Company: PAII-WT
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110840
Chunk: 89

Company: Pyrophyte Acquisition Corp. II
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 2
Chunk 89
---
, officers and directors have entered
into a letter agreement with the Company, pursuant to which they have agreed to waive their rights to liquidating distributions from the
trust account with respect to their founder shares if the Company fails to complete its initial business combination within 24 months
from the closing of the initial public offering. However, if the sponsor or management team acquire public shares in or after the initial
public offering, they will be entitled to liquidating distributions from the trust account with respect to such public shares if the Company
fails to complete its initial business combination within the prescribed time period.

Results of Operations

We have neither engaged in any operations nor generated any revenues
to date. Our only activities from May 1, 2025 (inception) through September 30, 2025 were organizational activities, those necessary to
prepare for the initial public offering, described below, and subsequent to the initial public offering, the Company’s search for
a target business with which to complete an initial business combination. We do not expect to generate any operating revenues until after
the completion of our initial business combination, at the earliest. Following the initial public offering, we will generate non-operating
income in the form of interest income on marketable securities. We are incurring expenses as a result of being a public company (for legal,
financial reporting, accounting and auditing compliance), as well as for due diligence expenses in connection with completing an initial
business combination.

For the three months ended September 30, 2025, we reported net income
of $1,437,769 which consisted of interest on cash held in Trust Account of $1,632,757, interest income of $116, offset by general and
administrative expenses of $195,104.

For the period from May 1, 2025 (inception) through September 30, 2025,
we reported net income of $1,335,769 which consisted of interest on cash held in Trust Account of $1,632,757, interest income of $116,
offset by general and administrative expenses of $297,104.

Liquidity and Capital Resources

As of September 30, 2025, the Company had a cash balance of $721,227.
The consummation of the initial public offering, the Company’s liquidity needs are satisfied through using net proceeds from the
initial public offering and sale of Private Placement Warrants for existing accounts payable, identifying and evaluating prospective acquisition
candidates, performing business due diligence on prospective