Company: SIMA
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026255
Chunk: 869

Company: SIM Acquisition Corp. I
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 869
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 the United Kingdom, the European Union and other countries
have announced various sanctions and restrictive actions against Russia, Belarus and related individuals and entities, including the removal
of certain financial institutions from the Society for Worldwide Interbank Financial Telecommunication (SWIFT) payment system. Certain
countries, including the United States, have also provided and may continue to provide military aid or other assistance to Ukraine and
to Israel, increasing geopolitical tensions among a number of nations. The invasion of Ukraine by Russia and the escalation of the conflict
in the Middle East and the resulting measures that have been taken, and could be taken in the future, by NATO, the United States, the
United Kingdom, the European Union, Israel and its neighboring states and other countries have created global security concerns that could
have a lasting impact on regional and global economies. Although the length and impact of the ongoing conflicts are highly unpredictable,
they could lead to market disruptions, including significant volatility in commodity prices, credit and capital markets, as well as supply
chain interruptions and increased cyber-attacks against U.S. companies. Additionally, any resulting sanctions could adversely affect the
global economy and financial markets and lead to instability and lack of liquidity in capital markets.

Any of the above-mentioned
factors, or any other negative impact on the global economy, capital markets or other geopolitical conditions resulting from the Russian
invasion of Ukraine, the escalation of the conflict in the Middle East and subsequent sanctions or related actions, could adversely affect
the Company’s search for a Business Combination and any target business with which the Company may ultimately consummate a Business
Combination.

Liquidity and Capital Sources

As of December 31, 2024, the Company
had a cash balance of $697,085 and a working capital surplus of $791,676. Further, the Company has incurred and expects to
continue to incur significant costs in pursuit of a Business Combination. In connection with the Company’s assessment of going
concern considerations in accordance with Accounting Standards Update (“ASU”) 2014-15, “Disclosures of
Uncertainties about an Entity’s Ability to Continue as a Going Concern,” as of December 31, 2024, management has
determined that the Company has sufficient funds for the working capital needs of the Company until a minimum of one year from the
date of issuance of these financial statements. The Company cannot assure that its plans to consummate a Business Combination will
be successful or that additional funds from holders of its Founder Shares