Form 10-Q - Quarterly report [Sections 13 or 15(d)]

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2024

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______________to ______________

Commission File Number 001-40514

Coliseum Acquisition Corp.

(Exact name of registrant as specified in its charter)

Cayman Islands

98-1583230

(State or other jurisdiction of

incorporation or organization)

(IRS Employer

Identification No.)

1180 North Town Center Drive, Suite 100

Las Vegas, Nevada 89144

(Address of principal executive offices and zip code)

(702) 781-4313

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Units, each consisting of one Class A ordinary share, par value $0.001 per share, and one-third of one redeemable warrant	MITAU	The Nasdaq Stock Market LLC
Class A ordinary shares, par value $0.001 per share	MITA	The Nasdaq Stock Market LLC
Redeemable warrants, each whole warrant exercisable for one Class A ordinary share at an exercise price of $11.50 per share	MITAW	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act:

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
		Emerging growth company	☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☒ No ☐

As of November 14, 2024, there were 5,537,111 of the registrant’s Class A ordinary shares, par value $0.001 per share, and one of the registrant’s Class B ordinary shares, par value $0.001 per share, issued and outstanding.

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COLISEUM ACQUISITION CORP.

TABLE OF CONTENTS

		Page No.
PART I. FINANCIAL INFORMATION
Item 1.	Unaudited Condensed Consolidated Financial Statements	1
	Condensed Consolidated Balance Sheets as of September 30, 2024 (unaudited) and December 31, 2023	1
	Unaudited Condensed Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2024 and 2023	2
	Unaudited Condensed Consolidated Statements of Changes in Shareholders’ Deficit for the Three and Nine Months Ended September 30, 2024 and 2023	3
	Unaudited Condensed Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2024 and 2023	4
	Notes to Unaudited Condensed Consolidated Financial Statements	5
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	26
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	31
Item 4.	Disclosure Controls and Procedures	31
PART II. OTHER INFORMATION
Item 1.	Legal Proceedings	32
Item 1A.	Risk Factors	32
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	33
Item 3.	Defaults Upon Senior Securities	33
Item 4.	Mine Safety Disclosures	33
Item 5.	Other Information	33
Item 6.	Exhibits	34
SIGNATURES		35

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PART I. FINANCIAL INFORMATION

Item 1. Unaudited Condensed Consolidated Financial Statements

COLISEUM ACQUISITION CORP.

CONDENSED CONSOLIDATED BALANCE SHEETS


	September 30, 2024		December 31, 2023
	(unaudited)
Assets:
Current assets:
Prepaid expenses	$	40,500	$	—
Total current assets		40,500		—
Cash held in Trust Account		20,055,086		30,969,758
Total Assets	$	20,095,586	$	30,969,758

Liabilities, Class A Ordinary Shares Subject to Possible Redemption and Shareholders’ Deficit:
Current liabilities:
Accounts payable and accrued expenses	$	2,387,179	$	875,801
Due to related parties		1,646,557		639,190
Convertible note payable - related parties		550,000		500,000
Non-redemption agreement liabilities		218,277		194,677
Deferred consulting fees		35,904		31,233
Total current liabilities		4,837,917		2,240,901
Warrant liabilities		411,250		329,000
Total Liabilities		5,249,167		2,569,901

Commitments and Contingencies
Class A ordinary shares, $0.001 par value; 1,787,112 and 2,876,361 shares subject to possible redemption at approximately $11.22 and $10.77 per share as of September 30, 2024 and December 31, 2023, respectively		20,055,086		30,969,758

Shareholders’ Deficit:
Preferred shares, $0.001 par value; 5,000,000 shares authorized; none issued or outstanding as of September 30, 2024 and December 31, 2023		—		—
Class A ordinary shares, $0.001 par value; 500,000,000 shares authorized; 3,749,999 non-redeemable shares issued and outstanding as of September 30, 2024 and December 31, 2023 (excluding 1,787,112 and 2,876,361 shares subject to possible redemption as of September 30, 2024 and December 31, 2023, respectively)		3,750		3,750
Class B ordinary shares, $0.001 par value; 50,000,000 shares authorized; 1 share issued and outstanding as of September 30, 2024 and December 31, 2023		—		—
Additional paid-in capital		—		—
Accumulated deficit		(5,212,417)		(2,573,651)
Total shareholders’ deficit		(5,208,667)		(2,569,901)
Total Liabilities, Class A Ordinary Shares Subject to Possible Redemption and Shareholders’ Deficit	$	20,095,586	$	30,969,758

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

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COLISEUM ACQUISITION CORP.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS


	For the three months ended September 30,				For the nine months ended September 30,
	2024		2023		2024		2023
General and administrative expenses	$	1,059,346	$	373,941	$	2,478,245	$	1,213,628
Loss from operations		(1,059,346)		(373,941)		(2,478,245)		(1,213,628)

Other income (expenses):
Interest earned from cash held in Trust Account		405,268		759,910		1,216,967		4,288,824
Gain from extinguishment of deferred underwriting fee allocated to warrant liabilities		—		—		—		275,625
Change in fair value of derivative warrant liabilities		—		246,750		(82,250)		(658,000)
Change in fair value of non-redemption agreements		(34,792)		—		(23,600)		—
Change in fair value of deferred consulting fees		(6,069)		—		(4,671)		—
Total other income (expenses)		364,407		1,006,660		1,106,446		3,906,449

Net income (loss)	$	(694,939)	$	632,719	$	(1,371,799)	$	2,692,821

Weighted average shares outstanding of Class A ordinary shares subject to possible redemption, basic and diluted		2,793,483		5,878,201		2,848,533		11,625,269
Basic and diluted net income (loss) per share, Class A ordinary shares subject to possible redemption	$	(0.11)	$	0.07	$	(0.21)	$	0.18
Weighted average shares outstanding of Class B and non-redeemable Class A ordinary shares, basic and diluted		3,750,000		3,750,000		3,750,000		3,750,000
Basic and diluted net income (loss) per share, Class B and non-redeemable Class A ordinary shares	$	(0.11)	$	0.07	$	(0.21)	$	0.18

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

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COLISEUM ACQUISITION CORP.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ DEFICIT


	For the three and nine months ended September 30, 2024
	Ordinary Shares						Additional				Total
	Non-redeemable Class A			Class B			Paid-In		Accumulated		Shareholders’
	Shares	Amount		Shares	Amount		Capital		Deficit		Deficit
Balance - December 31, 2023	3,749,999	$	3,750	1	$	—	$	—	$	(2,573,651)	$	(2,569,901)
Remeasurement of Public Shares subject to redemption amount	—		—	—		—		—		(403,224)		(403,224)
Net loss	—		—	—		—		—		(241,883)		(241,883)
Balance - March 31, 2024 (unaudited)	3,749,999		3,750	1		—		—		(3,218,758)		(3,215,008)
Remeasurement of Public Shares subject to redemption amount	—		—	—		—		—		(408,475)		(408,475)
Net loss	—		—	—		—		—		(434,977)		(434,977)
Balance - June 30, 2024 (unaudited)	3,749,999		3,750	1		—		—		(4,062,210)		(4,058,460)
Increase in redemption value of Public Shares subject to redemption due to extension	—		—	—		—		—		(50,000)		(50,000)
Remeasurement of Public Shares subject to redemption amount	—		—	—		—		—		(405,268)		(405,268)
Net loss	—		—	—		—		—		(694,939)		(694,939)
Balance - September 30, 2024 (unaudited)	3,749,999	$	3,750	1	$	—	$	—	$	(5,212,417)	$	(5,208,667)


	For the three and nine months ended September 30, 2023
	Ordinary Shares						Additional				Total
	Non-redeemable Class A			Class B			Paid-In		Accumulated		Shareholders’
	Shares	Amount		Shares	Amount		Capital		Deficit		Deficit
Balance - December 31, 2022	—	$	—	3,750,000	$	3,750	$	—	$	(5,681,396)	$	(5,677,646)
Remeasurement of Public Shares subject to redemption amount	—		—	—		—		—		(1,721,897)		(1,721,897)
Net income	—		—	—		—		—		698,754		698,754
Balance - March 31, 2023 (unaudited)	—	$	—	3,750,000	$	3,750	$	—	$	(6,704,539)	$	(6,700,789)
Increase in redemption value of Public Shares subject to redemption due to extension	—		—	—		—		—		(100,000)		(100,000)
Conversion of Class B ordinary shares into non-redeemable Class A ordinary shares	3,749,999		3,750	(3,749,999)		(3,750)		—		—		—
Forgiveness of debt to Previous Sponsor	—		—	—		—		108,828		—		108,828
Remeasurement of Public Shares subject to redemption amount	—		—	—		—		(108,828)		3,651,186		3,542,358
Net income	—		—	—		—		—		1,361,348		1,361,348
Balance - June 30, 2023 (unaudited)	3,749,999	$	3,750	1	$	—	$	—	$	(1,792,005)	$	(1,788,255)
Increase in redemption value of Public Shares subject to redemption due to extension	—		—	—		—		—		(300,000)		(300,000)
Remeasurement of Public Shares subject to redemption amount	—		—	—		—		—		(759,910)		(759,910)
Net income	—		—	—		—		—		632,719		632,719
Balance - September 30, 2023 (unaudited)	3,749,999	$	3,750	1	$	—	$	—	$	(2,219,196)	$	(2,215,446)

