Company: SIMA
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001213900-25-043361
Chunk: 91

Company: SIM Acquisition Corp. I
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 2
Chunk 91
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 Business Combination. Following the Initial Public Offering, we will not generate any
operating revenues until after completion of our initial Business Combination. We have generated non-operating income in the form
of interest income on cash and cash equivalents subsequent to the Initial Public Offering, and have incurred increased expenses as a result
of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence expenses.

For the three months ended
March 31, 2025, we had net income of $2,222,746 which includes $2,464,218 of interest income earned on the Trust Account, offset by $241,472
of general and administrative costs. For the period from January 29, 2024 (inception) to March 31, 2024, we had a net loss of $28,464,
which consists entirely of general and administrative expenses.

Factors That May Adversely Affect our Results
of Operations

Our results of operations
and our ability to complete an initial Business Combination may be adversely affected by various factors that could cause economic uncertainty
and volatility in the financial markets, many of which are beyond our control. Our results of operations and our ability to consummate
an initial Business Combination could be impacted by, among other things, downturns in the financial markets or in economic conditions,
increases in oil prices, inflation, fluctuations in interest rates, increases in tariffs, supply chain disruptions, declines in consumer
confidence and spending, public health considerations, and geopolitical instability, such as the military conflicts in Ukraine and the
Middle East. We cannot at this time predict the likelihood of one or more of the above events, their duration or magnitude or the extent
to which they may negatively impact our business and our ability to complete an initial Business Combination.

18

Liquidity and Capital Resources

Until the consummation of
the Initial Public Offering, our only source of liquidity was an initial purchase of shares of Class B ordinary shares, par value
$0.0001 per share, by the Sponsor and loans from the Sponsor.

On July 11, 2024 we consummated
the Initial Public Offering of 23,000,000 Units, which includes the full exercise by the underwriters of their over-allotment option in
the amount of 3,000,000 Units, at $10.00 per Unit, generating gross proceeds of $230,000,000. The net proceeds from the sale of the