Company: TBMC
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001213900-25-075720
Chunk: 19

Company: Trailblazer Merger Corp I
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 19
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 as part of the Units in the Initial Public Offering were issued with other freestanding instruments
(i.e., Public Rights) and as such, the initial carrying value of Public Shares classified as temporary equity are the allocated proceeds
determined in accordance with ASC 470-20. The Company recognizes changes in redemption value immediately as it occurs 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 amount value. The change in
the carrying value of redeemable shares will result in charges against additional paid-in capital and accumulated deficit. Accordingly,
at June 30, 2025 and December 31, 2024, Class A common stock subject to possible redemption is presented at redemption value as temporary
equity, outside of the stockholders’ deficit section of the Company’s condensed consolidated balance sheets.

10

At June 30, 2025 and December 31, 2024, the Class A
common stock subject to possible redemption reflected in the balance sheet are reconciled in the following table:

    Gross proceeds 
    $69,000,000 
  
    Less: 

    Proceeds allocated to Public Rights 
     (745,200)
  
    Class A common stock issuance costs 
     (3,882,029)
  
    Redemption of Class A common stock 
     (49,774,936)
  
    Plus: 

    Remeasurement of carrying value to redemption value 
     12,036,317 
  
    Class A Common Stock subject to possible redemption, December 31, 2024 
    $26,634,152 
  
    Plus: 

    Remeasurement of carrying value to redemption value 
     808,809 
  
    Class A Common Stock subject to possible redemption, June 30, 2025 
    $27,442,961 

Income Taxes

The Company accounts for income taxes under ASC
740, “Income Taxes.” ASC 740, Income Taxes, requires the recognition of deferred tax assets and liabilities for both the expected
impact of differences between the condensed consolidated financial statements and tax basis of assets and liabilities and for the expected
future tax benefit to be derived from tax loss and tax credit carry forwards. ASC 740 additionally requires a valuation allowance to be
established when it is more likely than not that all or a