Company: SZZL
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001213900-25-075798
Chunk: 17

Company: Sizzle Acquisition Corp. II
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 17
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, 2025

 Class A Ordinary Shares Subject to Possible Redemption

The Public Shares contain a redemption feature
that allows for the redemption of such Public Shares in connection with the Company’s liquidation, or if there is a shareholder
vote or tender offer in connection with the initial Business Combination. In accordance with FASB ASC Topic 480-10-S99, “Distinguishing
Liabilities from Equity”, the Company classifies Class A Ordinary Shares subject to possible redemption outside of permanent equity
as the redemption provisions are not solely within the control of the Company. The Company recognizes changes in redemption value immediately
as they occur and will adjust the carrying value of redeemable shares to equal the redemption value at the end of each reporting period.
Immediately upon the closing of the Initial Public Offering, the Company recognized the accretion from initial book value to redemption
value. The change in the carrying value of redeemable Class A Ordinary Shares will result in charges against additional paid-in capital
(to the extent available) and accumulated deficit. Accordingly, as of June 30, 2025, Class A Ordinary Shares subject to possible redemption
are presented at redemption value as temporary equity, outside of the shareholders’ deficit section of the accompanying condensed
balance sheets. As of June 30, 2025, the Class A Ordinary Shares subject to possible redemption reflected in the accompanying condensed
balance sheets are reconciled in the following table:

    Gross proceeds 
    $230,000,000 
  
    Less: 

    Proceeds allocated to Public Rights 
     (3,404,000)
  
    Class A Ordinary Shares issuance costs 
     (15,308,928)
  
    Plus: 

    Remeasurement of carrying value to redemption value 
     18,712,928 
  
    Class A Ordinary Shares subject to possible redemption, April 3, 2025 
     230,000,000 
  
    Plus: 

    Remeasurement of carrying value to redemption value 
     2,280,342 
  
    Class A Ordinary Shares subject to possible redemption, June 30, 2025 
    $232,280,342 

Recent Accounting Pronouncements

In November 2023, the FASB issued ASU Topic 2023-07,
“Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures” (“ASU 2023-07”). The amendments
in ASU 2023-07 require disclosures,