Company: EMCRF
Filing Date: 2025-12-10
Form Type: 10-Q
Source: 0001493152-25-027065
Chunk: 58

Company: Embrace Change Acquisition Corp.
Filing Date: 2025-12-10
Form: 10-Q
Item: Part I, Item 8
Chunk 58
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5,431 of cash in its operating bank account.

The
Company’s liquidity needs prior to the consummation of the Initial Public Offering were satisfied through the payment of
$25,000
from the Sponsor to cover for certain offering costs on the Company’s behalf in exchange for issuance of Founder Shares (as
defined in Note 5), and loan from the Sponsor of $159,478
under the promissory note, which has been terminated upon closing of the Initial Public Offering. Subsequent to the consummation of
the Initial Public Offering, the Company’s liquidity has been satisfied through the net proceeds from the consummation of the
Initial Public Offering, the Private Placement held outside of the Trust Account, the Convertible Promissory Notes (as defined and
described in Note 5), the amount due to third party which is defined and described in Note 6 and the promissory note - third party
which is defined and described in Note 7. As of September 30, 2025, there was $851,112
outstanding under the Convertible Promissory Notes, which was issued to the Company’s related party for extension and working
capital purposes, $144,060
due to related party for working capital purposes, $58,077
outstanding under the promissory note - third party, which was issued for working capital purpose and $1,675,000
due to third party for extension and working capital purposes. Subsequent to September 30, 2025, the Company received an additional
$275,000
from Tianji and its subsidiaries for working capital and extension deposits purposes, resulting in an aggregated of $1,950,000
due to third party up to the date the unaudited consolidated financial statements were issued.

Going
Concern Consideration

The
Company expects to incur significant costs in pursuit of its financing and acquisition plans. In connection with the Company’s
assessment of going concern considerations in accordance with Accounting Standards Update (“ASU”) 2014-15, “Disclosures
of Uncertainties about an Entity’s Ability to Continue as a Going Concern,” management has determined that if the Company
is unsuccessful in consummating an Initial Business Combination by August 12, 2026 (as of the date of these unaudited interim consolidated
financial statements are issued, $75,000 of the required extension payments has not been deposited into the Trust Account), the requirement
that the Company cease all operations,