Company: PAII-WT
Filing Date: 2025-06-27
Form Type: S-1
Source: 0001213900-25-059054
Chunk: 359

Company: Pyrophyte Acquisition Corp. II
Filing Date: 2025-06-27
Form: S-1
Chunk 359
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340 -10-S99and SEC Staff Accounting Bulletin Topic 5A,—“Expenses of Offering.” Deferred offering costs consist principally of professional and registration fees that are related to the Proposed Public Offering. FASB ASC 470 -20, “Debt with Conversion and Other Options,” addresses the allocation of proceeds from the issuance of convertible debt into its equity and debt components. The Company applies this guidance to allocate offering proceeds from the units between Class A ordinary shares and warrants, using the residual method by allocating offering proceeds first to assigned value of the warrants and then to the Class A ordinary shares. Offering costs allocated to the Class A ordinary shares subject to redemption will be charged to temporary equity, and offering costs allocated to public warrants and private placement warrants will be charged to shareholders’ equity as the warrants associated with the proposed public offering and private placement,

| F-10 |

| Pyrophyte Acquisition Corp. II                 
 Notes to financial statements                  
 NOTE 2—SIGNIFICANT ACCOUNTING POLICIES (cont.) |

after management’s evaluation, will be accounted for under equity treatment. Should the offering prove to be unsuccessful, these deferred costs, as well as additional expenses to be incurred, will be charged to operations. Fair value of financial instruments The fair value of the Company’s assets and liabilities, which qualify as financial instruments under FASB ASC 820, “Fair Value Measurements and Disclosures,” approximates the carrying amounts represented in the balance sheet, primarily due to their short -termnature. Net loss per Class B ordinary share Net loss per Class B ordinary share is computed by dividing net loss by the weighted average number of ordinary shares outstanding during the period, excluding ordinary shares subject to forfeiture. Weighted average shares were reduced for the effect of an aggregate of 946,428 Class B ordinary shares that are subject to forfeiture if the over -allotmentoption is not exercised by the underwriters (see Note 7). As of May 5, 2025, the Company did not have any dilutive securities and other contracts that could, potentially, be exercised or converted into ordinary shares and then share in the earnings of the Company. As a result, diluted loss per Class B ordinary share is the same as basic loss per Class B ordinary share for the period presented. Income taxes The Company accounts for income taxes under ASC Topic 740, “Income Taxes,” which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities are computed for differences between the financial statement and tax bases of