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

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COLISEUM ACQUISITION CORP.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS


	For the nine months ended September 30,
	2024		2023
Cash Flows from Operating Activities:
Net income (loss)	$	(1,371,799)	$	2,692,821
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Interest earned from cash held in Trust Account		(1,216,967)		(4,288,824)
Gain from extinguishment of deferred underwriting fee allocated to warrant liabilities		—		(275,625)
Change in fair value of derivative warrant liabilities		82,250		658,000
Change in fair value of non-redemption agreement liabilities		23,600		—
Change in fair value of deferred consulting fees		4,671		—
Changes in operating assets and liabilities:
Prepaid expenses		(40,500)		169,260
Accounts payable and accrued expenses		1,511,378		234,757
Due to related parties		1,007,367		535,689
Net cash used in operating activities		—		(273,922)

Cash Flows from Investing Activities:
Cash withdrawn from Trust Account for redemptions		12,181,639		94,696,372
Cash deposited in Trust Account for extension		(50,000)		(400,000)
Net cash provided by investing activities		12,131,639		94,296,372

Cash Flows from Financing Activities:
Proceeds received from related parties under convertible note payable		50,000		400,000
Redemption of Public Shares		(12,181,639)		(94,696,372)
Advances from Previous Sponsor		—		50,000
Repayment of advances from Previous Sponsor		—		(9,114)
Net cash used in financing activities		(12,131,639)		(94,255,486)

Net change in cash		—		(233,036)

Cash - Beginning of the period		—		233,036
Cash - End of the period	$	—	$	—

Supplemental disclosure of noncash activities:
Remeasurement of Public Shares subject to possible redemption to redemption amount	$	1,216,967	$	1,169,379
Increase in redemption value of Public Shares subject to redemption due to extension	$	50,000	$	400,000
Extinguishment of deferred underwriting fee allocated to Public Shares	$	—	$	5,349,375
Forgiveness of debt to Previous Sponsor	$	—	$	108,828

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

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COLISEUM ACQUISITION CORP.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

NOTE 1. DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS

Coliseum Acquisition Corp. (“Coliseum” or the “Company”) is a blank check company incorporated in the Cayman Islands on February 5, 2021. The Company was formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses (a “Business Combination”). The Company is not limited to a particular industry or geographic region for purposes of consummating a Business Combination. The Company is an early stage and emerging growth company and, as such, the Company is subject to all of the risks associated with early stage and emerging growth companies.

As of September 30, 2024, the Company had not commenced any operations. All activity for the period from February 5, 2021 (inception) through September 30, 2024 relates to the Company’s formation and the initial public offering (the “Initial Public Offering”), as described below, and since the closing of the Initial Public Offering, the search for a prospective initial Business Combination. The Company will not generate any operating revenues until after the completion of a Business Combination, at the earliest. The Company will generate non-operating income in the form of investment income from the proceeds derived from the Initial Public Offering and will recognize other income and expense related to the change in fair value of derivative liabilities.

The registration statement for the Initial Public Offering was declared effective on June 22, 2021. On June 25, 2021, the Company consummated the Initial Public Offering of 15,000,000 units (the “Units” and, with respect to the Class A ordinary shares included in the Units sold, the “Public Shares”), at $10.00 per Unit, generating gross proceeds of $150,000,000, which is discussed in Note 3. Each Unit consisted of one Public Share and one-third of one warrant to purchase one Class A ordinary share (the “Public Warrants”). The Company granted the underwriter a 45-day option to purchase up to 2,250,000 additional Units, which option expired unexercised on August 6, 2021. Transaction costs amounted to $9,176,463, consisting of $3,000,000 of underwriting fees, $5,625,000 of deferred underwriting fees, which was later entirely waived on June 12, 2023 (see Note 6), and $551,463 of other offering costs. The Company was reimbursed $750,000 by the underwriter for such transaction costs upon closing of the Initial Public Offering.

Prior to the Initial Public Offering, Coliseum Acquisition Sponsor LLC (the “Previous Sponsor”), purchased an aggregate of 4,312,500 Class B ordinary shares, par value $0.001 per share (the “Class B ordinary shares” or “Founder Shares”, which term includes the Class A ordinary shares issued or issuable upon exercise of the Class B ordinary shares) for an aggregate purchase price of $25,000, or approximately $0.006 per share.

Simultaneously with the closing of the Initial Public Offering, the Company consummated the sale of 3,225,000 warrants (the “Private Placement Warrants”) at a price of $1.50 per Private Placement Warrant in a private placement to the Previous Sponsor, generating gross proceeds of $4,837,500, which is described in Note 4.

Following the closing of the Initial Public Offering on June 25, 2021, an amount of $150,000,000 ($10.00 per Unit) from the net proceeds of the sale of the Units in the Initial Public Offering and the sale of the Private Placement Warrants was placed in a trust account (the “Trust Account”) until the earlier of (i) the completion of a Business Combination and (ii) the distribution of the funds held in the Trust Account, as described below. On June 27,2023, the Company transferred its Trust Account out of investment in securities into an interest-bearing bank deposit account in order to mitigate the risk of being deemed an unregistered investment company.

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COLISEUM ACQUISITION CORP.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

The Company will provide the holders of its Public Shares (the “Public Shareholders”) with the opportunity to redeem all or a portion of their Public Shares upon the completion of a Business Combination either (i) in connection with a general meeting called to approve the Business Combination or (ii) by means of a tender offer. The decision as to whether the Company will seek shareholder approval of a Business Combination or conduct a tender offer will be made by the Company, solely in its discretion. The Public Shareholders will be entitled to redeem their Public Shares for a pro rata portion of the amount held in the Trust Account, calculated as of two business days prior to the completion of a Business Combination, including interest earned on the funds held in the Trust Account (which interest shall be net of taxes payable). There will be no redemption rights upon the completion of a Business Combination with respect to the Company’s warrants. The Public Shares subject to redemption are recorded at redemption value and classified as temporary equity upon the completion of the Initial Public Offering in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 480, Distinguishing Liabilities from Equity (“ASC 480”).

The Company will proceed with a Business Combination if a majority of the shares voted are voted in favor of the Business Combination. If a shareholder vote is not required under applicable law or stock exchange listing requirements and the Company does not decide to hold a shareholder vote for business or other reasons, the Company will, pursuant to its amended and restated memorandum and articles of association as then in effect (the “Articles”), conduct the redemptions pursuant to the tender offer rules of the Securities and Exchange Commission (“SEC”), and file tender offer documents with the SEC prior to completing a Business Combination. If the Company seeks shareholder approval in connection with a Business Combination, the Previous Sponsor, Berto LLC (the “New Sponsor”), Harry L. You and the Company’s officers and the other holders of Founder Shares immediately prior to the Initial Public Offering (collectively, the “Initial Shareholders”) agreed to vote their Founder Shares and any Public Shares purchased in or after the Initial Public Offering in favor of approving a Business Combination. Additionally, each Public Shareholder may elect to redeem their Public Shares irrespective of whether they vote for or against the proposed transaction.

Notwithstanding the foregoing, if the Company seeks shareholder approval of a Business Combination and it does not conduct redemptions pursuant to the tender offer rules, the Company’s Articles provide that a Public Shareholder, together with any affiliate of such shareholder or any other person with whom such shareholder is acting in concert or as a “group” (as defined under Section 13 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), will be restricted from redeeming its shares with respect to more than an aggregate of 15% of the Public Shares without the Company’s prior written consent.

The Initial Shareholders agreed to waive (i) their redemption rights with respect to any Founder Shares and Public Shares held by them in connection with the consummation of a Business Combination (ii) their redemption rights with respect to any Founder Shares and Public Shares held by them in connection with a shareholder vote to approve an amendment to the Articles (A) that would modify the substance or timing of the Company’s obligation to provide holders of Public Shares the right to have their shares redeemed in connection with an initial Business Combination or to redeem 100% of the Public Shares if the Company does not complete a Business Combination within the time provided for in the Articles (the “Combination Period”) or (B) with respect to any other provision relating to shareholders’ rights or pre-initial Business Combination activity and (iii) their rights to liquidating distributions from the Trust Account with respect to any Founder Shares they hold if the Company does not complete a Business Combination within the Combination Period. However, if the Initial Shareholders acquire Public Shares in or after the Initial Public Offering, such Public Shares will be entitled to liquidating distributions from the Trust Account if the Company fails to complete a Business Combination within the Combination Period (as defined below).

