Company: DMAAR
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076681
Chunk: 65

Company: Drugs Made In America Acquisition Corp.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 65
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     2,420,498 
  
    Ordinary shares subject to possible redemption, June 30, 2025 
     23,000,000  
    $235,155,966 

Derivative Financial Instruments

The Company evaluates its financial
instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives in accordance with
ASC Topic 815, “Derivatives and Hedging”. For derivative financial instruments that are accounted for as liabilities,
the derivative instrument is initially recorded at its fair value on the grant date and is then re-valued at each reporting date, with
changes in the fair value reported in the statement of operations. The classification of derivative instruments, including whether such
instruments should be recorded as liabilities or as equity, is evaluated at the end of each reporting period. Derivative liabilities are
classified in the unaudited 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 unaudited balance sheets date. The underwriters’ over-allotment option
is deemed to be a freestanding financial instrument indexed on the contingently redeemable shares and was accounted for as a liability
pursuant to ASC 480 since it was not exercised at the time of the Initial Public Offering.

10

DRUGS MADE IN AMERICA ACQUISITION CORP.

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 2025

(Unaudited)

Net Income (Loss) Per Ordinary
Share

The Company complies with accounting and disclosure
requirements of FASB ASC Topic 260, “Earnings Per Share.” The Company has two classes of ordinary shares, which are referred
to as redeemable ordinary shares and non-redeemable ordinary shares. Income and losses are shared pro rata between the two classes of
ordinary shares. This presentation assumes a Business Combination as the most likely outcome. Net income (loss) per ordinary share is
calculated by dividing the net income (loss) by the weighted average ordinary shares outstanding for the respective period.

The calculation of diluted net income (loss) per
ordinary share does not consider the effect of the rights issued in connection with the Initial Public Offering and the private placement
of the Private Placement Units to receive an aggregate of 2,928,750 ordinary shares in the calculation of diluted income (loss) per ordinary
share, because their issuance is contingent upon future