Company: VMCWF
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001641172-25-023470
Chunk: 33

Company: Valuence Merger Corp. I
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 33
---
1.50, rounded up to the nearest whole number of warrants. The aggregate amount convertible into Conversion Warrants pursuant
to the Sponsor Convertible Promissory Note and the VP Convertible Promissory Note shall not exceed $1,500,000. The VP Convertible Promissory
Note was accounted for using the bifurcation method, and was determined that the conversion feature had no value and was recorded at
par value. As of June 30, 2025 and December 31, 2024, $1,650,941 had been borrowed against VP Convertible Promissory Note.

Advance
from Related Party

On
March 7, 2022, in connection with the unexercised over-allotment option, an investor in the Sponsor agreed for the Company to retain
the residual $198,384 in the form of an advance. The Sponsor advanced to the Company additional $810,000 and $440,076 during the year
2024 and during the six months ended June 30, 2025, respectively, for general working capital needs. At June 30, 2025 and December 31,
2024, advances from related party totaled $1,448,460 and $1,008,384, respectively. The amounts advanced by the Sponsor to the Company
are non-interest bearing without fixed terms and payable on demand.

NOTE
6 - COMMITMENTS AND CONTINGENCIES

Risks
and Uncertainties

Management
continues to evaluate the impact of ongoing geopolitical instability events, including the Russia-Ukraine conflict and the Israel-Hamas
conflict. As a result of the Russia-Ukraine conflict, various nations, including the United States, have instituted economic sanctions
against the Russian Federation and Belarus. Further, the impact of the Russia-Ukraine conflict, Israel-Hamas conflict and related sanctions
on the world economy is not determinable as of the date of these unaudited condensed financial statements and the specific impact on
the Company’s financial condition, results of operations, and cash flows is also not determinable as of the date of these unaudited
condensed financial statements.

Registration
Rights

Pursuant
to a registration rights agreement entered into on February 28, 2022, the holders of the Founder Shares, Private Placement Warrants and
any warrants that may be issued upon conversion of Working Capital Loans (and any Class A ordinary shares issuable upon the exercise
of the Private Placement Warrants and warrants that may be