Company: EMCRF
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024827
Chunk: 21

Company: Embrace Change Acquisition Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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 of this action and related sanctions on the world economy and the specific impact
on the Company’s financial position, results of operations and/or ability to consummate a Business Combination are not yet determinable.
The unaudited interim consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

NOTE
3. INITIAL PUBLIC OFFERING

On
August 12, 2022, the Company consummated its Initial Public Offering of 7,392,855 Units (including the issuance of 892,855 Units as a
result of the underwriter’s partial exercise of its over-allotment option), at $10.00 per Unit, generating gross proceeds of $73,928,550.

Each
Unit consists of one ordinary share, one warrant and one right. Each whole warrant entitles the holder thereof to purchase one ordinary
share at a price of $11.50 per share, subject to adjustment as described in the IPO prospectus. Each right entitles the holder thereof
to acquire one-eighth of one ordinary share (see Note 9).

As
of August 12, 2022, the Company incurred offering costs of approximately $3,898,030, of which $2,587,499 was for deferred underwriting
commissions. For the year ended December 31, 2023, the Company recorded $210,873 in offering costs and charged it to accumulated deficit.

NOTE
4. PRIVATE PLACEMENT

Simultaneously
with the closing of the IPO, the Company consummated the private placement (“Private Placement”) with the Sponsor of 373,750
units (the “Private Units”), generating total proceeds of $3,737,500.

The
proceeds from the sale of the Private Units were added to the net proceeds from the Offering held in the Trust Account. The Private Units
are identical to the Units sold in the Initial Public Offering, except there will be no redemption rights or liquidating distributions
from the Company’s trust account with respect to the private shares, which will expire worthless if the Company does not consummate
a business combination. With respect to the Private Warrants, as described in Note 9, the warrant agent shall not register any transfer
of Private Warrants until after the consummation of an initial business. If the Company does not complete a Business Combination within
the Combination Period, the proceeds from the sale of the Private Units will be used to fund the redemption of the Public Shares (subject
to