Company: CERO
Filing Date: 2025-02-05
Form Type: S-1/A
Source: 0001213900-25-010230
Chunk: 346

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-02-05
Form: S-1/A
Chunk 346
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 | % |
| Valuation allowance                     |     |     |       (17.33 | )% |     |     |        852.7 | % |
| Income tax provision (benefit)          |     |     |         3.67 | %  |     |     |        873.7 | % |

Class A Common Stock Subject to Possible Redemption

The Company accounts for
its Class A common stock subject to possible redemption in accordance with the guidance in ASC 480. Shares of Class A common
stock subject to mandatory redemption (if any) are classified as a liability instrument and are measured at fair value. Conditionally
redeemable Class A common stock (including Class A common stock that features redemption rights that are 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, Class A common stock is classified as stockholders’ equity. The Company’s Class A
common stock features certain redemption rights that are considered to be outside of the Company’s control and subject to occurrence
of uncertain future events. Accordingly, at December 31, 2023 and 2022, and shares of Class A common stock subject
to possible redemption are presented as temporary equity, outside of the stockholders’ deficit section of the Company’s balance
sheets.

The Company recognizes changes
in redemption value immediately as they occur and adjusts the carrying value of redeemable Class A common stock to equal the redemption
value at the end of each reporting period. Increases or decreases in the carrying amount of redeemable common stock are affected by charges
against additional paid in capital and accumulated deficit.

| Class A common stock subject to possible redemption, December 31, 2021 |     | $ |  178,500,000 |   |
| Plus: Accretion of carrying value to redemption value                  |     |   |    2,662,553 |   |
| Less: redemption of shares                                             |     |   | (167,693,708 | ) |
| Class A common stock subject to possible redemption, December 31, 2022 |     | $ |   13,468,845 |   |
| Less: Redemption                                                       |     |   |   (5,638,880 | ) |
| Plus: Accretion of carrying value to redemption value                  |     |   |      606,346 |   |
| Class A common stock subject