Company: SIMA
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001213900-25-043361
Chunk: 15

Company: SIM Acquisition Corp. I
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 1
Chunk 15
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 recognized the accretion from initial book
value to redemption amount 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, at July 11, 2024, 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
condensed balance sheets. The Company recognizes changes in redemption value immediately as they occur and adjusts the carrying value
of redeemable shares to equal the redemption value at the end of each reporting period. Increases or decreases in the carrying amount
of redeemable shares are affected by charges against additional paid in capital (to the extent available) and accumulated deficit.

At March 31, 2025 and December
31, 2024, the Class A ordinary shares subject to redemption reflected in the condensed balance sheets are reconciled in the following
table:

    Gross Proceeds 
    $230,000,000 
  
    Less: 

    Proceeds allocated to Public Warrants 
     (1,610,000)
  
    Class A ordinary shares issuance costs 
     (15,307,565)
  
    Plus: 

    Accretion of carrying value to redemption value 
     22,140,377 
  
    Class A Ordinary Shares subject to possible redemption, December 31, 2024 
     235,222,812 
  
    Plus: 

    Accretion of carrying value to redemption value 
     2,464,218 
  
    Class A Ordinary Shares subject to possible redemption, March 31, 2025 (Unaudited) 
    $237,687,030 

Warrant Instruments

The Company accounts for the
Public Warrants and Private Warrants issued in connection with 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 warrant instruments under equity treatment at their assigned values.

Recent Accounting Standards

Management does not believe
that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the condensed
financial statements.

Note 3 – INITIAL
Public Offering

Pursuant to the Initial Public
Offering, the Company sold 23,000,000 Units, including the full exercise by the underwriters of their over