On June 15, 2023, the Company, the Previous Sponsor and the New Sponsor entered into a Purchase Agreement (the “Purchase Agreement”), pursuant to which, among other things, the Previous Sponsor agreed to sell to the New Sponsor, and the New Sponsor agreed to purchase from Previous Sponsor an aggregate of 2,625,000 Founder Shares and 2,257,500 Private Placement Warrants held by the Previous Sponsor for an aggregate purchase price of $1.00 plus the New Sponsor’s agreement to fund monthly contributions (the “Contributions”) in connection with the First Extension (as defined below) (such transaction, the “Transfer Transaction”). Prior to the completion of the Transfer Transaction, New Sponsor assigned its right to receive the 2,625,000 Founder Shares to Harry You. The Transfer Transaction was consummated on June 26, 2023, and immediately thereafter the Previous Sponsor elected to convert each of the remaining 1,125,000 Class B ordinary shares it held into Class A ordinary shares on a one-for-one basis and Mr. You elected to convert 2,624,999 of the 2,625,000 Class B ordinary shares he held into Class A ordinary shares on a one for one basis, leaving one Class B ordinary share outstanding. In connection with the Transfer Transaction, the Initial Public Offering underwriter waived its deferred underwriting fees. Also in connection with the Transfer Transaction, the Company appointed Charles Wert to serve as its Chief

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COLISEUM ACQUISITION CORP.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

Executive Officer and as a member of the board of directors and Oanh Truong to serve as Chief Financial Officer, Harry You to serve as chairman, and Roland Rapp, Kenneth Rivers and Walter Skowronski to serve on the board of directors.

The Company initially had 24 months from the closing of the Initial Public Offering (or June 25, 2023) to complete a Business Combination, which was later extended as discussed below. On June 22, 2023, the Company held an extraordinary general meeting (the “June Meeting”). At the June Meeting, shareholders voted on and approved three proposals: (i) an amendment of the Articles to extend (the “First Extension”) the Combination Period up to twelve (12) times for an additional one (1) month each time (each, an “Extension Period”), only if the Previous Sponsor or its designee would make Contributions into the Trust Account, as a loan, an amount equal to $100,000 for each monthly Extension Period elected by the Company’s board of directors, (ii) an amendment to the Articles to remove the net tangible asset requirement from the Articles in order to expand the methods that the Company may employ so as not to become subject to the “penny stock” rules of the SEC, and (iii) an amendment to the Articles to provide for the right of a holder of the Class B ordinary shares to convert into non-redeemable Class A ordinary shares on a one-for-one basis at any time and from time to time prior to the closing of a Business Combination at the election of the holder.

In connection with the Transfer Transaction, the New Sponsor assumed the obligation to make Contributions in connection with each monthly Extension Period elected by the board of directors. Following the approval of the First Extension, the board of directors elected five Extension Periods and the New Sponsor made an aggregate of $500,000 of Contributions, which were deposited into the Trust Account.

On November 27, 2023, the Company held an extraordinary general meeting in lieu of annual general meeting of the Company (the “November Meeting”). At the November Meeting, shareholders voted on and approved three proposals: (i) an amendment to the Articles to extend (the “Second Extension”) the Combination Period to June 25, 2024, and to allow the Company, without another shareholder vote, by resolution of the board of directors, to elect to further extend the Combination Period for an additional three months, until up to September 25, 2024, without requiring the New Sponsor to make any Contributions into the Trust Account, (ii) an amendment to the Articles to permit the board of directors, in its sole discretion, to elect to wind up the Company’s operations prior to the end of the Combination Period, as determined by the board of directors and included in a public announcement, and (iii) the re-election of Walter Skowronski and Harry L. You as Class I directors to serve for a term of three years or until their respective successors are duly elected or appointed and qualified.

On September 20, 2024, the Company held another extraordinary general meeting, which was later adjourned to September 24, 2024 (the “September Meeting”). At the September Meeting, shareholders voted to amend the Company’s Articles to extend (the “Third Extension”) the Combination Period to October 25, 2024, and to allow the Company, without another shareholder vote, by resolution of the Company’s board of directors, to elect to further extend such date up to two times for an additional one month each time, until up to December 25, 2024, provided that the New Sponsor or its affiliate or designee deposits into the Trust Account, as a loan, one business day following the public announcement by the Company disclosing that the board of directors has approved the monthly extension, with respect to each such additional extension, the lesser of (x) $50,000 and (y) $0.04 multiplied by the number of Public Shares then outstanding, up to a maximum aggregate contribution amount of $150,000 if all monthly extensions are exercised (the “New Contributions”). On September 25, 2024 and October 25, 2024, the Company deposited $50,000 of New Contributions each month, for an aggregate amount of $100,000, to extend the Combination Period through November 25, 2024.

In connection with the shareholder approval of the First Extension on June 22, 2023, the Second Extension on November 27, 2023, and the Third Extension on September 24, 2024, an aggregate of 9,121,799, and 3,001,840 and 1,089,249 Public Shares were redeemed for an aggregate amount of $94,696,372, and $32,132,524, and $12,181,639, respectively. As of September 30, 2024, the Company had 1,787,112 Public Shares outstanding and an aggregate amount of $20,055,086 held in the Trust Account.

In connection with the November Meeting, the Company and an affiliate of the New Sponsor, Harry L. You, entered into non-redemption agreements (collectively, the “Non-Redemption Agreements”) with certain of the Company’s existing shareholders and other unaffiliated investors (collectively, the “Non-Redeeming Shareholders”), pursuant to which the Non-Redeeming Shareholders agreed not to redeem an aggregate of 2,023,236 Public Shares and to vote all of such shares in favor of the proposals brought before the November Meeting. In exchange for these commitments from the Non-Redeeming Shareholders, Mr. You agreed to forfeit at the closing of the Company’s initial Business Combination an aggregate of 606,971 Founder Shares (the “Forfeited Shares”), and the Company

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COLISEUM ACQUISITION CORP.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

agreed to issue to the Non-Redeeming Shareholders a number of newly issued ordinary shares of the Company in an amount equal to the Forfeited Shares.

If the Company is unable to complete a Business Combination within the Combination Period (through November 25, 2024), the Company will (i) cease all operations except for the purpose of winding up; (ii) as promptly as reasonably possible but not more than 10 business days thereafter, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest (less up to $100,000 of interest to pay dissolution expenses and which interest shall be net of taxes payable), divided by the number of then issued and outstanding Public Shares, which redemption will completely extinguish Public Shareholders’ rights as shareholders (including the right to receive further liquidating distributions, if any); and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining shareholders and board of directors, liquidate and dissolve, subject in each case to the Company’s obligations under Cayman Islands law to provide for claims of creditors and the requirements of other applicable law. There will be no redemption rights or liquidating distributions with respect to the Company’s warrants.

In order to protect the amounts held in the Trust Account, the New Sponsor agreed to be liable to the Company if and to the extent any claims by a third party (other than the Company’s independent registered public accounting firm) for services rendered or products sold to the Company, or a prospective target business with which the Company has discussed entering into a transaction agreement, reduce the amount of funds in the Trust Account to below (1) $10.00 per Public Share or (2) such lesser amount per Public Share held in the Trust Account as of the date of the liquidation of the Trust Account due to reductions in the value of the Trust assets, in each case net of the interest that may be withdrawn to pay the Company’s tax obligations, except as to any claims by a third party who executed a waiver of any and all rights to seek access to the Trust Account and except as to any claims under the Company’s indemnity of the underwriter of the Initial Public Offering against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the “Securities Act”). Moreover, in the event that an executed waiver is deemed to be unenforceable against a third party, the New Sponsor will not be responsible to the extent of any liability for such third-party claims. The Company will seek to reduce the possibility that the New Sponsor will have to indemnify the Trust Account due to claims of creditors by endeavoring to have all vendors, service providers (other than the Company’s independent registered public accounting firm), prospective target businesses or other entities with which the Company does business, execute agreements with the Company waiving any right, title, interest or claim of any kind in or to monies held in the Trust Account.

Business Combination with Rain Enhancement Technologies, Inc.

On June 25, 2024, the Company, Rain Enhancement Technologies, Inc. (“RET”), Rain Enhancement Technologies Holdco, Inc., a Massachusetts corporation (“Holdco”), Rainwater Merger Sub 1, Inc., a Cayman Islands exempted company and wholly owned subsidiary of Holdco (“Merger Sub 1”), and Rainwater Merger Sub 2, Inc., a Massachusetts corporation and wholly owned subsidiary of Holdco (“Old Merger Sub 2”) entered into a Business Combination Agreement (the “Business Combination Agreement”). On August 22, 2024, Old Merger Sub 2 entered into an Assignment and Assumption of Business Combination Agreement (the “Assignment”) pursuant to which Old Merger Sub 2 assigned to Rainwater Merger Sub 2A, Inc., a Massachusetts corporation and wholly owned subsidiary of Coliseum (“Merger Sub 2”, and together with Merger Sub 1, the “Merger Subs”), all of Old Merger Sub 2’s right, title and interest in and to the Business Combination Agreement, and Merger Sub 2 assumed, and agreed to perform, satisfy and discharge in full, as the same become due, all of Old Merger Sub 2’s liabilities and obligations under the Business Combination Agreement arising on, from and after the date thereof. Old Merger Sub 2 was liquidated and dissolved on August 23, 2024.

