Company: VMCWF
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010983
Chunk: 45

Company: Valuence Merger Corp. I
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 45
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 31, 2024, $613,207
is outstanding under the Sponsor Convertible Promissory Note and $1,650,941 has been borrowed against VP Convertible Promissory Note.

On
June 4, 2024, the Company issued the June 2024 Note to the Sponsor, in the principal amount of $300,000. The June 2024 Note bears no
interest and is repayable in full upon the earlier of (a) the date of the consummation of the Company’s initial Business Combination
or (b) the date of the Company’s liquidation. If the Company does not consummate an initial Business Combination by the Maturity
Date, the June 2024 Note will be repaid only from funds held outside of the Trust Account or will be forfeited, eliminated or otherwise
forgiven. Upon maturity, the outstanding principal balance of the June 2024 Note may be converted into warrants, at a price of $1.50
per warrant, at the option of the Sponsor, provided that the maximum aggregate conversion of all convertible notes issued to the Sponsor
or its affiliates may not exceed $1.5 million. Such warrants will have terms identical to the Private Placement Warrants. On June 4,
2024, the Company borrowed $300,000 under the June 2024 Note, which was outstanding as of March 31, 2025 and December 31, 2024.

Delisting
from Nasdaq

On
March 4, 2025, the Company received a notice from the staff of the Listing Qualifications Department of Nasdaq stating that because the
Company had not completed an IPO within 36 months of the effective date of its IPO registration statement, it was not in compliance with
Nasdaq listing rule IM 5101-2, and was therefore subject to delisting. Trading in the Company’s securities on Nasdaq was suspended
at the opening of business on March 11, 2025, and trading of the Company’s securities on the over-the-counter market commenced
shortly thereafter.

19

Results
of Operations

As
of March 31, 2025, we have not commenced any operations. All activity through March 31, 2025 relates to our formation. the IPO, and our
search for an initial Business Combination. We will not generate any operating revenues until after the completion of a Business Combination,
at the earliest. We will generate non-operating income in the