Company: HVIIR
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010497
Chunk: 57

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 57
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 treatment at its assigned values.

Class A Ordinary Shares Subject to Possible Redemption

The public shares contain
a redemption feature which allows for the redemption of such public shares in connection with the Company’s liquidation, or if there
is a shareholder vote or tender offer in connection with the Company’s Business Combination. In accordance with ASC 480-10-S99,
the Company classifies public shares subject to redemption outside of permanent equity as the redemption provisions are not solely within
the control of the Company. The Company recognizes changes in redemption value immediately as they occur and will adjust the carrying
value of redeemable shares to equal the redemption value at the end of each reporting period. Immediately upon the closing of the Initial
Public Offering, the Company recognized the accretion from initial book value to redemption value. The change in the carrying value of
redeemable shares will result in charges against additional paid-in capital (to the extent available) and accumulated deficit. Accordingly,
as of March 31, 2025, Class A ordinary shares subject to possible redemption are presented at redemption value as temporary equity, outside
of the shareholders’ deficit section of the Company’s balance sheet. As of December 31, 2024, there were no Class A ordinary
shares subject to possible redemption. As of March 31, 2025, the Class A ordinary shares subject to possible redemption reflected in the
balance sheet are reconciled in the following table:

 SCHEDULE OF CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION

    Gross proceeds 
    $190,000,000 
  
    Less: 

    Proceeds allocated to Share Rights 
     (1,577,000)
  
    Class A ordinary shares issuance costs 
     (12,508,055)
  
    Plus: 

    Remeasurement of carrying value to redemption value 
     15,504,819 
  
    Class A ordinary shares subject to possible redemption, March 31, 2025 
    $191,419,764 

Net Income Per Ordinary Share

Net income per ordinary
share is computed by dividing net income by the weighted average number of ordinary shares outstanding during the period, excluding ordinary
shares subject to forfeiture, through the date of the Initial Public Offering. At March 31, 2025, the Company did not have any dilutive
securities and other contracts that could, potentially, be exercised or converted into ordinary shares and then share in the earnings
of the Company. As a result