On August 22, 2024, all parties entered into an Amendment to the Business Combination Agreement (the “Amended Business Combination Agreement”). Pursuant to the Amended Business Combination Agreement, among other things and subject to the terms and conditions contained therein, (i) on the day immediately prior to the date of the closing of the Business Combination (the “Closing Date”), Coliseum will merge with and into Merger Sub 1 (the “SPAC Merger”) with Merger Sub 1 surviving the SPAC Merger as a direct, wholly owned subsidiary of Holdco, and (ii) on the Closing Date, following the SPAC Merger and as a part of the same overall transaction, Merger Sub 2 will merge with and into Rainwater (the “Company Merger”, and together with the SPAC Merger, the “Mergers”) with Rainwater surviving the Company Merger as a direct, wholly owned subsidiary of Holdco so that, immediately following completion of the Business Combination, each of Merger Sub 1 and RET will be a wholly owned subsidiary of Holdco. The transaction has a $10 million minimum cash condition, among other material conditions to closing.

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In connection with the proposed Business Combination, concurrently with the execution of the Business Combination Agreement, certain shareholders of RET entered into a voting support agreement with the Company and RET (the “RET Support Agreement”), and certain shareholders of the Company, including the Previous Sponsor and New Sponsor, entered into a voting support agreement with the Company and RET (the “Sponsor Support Agreement”). Additionally, pursuant to the Sponsor Support Agreement, the Previous Sponsor and Mr. You agreed to share, pro rata, in the forfeiture of the Forfeited Shares.

Nasdaq Notice of Delisting

On June 25, 2024, the Company received a notice from the staff of the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”) indicating that, unless the Company timely requests a hearing to appeal the delisting, the Company’s securities would be subject to suspension and delisting at the opening of business on July 5, 2024, due to the Company’s non-compliance with Nasdaq IM-5101-2, which requires that a special purpose acquisition company complete one or more business combinations within 36 months of the effectiveness of its Initial Public Offering registration statement.

On August 14, 2024, the Nasdaq Hearings Panel notified the Company that it granted the Company’s request for continued listing on Nasdaq and an exception to Nasdaq IM-5101-2. Specifically, the Company will now have 180 days from the date of the delisting notice, or until December 23, 2024, to complete its Business Combination, provided that the Company provides the Hearings Panel with certain progress updates relating to the status of the Business Combination.

Going Concern Consideration

As of September 30, 2024, the Company had no cash held outside of the Trust Account and had a working capital deficit of $4,797,417. The Company has incurred and expects to continue to incur significant costs in pursuit of its acquisition plans.

In addition, in order to provide the Contributions and New Contributions and to finance transaction costs in connection with a Business Combination, the Company issued a convertible note (“the Convertible Note”) to the New Sponsor with a principal amount up to $1.5 million on June 22, 2023 as discussed in Note 5. As of September 30, 2024, the Company had $550,000 outstanding under the Convertible Note, which amount was deposited into the Trust Account. On October 25, 2024, the Company borrowed an additional $50,000 under the Convertible Note to deposit in the Trust Account as a New Contribution in connection with the extension through November 25, 2024, increasing the aggregate outstanding balance under the Convertible Note to $600,000.

In connection with management’s assessment of going concern considerations in accordance with FASB ASC Topic 210-40, Presentation of Financial Statements – Going Concern, the Company’s management has determined that the liquidity condition and mandatory liquidation, should a Business Combination not occur, and potential subsequent dissolution raise substantial doubt about the Company’s ability to continue as a going concern through the earlier of the liquidation date or the completion of the initial Business Combination. Management plans to address this uncertainty through a Business Combination as discussed above. There is no assurance that the Company’s plans to consummate the proposed Business Combination with RET or any other Business Combination will be successful or successful within the Combination Period (November 25, 2024). These unaudited condensed consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

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Risks and Uncertainties

United States and global markets are experiencing volatility and disruption following the geopolitical instability resulting from the ongoing Russia-Ukraine conflict and the recent escalation of the Israel-Hamas conflict. In response to the ongoing Russia-Ukraine conflict, the North Atlantic Treaty Organization (“NATO”) deployed additional military forces to eastern Europe, and the United States, the United Kingdom, the European Union and other countries have announced various sanctions and restrictive actions against Russia, Belarus and related individuals and entities, including the removal of certain financial institutions from the Society for Worldwide Interbank Financial Telecommunication (SWIFT) payment system. Certain countries, including the United States, have also provided and may continue to provide military aid or other assistance to Ukraine and to Israel, increasing geopolitical tensions among a number of nations. The invasion of Ukraine by Russia and the escalation of the Israel-Hamas conflict and the resulting measures that have been taken, and could be taken in the future, by NATO, the United States, the United Kingdom, the European Union, Israel and its neighboring states and other countries have created global security concerns that could have a lasting impact on regional and global economies. Although the length and impact of the ongoing conflicts are highly unpredictable, they could lead to market disruptions, including significant volatility in commodity prices, credit and capital markets, as well as supply chain interruptions and increased cyberattacks against U.S. companies. Additionally, any resulting sanctions could adversely affect the global economy and financial markets and lead to instability and lack of liquidity in capital markets.

Any of the above mentioned factors, or any other negative impact on the global economy, capital markets or other geopolitical conditions resulting from the Russian invasion of Ukraine, the escalation of the Israel-Hamas conflict and subsequent sanctions or related actions, could adversely affect the Company’s search for an initial Business Combination and any target business with which the Company may ultimately consummate an initial Business Combination.

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Consolidation and Presentation

The consolidated financial statements for the nine months ended September 30, 2024 includes the accounts of the Company and its subsidiaries: Rainwater Merger Sub 2A, Inc., a Massachusetts corporation and wholly-owned subsidiary of Coliseum that was incorporated on August 22, 2024 and formed solely for the purpose of effectuating the Business Combination with RET. All significant intercompany accounts and transactions have been eliminated.

The accompanying unaudited condensed consolidated financial statements are presented in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and pursuant to the rules and regulations of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted, pursuant to the rules and regulations of the SEC for interim financial reporting. Accordingly, they do not include all the information and footnotes necessary for a comprehensive presentation of financial position, results of operations, or cash flows. In the opinion of management, the accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the Company’s Form 10-K as filed with the SEC on April 5, 2024. The interim results for the three and nine months ended September 30, 2024 are not necessarily indicative of the results to be expected for the year ending December 31, 2024 or for any future periods.

Emerging Growth Company

The Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved. The Company has elected to implement the aforementioned exemptions.

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Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company’s financial statements with another public company which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

Use of Estimates

The preparation of condensed unaudited financial statements in conformity with GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods.

Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the unaudited condensed consolidated financial statements, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ from those estimates. The initial and recurring valuation of the Public Warrants (see Note 3), the recurring valuation of the Private Placement Warrants and the valuations for the shares associated with the Non-Redemption Agreements and deferred consulting fees required management to exercise significant judgment in its estimates.

Cash and Cash Equivalents

The Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents. The Company did not have any cash equivalents as of September 30, 2024 and December 31, 2023.

Cash Held in Trust Account

Until June 27, 2023, when the Company moved its Trust Account out of investment in securities and into an interest-bearing bank deposit account in order to mitigate the risk of being deemed an unregistered investment company, the Company’s portfolio of investments was comprised of U.S. government securities, within the meaning set forth in Section 2(a)(16) of the Investment Company Act, with a maturity of 185 days or less, or investments in money market funds that invest in U.S. government securities and generally have a readily determinable fair value, or a combination thereof.

Class A Ordinary Shares Subject to Possible Redemption

All of the outstanding Public Shares contain a redemption feature which allows for the redemption of such shares in connection with the Company’s liquidation, if there is a shareholder vote or tender offer in connection with a Business Combination and in connection with certain amendments to the Articles. In accordance with SEC and its staff’s guidance on redeemable equity instruments, which has been codified in ASC 480, redemption provisions not solely within the control of the Company require ordinary shares subject to redemption to be classified outside of permanent equity. Therefore, the carrying value of all Public Shares have been classified outside of permanent equity deficit.

The Company recognizes changes in redemption value immediately as they occur and adjusts the carrying value of Public Shares to equal the redemption value at the end of each reporting period. Increases or decreases in the carrying amount of Public Shares are affected by charges against additional paid-in capital and accumulated deficit.

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As of September 30, 2024 and December 31, 2023, the carrying value of Class A ordinary shares reflected in the condensed balance sheets is reconciled in the following table:


Class A ordinary shares subject to possible redemption as of December 31, 2022	$	152,348,535
Plus:
Waiver of Class A ordinary shares subject to possible redemption issuance costs		5,349,375
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		500,000
Less:
Redemption of Class A ordinary shares subject to possible redemption		(126,828,896)
Remeasurement of carrying value to redemption value		(399,256)
Class A ordinary shares subject to possible redemption as of December 31, 2023		30,969,758
Plus:
Remeasurement of carrying value to redemption value		403,224
Class A ordinary shares subject to possible redemption as of March 31, 2024		31,372,982
Plus:
Remeasurement of carrying value to redemption value		408,475
Class A ordinary shares subject to possible redemption as of June 30, 2024		31,781,457
Plus:
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		50,000
Remeasurement of carrying value to redemption value		405,268
Less:
Redemption of Class A ordinary shares subject to possible redemption		(12,181,639)
Class A ordinary shares subject to possible redemption as of September 30, 2024	$	20,055,086

Derivative Financial Instruments

The Company does not use derivative instruments to hedge exposures to cash flow, market, or foreign currency risks. The Company evaluates all of its financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives, pursuant to ASC 480 and FASB ASC Topic 815, Derivatives and Hedging (“ASC 815”). The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is re-assessed at the end of each reporting period. The assessment considers whether the financial instruments are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and whether the financial instruments meet all of the requirements for equity classification under ASC 815, including whether the financial instruments are indexed to the Company’s own ordinary shares, among other conditions for equity classification.

