Company: GSHRW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001213900-25-043440
Chunk: 58

Company: Gesher Acquisition Corp. II
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 58
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 accordance with
the guidance contained in FASB ASC Topic 815, “Derivatives and Hedging”. Accordingly, the Company evaluated and classified
the warrant instruments under equity treatment at their assigned values. Such guidance provides that the Warrants described above will
not be precluded from equity classification. Equity-classified contracts are initially measured at fair value (or allocated value). Subsequent
changes in fair value are not recognized as long as the contracts continue to be classified in equity in accordance with ASC 480 and ASC
815.

Class A Ordinary Shares Subject to Possible
Redemption

The Public Shares contain a redemption feature which allows for the
redemption of such public shares in connection with the Company’s liquidation, or if there is a shareholder vote or tender offer
in connection with the Company’s initial Business Combination. In accordance with 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 Company recognizes changes in redemption value immediately as they occur 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 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, as of March 31, 2025, Class
A ordinary shares subject to possible redemption are presented at redemption value as temporary equity, outside of the shareholders’
equity (deficit) section of the Company’s condensed balance sheet. As of March 31, 2025, the Class A ordinary shares subject to
possible redemption reflected in the condensed balance sheet are reconciled in the following table:

    Gross proceeds 
    $143,750,000 
  
    Less: 

    Proceeds allocated to Public Warrants 
     (1,890,313)
  
    Class A ordinary shares issuance costs 
     (8,280,209)
  
    Plus: 

    Accretion of carrying value to redemption value 
     10,715,445 
  
    Class A Ordinary Shares subject to possible redemption, March 31, 2025 
    $144,294,923 

Net Income per Ordinary Share

The Company complies with accounting and disclosure
requirements of FASB ASC