Company: KVACU
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109170
Chunk: 109

Company: Keen Vision Acquisition Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 109
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 a registration rights agreement signed on the effective date of this offering requiring the Company
to register such securities for resale. The holders of these securities are entitled to make up to three demands, excluding short form
demands, that the Company’s register such securities. In addition, the holders have certain “piggy-back” registration
rights with respect to registration statements filed subsequent to the Company completion of initial business combination and rights to
require the Company to register for resale such securities pursuant to Rule 415 under the Securities Act. The Company will bear the expenses
incurred in connection with the filing of any such registration statements.

22

Underwriting Agreement

The underwriters are entitled to a cash underwriting
discount of 2% of the gross proceeds of the Initial Public Offering, or $2,990,000, upon the closing of the Business Combination.

Critical Accounting Policies

The preparation of unaudited condensed consolidated
financial statements and related disclosures in conformity with U.S. GAAP requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements,
and income and expenses during the periods reported. Actual results could materially differ from those estimates. We have identified the following significant accounting estimates and accounting policies:

Ordinary Shares Subject to Possible Redemption

We accounts for its ordinary shares subject to
possible redemption in accordance with the guidance in ASC 480. Ordinary shares subject to mandatory redemption (if any) are classified
as a liability instrument and are measured at fair value. Conditionally redeemable ordinary shares (including ordinary shares that feature
redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not
solely within the Company’s control) are classified as temporary equity. At all other times, ordinary shares are classified as shareholders’
equity. Our ordinary shares feature certain redemption rights that are subject to the occurrence of uncertain future events and considered
to be outside of our control. Accordingly, as of September 30, 2025 and December 31, 2024, 4,822,346 and 6,404,652 ordinary shares subject
to possible redemption, are presented as temporary equity, outside of the shareholders’ equity section of the Company’s unaudited
condensed consolidated balance sheets, respectively.

Warrant accounting

We account accounts for warrants as either equity-classified
or liability-classified instruments based on an assessment of the warrant’s specific terms and applicable authoritative guidance