For issued or modified warrants that meet all of the criteria for equity classification, the warrants are required to be recorded as a component of additional paid-in capital at the time of issuance. For issued or modified warrants that do not meet all the criteria for equity classification, the warrants are required to be recorded as liabilities at their initial fair value on the date of issuance, and at each balance sheet date thereafter. Changes in the estimated fair value of the liability-classified warrants are recognized as a non-cash gain or loss on the unaudited condensed consolidated statements of operations. The initial estimated fair value of the Public Warrants was measured using a Monte Carlo simulation approach. The initial and subsequent fair value estimates of the Private Placement Warrants and the subsequent fair value estimates of the Public Warrants when trading volume is low are measured using a modified Black-Scholes option pricing model (see Note 9).

The contingent share receipt and contingent share issuance called for in the Non-Redemption Agreements is a single unit of account, representing a Contingent Forward (as defined in Note 6). Issuance of the Contingent Forward is liability-classified until exercise or expiration of the Optional Extension, at which time classification of the Contingent Forward will be re-assessed. The initial fair value of the Contingent Forward was recognized as a liability in the condensed balance sheets with an offset to non-operating expenses. Subsequent changes in fair value of the liability are recognized in earnings until such time that the instrument ceases to be liability-classified or settles.

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The Deferred Consulting Fees (as defined in Note 6), which may be share-settled, was an equity-linked financial instrument that was required to be recognized as a liability at fair value. The initial fair value of the Deferred Consulting Fees was recognized as a liability in the condensed balance sheets with an offset to non-operating expenses. Subsequent changes in fair value of the liability are recognized in the Company’s unaudited condensed consolidated statements of operations.

Convertible Note Payable – Related Parties

In connection with the Contributions and New Contributions and advances the New Sponsor may make in the future to the Company for working capital expenses, on June 22, 2023, the Company issued a Convertible Note to the New Sponsor with a principal amount up to $1.5 million (see Note 5). Upon the consummation of the Company’s initial Business Combination, the outstanding principal of the Convertible Note may be converted into warrants, at a price of $1.50 per warrant, at the option of the New Sponsor. Such warrants will have terms identical to the Private Placement Warrants. As of September 30, 2024 and December 31, 2023, the Company had $550,000 and $500,000, respectively, outstanding under the Convertible Note. The option to convert the Convertible Note into warrants qualifies as an embedded derivative under ASC 815 and is required to be recognized at fair value with subsequent changes in fair value recognized in the Company’s statements of operations each reporting period until the Convertible Note is repaid or converted. As of September 30, 2024 and December 31, 2023, the fair value of the embedded conversion option had a de minimis value.

Offering Costs Associated with the Initial Public Offering

The Company complies with the requirements of ASC Topic 340, Other Assets and Deferred Costs (“ASC 340”), and SEC Staff Accounting Bulletin Topic 5A, Expenses of Offering. Offering costs consist principally of professional and registration fees incurred that are related to the Initial Public Offering. Offering costs were allocated to the separable financial instruments issued in the Initial Public Offering based on a relative fair value basis, compared to total proceeds received. Offering costs allocated to warrant liabilities were expensed as incurred, presented as non-operating expenses in the unaudited condensed consolidated statements of operations. Offering costs allocated to the Public Shares were charged against the carrying value of the Public Shares upon the completion of the Initial Public Offering.

Waiver or reduction of offering costs were allocated to the separable financial instruments issued in the Initial Public Offering based on a relative fair value basis. Reduction of offering costs allocated to the Public Shares was recognized as a reduction to the carrying value of Public Shares subject to redemption. Offering costs allocated to warrant liabilities were recognized as a gain from extinguishment of liability allocated to warrant liabilities in the unaudited condensed consolidated statements of operations, which represented the original amount expensed in the Company’s Initial Public Offering.

Income Taxes

The Company accounts for income taxes under ASC Topic 740, Income Taxes (“ASC 740”). ASC 740 requires the recognition of deferred tax assets and liabilities for both the expected impact of differences between the financial statements and tax basis of assets and liabilities and for the expected future tax benefit to be derived from tax loss and tax credit carryforwards. ASC 740 additionally requires a valuation allowance to be established when it is more likely than not that all or a portion of deferred tax assets will not be realized.

ASC 740 also clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more likely than not to be sustained upon examination by taxing authorities. ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in an interim period, disclosure and transition. Based on the Company’s evaluation, it has been concluded that there are no significant uncertain tax positions requiring recognition in the Company’s unaudited condensed consolidated financial statements.

The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. There were no unrecognized tax benefits and no amounts accrued for interest and penalties as of September 30, 2024 and December 31, 2023. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position. The Company is considered an exempted Cayman Islands company and is presently not subject to income taxes or income

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tax filing requirements in the Cayman Islands or the United States. Consequently, income taxes are not reflected in the Company’s unaudited condensed consolidated financial statements.

Net Income(Loss) Per Ordinary Share

The Company complies with accounting and disclosure requirements of ASC 260, Earnings Per Share. Income (loss) per ordinary share is computed by dividing net income (loss) by the weighted average number of ordinary shares outstanding during the period. Remeasurement associated with the Public Shares subject to redemption is excluded from income (loss) per share as the redemption value approximates fair value. Therefore, the income (loss) per share calculation allocates income shared pro rata between Public Shares and a combination of Class B and non-redeemable Class A ordinary shares. As a result, the calculated net income (loss) per ordinary share is the same for Public Shares and a combination of Class B non-redeemable and Class A ordinary shares. The Company has not considered the effect of the Public Warrants and Private Placement Warrants to purchase an aggregate of 8,225,000 shares in the calculation of diluted net income (loss) per share, since the exercise of the warrants are contingent upon the occurrence of future events. As a result, diluted income (loss) per share is the same as basic income (loss) per share for the periods presented.

The following tables reflect the calculation of basic and diluted net income (loss) per ordinary share (in dollars, except per share amounts):


	For the three months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(296,667)	$	(398,262)	$	386,287	$	246,432

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,793,483		3,750,000		5,878,201		3,750,000
Basic and diluted net income (loss) per ordinary share	$	(0.11)	$	(0.11)	$	0.07	$	0.07


	For the nine months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(592,195)	$	(779,604)	$	2,036,047	$	656,774

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,848,533		3,750,000		11,625,269		3,750,000

Basic and diluted net income (loss) per ordinary share	$	(0.21)	$	(0.21)	$	0.18	$	0.18

Concentration of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist of a cash account in a financial institution, which, at times, may exceed the Federal Deposit Insurance Corporation coverage of $250,000. Any loss incurred or a lack

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of access to such funds could have a significant adverse impact on the Company’s financial condition, results of operations and cash flows.

Fair Value of Financial Instruments

The Company applies ASC Topic 820, Fair Value Measurement (“ASC 820”), which establishes a framework for measuring fair value and clarifies the definition of fair value within that framework. ASC 820 defines fair value as an exit price, which is the price that would be received for an asset or paid to transfer a liability in the Company’s principal or most advantageous market in an orderly transaction between market participants on the measurement date. The fair value hierarchy established in ASC 820 generally requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the entity’s own assumptions based on market data and the entity’s judgments about the assumptions that market participants would use in pricing the asset or liability and are to be developed based on the best information available in the circumstances.

The carrying amounts reflected in the condensed balance sheets for cash, prepaid expenses and other current assets, and accounts payable and accrued expenses approximate fair value due to their short-term nature.

●

Level 1 — Assets and liabilities with unadjusted, quoted prices listed on active market exchanges. Inputs to the fair value measurement are observable inputs, such as quoted prices in active markets for identical assets or liabilities.

●

Level 2 — Inputs to the fair value measurement are determined using prices for recently traded assets and liabilities with similar underlying terms, as well as direct or indirect observable inputs, such as interest rates and yield curves that are observable at commonly quoted intervals.

●

Level 3 — Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities.

See Note 9 for additional information on assets and liabilities measured at fair value.

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 Company’s unaudited condensed consolidated financial statements.

NOTE 3. INITIAL PUBLIC OFFERING

In the Initial Public Offering, the Company sold 15,000,000 Units at $10.00 per Unit, generating gross proceeds of $150,000,000. Each Unit consisted of one Public Share and one-third of one Public Warrant. Each Public Warrant entitles the holder to purchase one Class A ordinary share at an exercise price of $11.50 per whole share (see Note 7). The Company granted the underwriter a 45-day option to purchase up to 2,250,000 additional Units to cover over-allotments at the Initial Public Offering price, less the underwriting discounts and commissions, which the underwriter did not exercise and expired on August 6, 2021.

