Company: FTII
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001641172-25-011790
Chunk: 12

Company: FutureTech II Acquisition Corp.
Filing Date: 2025-05-20
Form: 10-Q
Item: Item 8
Chunk 12
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 date and re-valued at
each reporting date, with changes in the fair value reported in the unaudited condensed statements of operations. Derivative assets and
liabilities are classified in the unaudited condensed balance sheets as current or non-current based on whether or not net-cash settlement
or conversion of the instrument could be required within 12 months of the balance sheet date. The Company accounts for the warrants in
accordance with the guidance contained in ASC 815-40. The Company has determined that the warrants qualify for equity treatment in the
Company’s unaudited condensed financial statements.

Cash and Cash Equivalents

The Company considers all
highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Cash equivalents are carried
at cost, which approximates fair value. As of March 31, 2025 and December 31, 2024, the Company had cash of $130,580 and $56,768, respectively.
The Company had no cash equivalents as of March 31, 2025 and December 31, 2024.

Trust Account

Upon the closing of the Initial
Public Offering and the Private Placement, $117,300,000 ($10.00 per Unit) of the net proceeds of the Initial Public Offering and certain
of the proceeds of the Private Placement Units was held in the Trust Account located in the United States with Continental Stock Transfer
& Trust Company acting as trustee, and invested only in U.S. government treasury obligations with a maturity of 185 days or less or
in money market funds meeting certain conditions under Rule 2a-7 under the Investment Company Act, which will be invested only in direct
U.S. government treasury obligations, as determined by the Company, until the earlier of: (i) the completion of a Business Combination
and (ii) the distribution of the Trust Account as described above. To mitigate the risk that we might be deemed to be an investment company
for purposes of the Investment Company Act, following the 24-month anniversary of the effective date of the registration statement relating
to the Company’s Initial Public Offering, the Company has instructed Continental Stock Transfer & Trust Company, the trustee
with respect to the Trust Account, to liquidate the U.S. government treasury obligations or money market funds held in the Trust Account
and thereafter to hold all funds in the Trust Account in an interest bearing bank demand deposit account until the earlier of consummation
of an initial business combination or liquid