Company: DMAAR
Filing Date: 2025-11-18
Form Type: 10-Q
Source: 0001213900-25-112096
Chunk: 32

Company: Drugs Made In America Acquisition Corp.
Filing Date: 2025-11-18
Form: 10-Q
Item: Part I, Item 1
Chunk 32
---
: 

    Cash and investments held in Trust
    Account 
    1  
    $237,604,232 

    Level  
    January 29,
    2025 
  
    Assets: 

    Cash and investments held in Trust
    Account 
    1  
    $201,000,000 
  
    Liabilities: 

    Over-allotment option 
    3  
    $305,179 
  
    Equity: 

    Fair value of Public Rights for ordinary shares
    subject to possible redemption allocation 
    3  
    $2,978,000 

The
over-allotment option was accounted for as a liability in accordance with ASC 815-40 and is measured at fair value at inception and on
a recurring basis, with changes in fair value presented within change in fair value of over-allotment liability in the statement of operations.
In February 2025 the over-allotment option was exercised in full by the underwriters and ceased to exist thereafter.

The
Company used a Black-Scholes model to value the over-allotment option. The over-allotment option liability was classified within Level
3 of the fair value hierarchy at the measurement date due to the use of unobservable inputs inherent in pricing models are assumptions
related to expected share-price volatility, expected life and risk-free interest rate. The Company estimates the volatility of its ordinary
share based on historical volatility that matches the expected remaining life of the option. The risk-free interest rate is based on
the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected remaining life of the option. The
expected life of the option is assumed to be equivalent to their remaining contractual term.

The
rights were valued using an iterative analysis based on market comparable. The following criteria was utilized to select comparable Special
Purpose Acquisition Companies who were pre-business combination and included rights as part of their units that were publicly trading
with significant time remaining to complete their initial business combination:

    Criteria 
    Low  
    High 
  
    IPO Proceeds 
     60  
     250 
  
    Warrant Coverage 
     -  
     0.5 
  
    Rights Coverage (per unit) 
     0.05  
     0.13 
  
    Remaining Months to Complete 
     7  
     21 

17

DRUGS
MADE