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NOTE 4. PRIVATE PLACEMENT

Simultaneously with the closing of the Initial Public Offering, the Previous Sponsor purchased an aggregate of 3,225,000 Private Placement Warrants at a price of $1.50 per Private Placement Warrant (for an aggregate purchase price of $4,837,500). Each Private Placement Warrant is exercisable to purchase one Class A ordinary share at a price of $11.50 per share. The proceeds from the sale of the Private Placement Warrants were added to the net proceeds from the Initial Public Offering held in the Trust Account. If the Company does not complete a Business Combination within the Combination Period, the proceeds from the sale of the Private Placement Warrants will be used to fund the redemption of the Public Shares (subject to the requirements of applicable law). There will be no redemption rights or liquidating distributions with respect to the Company’s warrants.

NOTE 5. RELATED PARTY TRANSACTIONS

Founder Shares

On February 17, 2021, the Previous Sponsor paid an aggregate of $25,000 to cover certain expenses on behalf of the Company in exchange for the issuance of 4,312,500 Founder Shares. The Founder Shares included an aggregate of up to 562,500 Class B ordinary shares subject to forfeiture by the Previous Sponsor to the extent that the underwriter’s over-allotment option was not exercised in full or in part, so that the Previous Sponsor would own, on an as-converted basis, 20% of the Company’s issued and outstanding shares after the Initial Public Offering. Upon the expiration of the over-allotment option on August 6, 2021, 562,500 Class B ordinary shares were forfeited, resulting in an aggregate of 3,750,000 Founder Shares outstanding.

A total of five anchor investors purchased 7,440,000 Units in the Initial Public Offering; with one anchor investor purchasing 2,235,000 Units, three anchor investors each purchasing 1,485,000 Units, and one anchor investor purchasing 750,000 Units. The anchor investors have not been granted any shareholder or other rights in addition to those afforded to the Company’s other Public Shareholders, other than a right of first refusal with respect to any private placement in connection with a Business Combination. Further, the anchor investors are not required to (i) hold any Units, Public Shares or Public Warrants they purchased in the Initial Public Offering, or thereafter, for any amount of time, (ii) vote any Public Shares they may own at the applicable time in favor of the Business Combination or (iii) refrain from exercising their right to redeem their Public Shares at the time of the Business Combination. The anchor investors will have the same rights to the funds held in the Trust Account with respect to the Public Shares they purchased in the Initial Public Offering as the rights afforded to the Company’s other Public Shareholders.

Each anchor investor entered into separate anchor commitment letters with the Company and the Previous Sponsor pursuant to which each anchor investor purchased a specified amount of membership interests from the Previous Sponsor upon closing of the Initial Public Offering.

The Previous Sponsor will retain voting and dispositive power over the anchor investors’ portion of the Founder Shares held by the Previous Sponsor until the consummation of the initial Business Combination, following which time the Previous Sponsor will distribute such Founder Shares to the anchor investors (subject to applicable lock-up restrictions). The estimated fair value of the Founder Shares as of the execution of the anchor commitment letters was $5.38 per share, or $2,994,491 in the aggregate, which was $2,159,708 in excess of the amount paid by anchor investors for this interest.

On June 15, 2023, the Company, the Previous Sponsor and New Sponsor entered into the Purchase Agreement, pursuant to which the Previous Sponsor agreed to sell to the New Sponsor, and the New Sponsor agreed to purchase from Previous Sponsor an aggregate of (i) 2,625,000 Founder Shares and (ii) 2,257,500 Private Placement Warrants held by the Previous Sponsor. Prior to the completion of the Transfer Transaction, New Sponsor assigned its right to receive the 2,625,000 Founder Shares to Harry You. The Transfer Transaction was consummated on June 26, 2023, and immediately thereafter the Previous Sponsor elected to convert each of the remaining 1,125,000 Class B ordinary shares it held into Class A ordinary shares on a one-for-one basis and Mr. You elected to convert 2,624,999 of the 2,625,000 Class B ordinary shares he held into Class A ordinary shares on a one for one basis, leaving one Class B ordinary share outstanding.

The Initial Shareholders agreed that, subject to certain limited exceptions, the Founder Shares (including 3,749,999 non-redeemable Class A ordinary shares and one Class B ordinary share) will not be transferred, assigned, or sold until the earlier of (A) one year after

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the completion of a Business Combination or (B) subsequent to a Business Combination, (x) if the last reported sale price of the Company’s Class A ordinary shares equals or exceeds (i) $12.00 per share (as adjusted for share subdivisions, share dividends, rights issuances, reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 150 days after a Business Combination or (ii) $18.00 per share (as adjusted for share subdivisions, share dividends, rights issuances, reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 75 days after a Business Combination, or (y) the date on which the Company completes a liquidation, merger, share exchange, reorganization or other similar transaction that results in all of the Public Shareholders having the right to exchange their ordinary shares for cash, securities or other property.

Administrative Services Agreement

The Company entered into an agreement, commencing on June 22, 2021, to pay an affiliate of the Previous Sponsor a total of $10,000 per month for administrative, financial and support services. The Company accrued $70,000 in connection with such agreement and upon closing of the Transfer Transaction on June 26, 2023, the Previous Sponsor forgave the balance owed upon consummation of the Transfer Transaction. The forgiveness amount is recorded as additional paid-in capital in the accompanying condensed balance sheets.

On July 25, 2023, the Company entered into a new administrative support agreement with the New Sponsor, pursuant to which the Company agreed to pay the New Sponsor or an affiliate of the New Sponsor a total of $10,000 per month for administrative, financial and support services. Upon the completion of a Business Combination, the Company will cease paying these monthly fees.

The Company incurred $30,000 and $90,000 in connection to such agreements for each of the three and nine months ended September 30, 2024 and 2023. As of September 30, 2024 and December 31, 2023, the Company had $150,000 and $60,000 in accounts payable and accrued expenses to related parties owed to the New Sponsor in connection with such arrangements.

Related Party Loans and Advances

Advances

As of December 31, 2022, the Company had advanced an aggregate of $2,058 to the Previous Sponsor. In April 2023, the Previous Sponsor advanced $50,000 to the Company for working capital needs. In June 2023, the Company repaid $9,114 to the Previous Sponsor and the Previous Sponsor forgave $38,828 in remaining net loans owed to it. The forgiveness amount is recorded as additional paid-in capital in the accompanying condensed balance sheets.

As of September 30, 2024 and December 31, 2023, the New Sponsor had advanced an aggregate of $1,496,557 and $579,190 to the Company for working capital needs. Subsequent to September 30, 2024, the New Sponsor advanced an additional amount of $42,084 increasing the aggregate outstanding amount to $1,538,641.

Convertible Promissory Note

In connection with the Contributions and New Contributions and advances the New Sponsor may make in the future to the Company for working capital expenses, on June 22, 2023, the Company issued a Convertible Note to the New Sponsor with a principal amount up to $1.5 million. The Convertible Note bears no interest and is repayable in full upon the earlier of (a) the date of the consummation of the Company’s initial Business Combination, or (b) the date of the Company’s liquidation. If the Company does not consummate an initial Business Combination by the end of the Combination Period, the Convertible Note will be repaid only from funds held outside of the Trust Account or will be forfeited, eliminated or otherwise forgiven. Upon the consummation of the Company’s initial Business Combination, the outstanding principal of the Convertible Note may be converted into warrants, at a price of $1.50 per warrant, at the option of the New Sponsor. Such warrants will have terms identical to the Private Placement Warrants. As of September 30, 2024 and December 31, 2023, the Company had $550,000 and $500,000, respectively, outstanding under the Convertible Note, which amount was deposited into the Trust Account. On October 25, 2024, the Company borrowed an additional $50,000 under the Convertible Note to deposit in the Trust Account as a New Contribution in connection with the extension through November 25, 2024, increasing the aggregate outstanding balance under the Convertible Note to $600,000.

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NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

The option to convert the Convertible Note into warrants qualifies as an embedded derivative under ASC 815 and is required to be recognized at fair value with subsequent changes in fair value recognized in the Company’s statements of operations each reporting period until the Convertible Note is repaid or converted. As of September 30, 2024 and December 31, 2023, the fair value of the embedded conversion option had a de minimis value.

Amendment to Letter Agreement with Insiders

On August 22, 2024, Coliseum entered into an amendment of its letter agreement established in connection with the Initial Public Offering between Coliseum and its officers, directors and Sponsors, which provides (i) for reimbursement of $500,000 of out-of-pocket expenses incurred by Coliseum’s Chairman and his affiliates to finance transaction costs in connection with the Business Combination, and (ii) for each of Coliseum’s directors other than its Chairman to receive $100,000 in cash as compensation for services provided to Coliseum upon the earlier to occur of the consummation of the Business Combination or the liquidation of Coliseum.

NOTE 6. COMMITMENTS AND CONTINGENCIES

Registration Rights Agreement

The holders of the Founder Shares, Private Placement Warrants and warrants that may be issued upon conversion of Convertible Note or other working capital loans (“Working Capital Loans”) (and any Class A ordinary shares issuable upon the conversion of the Class B ordinary shares or exercise of the Private Placement Warrants and warrants issued upon conversion of the Convertible Note) are entitled to registration rights requiring the Company to register such securities for resale (in the case of the Founder Shares, only after conversion to Class A ordinary shares). The holders of these securities will be entitled to make up to three demands, excluding short form registration demands, that the Company register such securities. In addition, the holders have certain “piggyback” registration rights with respect to registration statements filed subsequent to the completion of a Business Combination. The Company will bear the expenses incurred in connection with the filing of any such registration statements.

