Company: COPL-UN
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001829126-25-006317
Chunk: 18

Company: Copley Acquisition Corp
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 ordinary shares subject to possible redemption 
     1,115,253 
  
    Class A ordinary shares subject to possible redemption, June 30, 2025 
    $174,477,753 

Derivative Financial Instruments

The Company evaluates its financial instruments
to determine if such instruments are derivatives or contain features that qualify as embedded derivatives in accordance with ASC Topic
815, “Derivatives and Hedging.” For derivative financial instruments that are accounted for as liabilities, the derivative
instrument is initially recorded at its fair value on the grant date and is then re-valued at each reporting date, with changes in the
fair value reported in the statement of operations. The classification of derivative instruments, including whether such instruments should
be recorded as liabilities or as equity, is evaluated at the end of each reporting period. Derivative liabilities are classified in the
condensed balance sheet as current or non-current based on whether or not net cash settlement or conversion of the instrument could be
required within 12 months of the balance sheet date.

Recent Accounting Standards

In November 2023, the FASB issued Accounting
Standards Update (“ASU”) 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.”
The amendments in this ASU require disclosures, on an annual and interim basis, of significant segment expenses that are regularly provided
to the CODM, as well as the aggregate amount of other segment items included in the reported measure of segment profit or loss. The ASU
requires that a public entity disclose the title and position of the CODM and an explanation of how the CODM uses the reported measure(s)
of segment profit or loss in assessing segment performance and deciding how to allocate resources. Public entities will be required to
provide all annual disclosures currently required by Topic 280 in interim periods, and entities with a single reportable segment are
required to provide all the disclosures required by the amendments in this ASU and existing segment disclosures in Topic 280. This ASU
is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15,
2024, with early adoption permitted. The Company adopted ASU 2023-07 on November 26, 2024, the date of its incorporation. See Note
9 for disclosures.

Management does not believe that any recently
issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on the Company