Company: HVIIR
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023499
Chunk: 17

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 17
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VESTMENT CORP. VII

NOTES
TO CONDENSED FINANCIAL STATEMENTS

SEPTEMBER
30, 2025

(UNAUDITED)

Share-Based
Compensation

The
Company records share-based compensation in accordance with FASB ASC Topic 718, “Compensation-Share Compensation” (“ASC
718”), guidance to account for its share-based compensation. It defines a fair value-based method of accounting for an employee
share option or similar equity instrument. The Company recognizes all forms of share-based payments at their fair value on the grant
date, which are based on the estimated number of awards that are ultimately expected to vest. Share-based payments are valued using a
Black-Scholes option pricing model. Grants of share-based payment awards issued to non-employees for services rendered have been recorded
at the fair value of the share-based payment, which is the more readily determinable value. The grants are amortized on a straight-line
basis over the requisite service periods, which is generally the vesting period. If an award is granted, but vesting does not occur,
any previously recognized compensation cost is reversed in the period related to the termination of service. Share-based compensation
expenses are included in costs and operating expenses depending on the nature of the services provided in the condensed statements of
operations.

Recent
Accounting Standards

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’s unaudited condensed financial statements.

NOTE
3 — INITIAL PUBLIC OFFERING

Pursuant
to the Initial Public Offering, on January 21, 2025, the Company sold 19,000,000 Units, which includes the partial exercise by the Underwriters
of their over-allotment option in the amount of 1,500,000 Units, at a purchase price of $10.00 per Unit. Each Unit consists of one Class
A ordinary share and one Share Right entitling the holder thereof to receive one-twelfth (1/12) of one Class A ordinary share upon the
consummation of a Business Combination.

NOTE
4 — PRIVATE PLACEMENT

Simultaneously
with the closing of the Initial Public Offering, the Sponsor and the Underwriters purchased an aggregate of 690,000 Private Placement
Units, each Private Placement Unit consisting of one Class A ordinary share and one Share Right to receive one-twelfth (1/12) of one