Underwriting Agreement

The Company granted the underwriter a 45-day option to purchase up to 2,250,000 additional Units to cover over-allotments at the Initial Public Offering price, less the underwriting discounts and commissions, which the underwriter did not exercise and which expired on August 6, 2021.

The underwriter was paid a cash underwriting discount of $0.20 per Unit, or $3,000,000 in the aggregate, upon the closing of the Initial Public Offering. The underwriter paid $750,000 to the Company to reimburse certain of the Company’s expenses in connection with the Initial Public Offering. In addition, $0.375 per Unit, or $5,625,000 in the aggregate was to become payable to the underwriter for deferred underwriting commissions (“Deferred Underwriting Fee”). The Deferred Underwriting Fee was to become payable to the underwriter from the amounts held in the Trust Account solely in the event that the Company completes a Business Combination, subject to the terms of the underwriting agreement.

Effective as of June 12, 2023, the underwriter of the Initial Public Offering waived its entitlement to the Deferred Underwriting Fee in the amount of $5,625,000. The Company recognized $5,349,375 of the Deferred Underwriting Fee waiver as a reduction to the carrying value of Public Shares subject to redemption with the remaining balance of $275,625 recognized as a gain from extinguishment of deferred underwriting fee allocated to warrant liabilities in the unaudited condensed consolidated statements of operations, which represents the original amount expensed in the Company’s Initial Public Offering.

Non-Redemption Agreements

In connection with the November Meeting, the Company and Mr. You entered into Non-Redemption Agreements with Non-Redeeming Shareholders, pursuant to which the Non-Redeeming Shareholders agreed not to redeem an aggregate of 2,023,236 Public Shares and to vote all of such shares in favor of the proposals brought before the November Meeting. In exchange for these commitments from the Non-Redeeming Shareholders, Mr. You agreed to forfeit at the closing of the Company’s initial Business Combination an aggregate of 606,971 Forfeited Shares, and the Company agreed to issue to the Non-Redeeming Shareholders a number of newly issued ordinary

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shares of the Company in an amount equal to the Forfeited Shares. Pursuant to the Sponsor Support Agreement, the Previous Sponsor agreed that it would share in such forfeitures, pro rata. The Company’s management determined that the contingent share forfeiture by Mr. You and the Previous Sponsor and contingent share issuance to the Non-Redeeming Shareholders is a single unit of account (hereinafter referred to as the “Contingent Forward”). The Contingent Forward is classified as a liability.

As of September 30, 2024 and December 31, 2023, the aggregate fair value of the Contingent Forward was $218,277 and $194,677, respectively. The Company recognized a loss in change in the fair value of non-redemption agreements of $34,792 and $23,600 for the three and nine months ended September 30, 2024, respectively.

Deferred Consulting Fee

On November 22, 2023, the Company engaged a consultant who also holds the Company’s Public Shares to provide the Company with consulting, advisory and related services with respect to the proxy statement that was approved in the November Meeting on November 27, 2023. The Company agreed to pay the consultant aggregate cash fees totaling $250,000 and a deferred fee (“Deferred Consulting Fee”) at the closing of the Business Combination in cash equal to the product of (i) 100,000 and (ii) the redemption price per share determined in connection with the Business Combination (the “Share Consideration Payment”). In order for the consultant to receive the Share Consideration Payment, the consultant must not redeem 100,000 Public Shares at the time of the Business Combination redemption deadline. If the consultant does not hold 100,000 Public Shares through the redemption deadline for the Business Combination, the consultant will receive 100,000 Founder Shares at the closing of the Business Combination in lieu of the Share Consideration Payment.

The obligation, which may be share-settled, is an equity-linked financial instrument that is required to be recognized as a liability at fair value, with changes in fair value recognized in the Company’s unaudited condensed consolidated statements of operations. The Company recognized the initial fair value of the Deferred Consulting Fee as a liability, upon execution of the consulting agreement in November 2023. As of September 30, 2024 and December 31, 2023, the fair value of the Deferred Consulting Fee was $35,904 and $31,233, respectively. Loss resulted from changes in fair value of such instrument of $6,069 and $4,671, amounts of which were recognized in the Company’s unaudited condensed consolidated statements of operations for the three and nine months ended September 30, 2024, respectively. The estimated fair value of the Deferred Consulting Fee is determined using Level 3 inputs.

NOTE 7. WARRANTS

Public Warrants may only be exercised for a whole number of shares. No fractional shares will be issued upon exercise of the Public Warrants. The Public Warrants will become exercisable on the later of (a) 30 days after the completion of a Business Combination and (b) 12 months from the closing of the Initial Public Offering. The Public Warrants will expire five years from the completion of a Business Combination, at 5:00 p.m., New York City time, or earlier upon redemption or liquidation.

The Company will not be obligated to deliver any Class A ordinary shares pursuant to the exercise of a Public Warrant and will have no obligation to settle such Public Warrant exercise unless a registration statement under the Securities Act covering the issuance of the Class A ordinary shares issuable upon exercise of the Public Warrants is then effective and a current prospectus relating thereto is current, subject to the Company satisfying its obligations with respect to registration, or a valid exemption from registration is available, including in connection with a cashless exercise permitted as a result of a notice of redemption. No Public Warrant will be exercisable for cash or on a cashless basis, and the Company will not be obligated to issue any shares to holders seeking to exercise their Public Warrants, unless the issuance of the shares upon such exercise is registered or qualified under the securities laws of the state of the exercising holder, or an exemption is available.

The Company agreed that as soon as practicable, but in no event later than fifteen (15) business days, after the closing of a Business Combination, the Company will use its commercially reasonable efforts to file with the SEC a registration statement for the registration, under the Securities Act, of the issuance of the Class A ordinary shares issuable upon exercise of the Public Warrants. The Company will use its commercially reasonable efforts to cause the same to become effective within sixty (60) business days after the closing of a Business Combination and to maintain the effectiveness of such registration statement, and a current prospectus relating thereto, until the expiration of the Public Warrants in accordance with the provisions of the Warrant Agreement. If a registration statement covering the Class A ordinary shares issuable upon exercise of the Public Warrants is not effective by the sixtieth (60th) business day after the

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closing of a Business Combination, Public Warrant holders may, until such time as there is an effective registration statement and during any period when the Company will have failed to maintain an effective registration statement (other than any such period as may be necessary in connection with the preparation and filing of a post-effective amendment to any registration statement following the filing of the Company’s Annual Report on Form 10-K for its first completed fiscal year following the consummation of a Business Combination), exercise Public Warrants on a “cashless basis” in accordance with Section 3(a)(9) of the Securities Act or another exemption. Notwithstanding the above, if Class A ordinary shares are at the time of any exercise of a Public Warrant not listed on a national securities exchange such that they satisfy the definition of a “covered security” under Section 18(b)(1) of the Securities Act, the Company may, at its option, require holders of Public Warrants who exercise their Public Warrants to do so on a “cashless basis” in accordance with Section 3(a)(9) of the Securities Act and, in the event the Company so elects, the Company will not be required to file or maintain in effect a registration statement, and in the event the Company does not so elect, the Company will use its commercially reasonable efforts to register or qualify the shares under applicable blue sky laws to the extent an exemption is not available.

Redemption of Public Warrants when the price per Class A ordinary share equals or exceeds $18.00 - Once the Public Warrants become exercisable, the Company may redeem the outstanding Public Warrants:

●

in whole and not in part;

●

at a price of $0.01 per Public Warrant;

●

upon not less than 30 days’ prior written notice of redemption to each Public Warrant holder; and

●

if, and only if, the last reported sale price of the Class A ordinary shares for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which the Company sends the notice of redemption to the Public Warrant holders (the “Reference Value”) equals or exceeds $18.00 per share (as adjusted for share subdivisions, share dividends, rights issuances, reorganizations, recapitalizations and the like).

The Company will not redeem the Public Warrants as described above unless a registration statement under the Securities Act covering the issuance of the Class A ordinary shares issuable upon exercise of the Public Warrants is then effective and a current prospectus relating to those Class A ordinary shares is available throughout the 30-day redemption period. If and when the Public Warrants become redeemable by the Company, the Company may exercise its redemption right even if the Company is unable to register or qualify the underlying securities for sale under all applicable state securities laws.

Redemption of Public Warrants when the price per Class A ordinary share equals or exceeds $10.00 - Once Public Warrants become exercisable, the Company may redeem the outstanding Public Warrants:

●

in whole and not in part;

●

at $0.10 per Public Warrant upon a minimum of 30 days’ prior written notice of redemption provided that holders will be able to exercise their Public Warrants on a cashless basis prior to redemption and receive that number of shares determined by reference based on the redemption date and the fair market value of the Class A ordinary shares, subject to certain exceptions;

●

if, and only if, the Reference Value equals or exceeds $10.00 per share (as adjusted for share subdivisions, share dividends, rights issuances, reorganizations, recapitalizations and the like); and

●

if the Reference Value is less than $18.00 per share (as adjusted for share subdivisions, share dividends, rights issuances, reorganizations, recapitalizations and the like), the Private Placement Warrants must also be concurrently called for redemption on the same terms as the outstanding Public Warrants, as described above.

