Company: NMP
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109359
Chunk: 18

Company: NMP Acquisition Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 in a financial institution, which, at times, may exceed the Federal
Deposit Insurance Corporation limit and cash held in the trust with a financial institution, which, at times, may exceed the Securities
Investor Protection Corporation limit. Any loss incurred or a lack of access to such funds could have a significant adverse impact on
the Company’s financial condition, results of operations, and cash flows.

Investments Held in Trust Account

On September 30, 2025, the
Company had $116,163,300 in cash and investments held in the Trust Account.

Fair Value of Financial Instruments

The fair value of the Company’s
assets and liabilities, which qualify as financial instruments under ASC 820, “Fair Value Measurement,” approximates
the carrying amounts represented in the balance sheet, primarily due to their short-term nature.

11

NMP ACQUISITION CORP.
NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

NOTE 2 — SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES (cont.)

Fair Value Measurements

Fair value is defined as
the price that would be received for sale of an asset or paid to transfer of a liability, in an orderly transaction between market participants
at the measurement date. GAAP establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value.
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements)
and the lowest priority to unobservable inputs (Level 3 measurements). These tiers include:

    ●
    Level 1, defined as observable inputs such as quoted prices (unadjusted) for identical instruments in active markets;

    ●
    Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable such as quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active; and

    ●
    Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions, such as valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

In some circumstances, the
inputs used to measure fair value might be categorized within different levels of the fair value hierarchy. In those instances, the fair
value measurement is categorized in its entirety in the fair value hierarchy based on the lowest level input that is significant to the
fair value