares, par value $0.0001 per share, by the Sponsor
and loans from the Sponsor.

On May 22, 2025, we consummated the Initial Public
Offering of 25,000,000 Units, which includes the partial exercise by the underwriters of their over-allotment option in the amount of
3,000,000 Units, at $10.00 per Unit, generating gross proceeds of $250,000,000. Simultaneously with the closing of the Initial Public
Offering, we consummated the sale of 430,000 Private Placement Units at a price of $10.00 per Private Placement Unit, in a private placement
to the Sponsor, generating gross proceeds of $4,300,000.

18

Following the closing of the Initial Public Offering
and the private placement, a total of $250,000,000 was placed in the Trust Account. We incurred $14,026,609 in fees, consisting of $2,200,000
of cash underwriting fee, $11,250,000 of deferred underwriting fee, and $576,609 of other offering costs.

For the period from January 2, 2025 (inception)
through September 30, 2025, cash used in operating activities was $347,267. The net income of $3,390,355 was affected by the following
non-cash and working capital items: interest income of $3,707,094 on cash held in the Trust Account, a $35,000 adjustment to accrued offering
costs, and a $21,211 change in the fair value of the over-allotment option liability. These were partially offset by $80,895 in general
and administrative expenses paid through the promissory note – related party. Additionally, changes in operating assets and liabilities
used $55,212 in cash for operating activities.

We intend to use substantially all of the funds
held in the Trust Account, including any amounts representing interest earned on the Trust Account (less income taxes payable), to complete
our Business Combination. To the extent that our share capital or debt is used, in whole or in part, as consideration to complete our
Business