Company: HVIIR
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001641172-25-023283
Chunk: 54

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 8
Chunk 54
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 the Initial Public Offering and the private placement in accordance
with the guidance contained in FASB ASC Topic 815, “Derivatives and Hedging.” Accordingly, the Company evaluated and classified
the Share Rights under equity treatment at its assigned values.

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 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 June 30, 2025, Class A ordinary shares subject to possible redemption are presented at redemption value as
temporary equity, outside of the shareholders’ deficit section of the Company’s balance sheet. As of December 31, 2024, there
were no Class A ordinary shares subject to possible redemption. As of June 30, 2025, the Class A ordinary shares subject to possible
redemption reflected in the balance sheet are reconciled in the following table:

 SCHEDULE OF CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION

    Gross proceeds 
    $190,000,000 
  
    Less: 

    Proceeds allocated to Share Rights 
     (1,577,000)
  
    Class A ordinary shares issuance costs 
     (12,508,055)
  
    Plus: 

    Remeasurement of carrying value to redemption value 
     15,504,819 
  
    Class A ordinary shares subject to possible
    redemption, March 31, 2025 
    $191,419,764 
  
    Plus: 

    Remeasurement of carrying value to redemption
    value 
     1,888,444 
  
    Class A ordinary shares
    subject to possible redemption, June 30, 2025