Company: PMVC
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001013762-25-003340
Chunk: 429

Company: PMV Consumer Acquisition Corp.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 4
Chunk 429
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 materially differ from
those estimates.

We have identified the following critical accounting
policies and estimates:

Warrant Liability

We account for the warrants issued in connection
with our IPO in accordance with the guidance contained in ASC 815 under which the warrants do not meet the criteria for equity treatment
and must be recorded as liabilities. Accordingly, we classify the warrants as liabilities at their fair value and adjust the warrants
to fair value at each reporting period. The Company’s accounting policy and estimate surrounding the warrant liability is deemed
to be critical since it is an equity linked instrument, and the accounting pronouncement that determines the initial classification at
issuance is considered a complex topic. This liability is subject to re-measurement at each balance sheet date until exercised, and any
change in fair value is recognized in our statements of operations. Any changes in the value could have a significant impact on the results
of operations.

21

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES
ABOUT MARKET RISK

Through December 31, 2024, our efforts were limited
to organizational activities, activities relating to our initial public offering and, since the initial public offering, the search for
a business opportunity for which to consummate a transaction. We have engaged in limited operations and have not generated any revenues.
We have not engaged in any hedging activities since our inception on March 18, 2020. We do not expect to engage in any hedging activities
with respect to the market risk to which we are exposed.

As of December 31, 2024, we were not subject to
any market or interest rate risk. The Company’s cash was invested in U.S. government treasury bills with a maturity of 185 days
or less or in money market funds meeting certain conditions under Rule 2a-7 under the Investment Company Act which invest only in direct
U.S. government treasury obligations. Due to the short-term nature of these investments, we believe there was no associated material exposure
to interest rate risk.

ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY
DATA

This information appears following Item 16 of
this Annual Report and is included herein by reference.

ITEM 9. CHANGES IN AND DISAGREEMENTS WITH
ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURES

None.

ITEM 9A. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

Disclosure controls and procedures are designed