Company: SIMA
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001213900-25-043361
Chunk: 56

Company: SIM Acquisition Corp. I
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 56
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 Combination. In accordance with FASB ASC
480-10-S99, the Company classifies Public Shares subject to redemption outside of permanent equity as the redemption provisions are not
solely within the control of the Company. The Public Shares sold as part of the Units in the Initial Public Offering were issued with
other freestanding instruments (i.e., Public Warrants) and as such, the initial carrying value of the Public Shares are classified as
temporary equity and the allocated proceeds are determined in accordance with FASB ASC 470-20. The Company recognizes changes in redemption
value immediately as it occurs and will adjust the carrying value of redeemable shares to equal the redemption value at the end of each
reporting period. Immediately upon the closing of the Initial Public Offering, the Company recognized the accretion from initial book
value to redemption amount value. The change in the carrying value of redeemable shares will result in charges against additional paid-in
capital (to the extent available) and accumulated deficit. Accordingly, at July 11, 2024, Class A ordinary shares subject to possible
redemption are presented at redemption value as temporary equity, outside of the shareholders’ deficit section of the Company’s
condensed balance sheets. The Company recognizes changes in redemption value immediately as they occur and adjusts the carrying value
of redeemable shares to equal the redemption value at the end of each reporting period. Increases or decreases in the carrying amount
of redeemable shares are affected by charges against additional paid in capital (to the extent available) and accumulated deficit.

At March 31, 2025 and December
31, 2024, the Class A ordinary shares subject to redemption reflected in the condensed balance sheets are reconciled in the following
table:

    Gross Proceeds 
    $230,000,000 
  
    Less: 

    Proceeds allocated to Public Warrants 
     (1,610,000)
  
    Class A ordinary shares issuance costs 
     (15,307,565)
  
    Plus: 

    Accretion of carrying value to redemption value 
     22,140,377 
  
    Class A Ordinary Shares subject to possible redemption, December 31, 2024 
     235,222,812 
  
    Plus: 

    Accretion of carrying value to redemption value 
     2,464,218 
  
    Class A Ordinary Shares subject to possible redemption, March 31, 2025 (Unaudited