The fair market value of the Company’s Class A ordinary shares shall mean the volume weighted average price of the Class A ordinary shares during the 10 trading days ending on the third trading day prior to the date on which the notice of redemption is sent to the holders of Public Warrants. The Company will provide its Public Warrant holders with the final fair market value no later than the date on which the notice of redemption is sent to the holders of Public Warrants. In no event will the Public Warrants be exercisable in connection with this redemption feature for more than 0.361 Class A ordinary shares per Public Warrant (subject to adjustment).

In addition, if (x) the Company issues additional ordinary shares or equity-linked securities for capital raising purposes in connection with the closing of a Business Combination at an issue price or effective issue price of less than $9.20 per ordinary share (with such issue price or effective issue price to be determined in good faith by the Company’s board of directors and, in the case of any such

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issuance to the Previous Sponsor or its affiliates, without taking into account any Founder Shares held by the Previous Sponsor or such affiliates, as applicable, prior to such issuance) (the “Newly Issued Price”), (y) the aggregate gross proceeds from such issuances represent more than 60% of the total equity proceeds, and interest thereon, available for the funding of a Business Combination on the date of the completion of a Business Combination (net of redemptions), and (z) the volume weighted average trading price of the Class A ordinary shares during the 20 trading day period starting on the trading day prior to the day on which the Company consummates a Business Combination (such price, the “Market Value”) is below $9.20 per share, the exercise price of the Public Warrants will be adjusted (to the nearest cent) to be equal to 115% of the higher of the Market Value and the Newly Issued Price, the $18.00 per share redemption trigger price described above under “— Redemption of Public Warrants when the price per Class A ordinary share equals or exceeds $18.00” and “— Redemption of Public Warrants when the price per Class A ordinary share equals or exceeds $10.00” will be adjusted (to the nearest cent) to be equal to 180% of the higher of the Market Value and the Newly Issued Price, and the $10.00 per share redemption trigger price described above under “— Redemption of Public Warrants when the price per Class A ordinary share equals or exceeds $10.00” will be adjusted (to the nearest cent) to be equal to the higher of the Market Value and the Newly Issued Price.

The Private Placement Warrants are identical to the Public Warrants, except that the Private Placement Warrants and the Class A ordinary shares issuable upon the exercise of the Private Placement Warrants will not be transferable, assignable or salable until 30 days after the completion of a Business Combination, subject to certain limited exceptions. Additionally, the Private Placement Warrants will be exercisable on a cashless basis and be non-redeemable so long as they are held by the Previous Sponsor, New Sponsor, or its or their permitted transferees. If the Private Placement Warrants are held by someone other than the Previous Sponsor, New Sponsor, or its or their permitted transferees, the Private Placement Warrants will be redeemable by the Company and exercisable by such holders on the same basis as the Public Warrants.

As of September 30, 2024 and December 31, 2023, there were 5,000,000 Public Warrants and 3,225,000 Private Placement Warrants outstanding. The Company accounts for the Public Warrants and Private Placement Warrants in accordance with the guidance contained in ASC 815. Such guidance provides that because the warrants do not meet the criteria for equity treatment thereunder, each warrant must be recorded as a liability.

The Public Warrants and the Private Placement Warrants are derivate warrant liabilities in accordance with ASC 815. Accordingly, the Company recognizes the warrant instruments as liabilities at fair value and adjusts the instruments to fair value at each reporting period. The warrant liabilities are subject to re-measurement at each balance sheet date. With each such re-measurement, the warrant liabilities are adjusted to current fair value, with the change in fair value recognized in the Company’s unaudited condensed consolidated statements of operations. The Company will reassess the classification at each balance sheet date. If the classification changes as a result of events during the period, the warrants will be reclassified as of the date of the event that causes the reclassification. Refer to Note 9 for additional information on the fair value measurements of these warrants.

NOTE 8. SHAREHOLDERS’ DEFICIT

Preferred shares — The Company is authorized to issue 5,000,000 preferred shares with a par value of $0.001 per share with such designations, voting and other rights and preferences as may be determined from time to time by the Company’s board of directors. As of September 30, 2024 and December 31, 2023, there were no preferred shares issued or outstanding.

Class A ordinary shares — The Company is authorized to issue 500,000,000 Class A ordinary shares with a par value of $0.001 per share. As of December 31, 2022, there were 15,000,000 Class A ordinary shares issued and outstanding, all of which were subject to possible redemption and were classified outside of permanent equity in the condensed balance sheets (see Note 2). In connection with the shareholder approval of the First Extension on June 22, 2023, the Second Extension on November 27, 2023, and the Third Extension on September 24, 2024, an aggregate of 9,121,799, and 3,001,840, and 1,089,249 Public Shares were redeemed for an aggregate amount of $94,696,372, and $32,132,524, and $12,181,639, respectively. On June 26, 2023, immediately following the completion of the Transfer Transaction, the Previous Sponsor elected to convert each of the remaining 1,125,000 Class B ordinary shares it held into Class A ordinary shares on a one-for-one basis and Mr. You elected to convert 2,624,999 of the 2,625,000 Class B ordinary shares he held into Class A ordinary shares on a one for one basis. As of September 30, 2024 and December 31, 2023, there were a total of 5,537,111 Class A ordinary shares issued and outstanding, of which 1,787,112 shares and 2,876,361, respectively, were subject to possible

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SEPTEMBER 30, 2024

redemption and were classified outside of permanent equity in the condensed balance sheets and 3,749,999 shares were non-redeemable and classified in shareholders’ deficit.

Class B ordinary shares — The Company is authorized to issue 50,000,000 Class B ordinary shares with a par value of $0.001 per share. Upon the expiration of the over-allotment option on August 6, 2021, 562,500 Class B ordinary shares were forfeited, resulting in an aggregate of 3,750,000 Founder Shares outstanding. Following the conversions by the Previous Sponsor and Mr. You of an aggregate of 3,749,999 Class B ordinary shares on a one-for-one basis into Class A ordinary shares on June 26, 2023, there was one Class B ordinary share outstanding. As of September 30, 2024 and December 31, 2023, there was one Class B ordinary share issued and outstanding.

Class A ordinary shareholders and Class B ordinary shareholders of record are entitled to one vote for each share held on all matters to be voted on by shareholders and vote together as a single class, except as required by law; provided, that, prior to a Business Combination, holders of the Class B ordinary shares will have the right to appoint all of the Company’s directors and remove members of the board of directors for any reason, and holders of the Class A ordinary shares will not be entitled to vote on the appointment of directors during such time.

The Class B ordinary shares will automatically convert into Class A ordinary shares at the time of a Business Combination, or earlier at the option of the holder, on a one-for-one basis, subject to adjustment for share subdivisions, share dividends, rights issuances, reorganizations, recapitalizations and the like, and subject to further adjustment. In the case that additional Class A ordinary shares, or equity-linked securities, are issued or deemed issued in excess of the amounts issued in the Initial Public Offering and related to the closing of a Business Combination, the ratio at which the Class B ordinary shares will convert into Class A ordinary shares will be adjusted (unless the holders of a majority of the issued and outstanding Class B ordinary shares agree to waive such anti-dilution adjustment with respect to any such issuance or deemed issuance) so that the number of Class A ordinary shares issuable upon conversion of all Class B ordinary shares will equal, in the aggregate, on an as-converted basis, 20% of the sum of all ordinary shares issued and outstanding upon the completion of the Initial Public Offering plus all Class A ordinary shares and equity-linked securities issued or deemed issued in connection with a Business Combination, excluding any shares or equity-linked securities issued, or to be issued, to any seller in a Business Combination.

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NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

NOTE 9. FAIR VALUE MEASUREMENT

The following tables present information about the Company’s financial assets and liabilities that are measured at fair value on a recurring basis as of September 30, 2024 and December 31, 2023, and indicate the fair value hierarchy of the valuation inputs the Company utilized to determine such fair value:

September 30, 2024


	Quoted Prices in		Significant Other		Significant Other
	Active Markets		Observable Inputs		Unobservable Inputs
Description	(Level 1)		(Level 2)		(Level 3)
Liabilities:
Warrant liability – Public Warrants	$	—	$	250,000	$	—
Warrant liability – Private Placement Warrants	$	—	$	—	$	161,250
Deferred consulting fees	$	—	$	—	$	35,904
Non-redemption agreement liabilities	$	—	$	—	$	218,277

December 31, 2023


	Quoted Prices in		Significant Other		Significant Other
	Active Markets		Observable Inputs		Unobservable Inputs
Description	(Level 1)		(Level 2)		(Level 3)
Liabilities:
Warrant liability – Public Warrants	$	—	$	200,000	$	—
Warrant liability – Private Placement Warrants	$	—	$	—	$	129,000
Deferred consulting fees	$	—	$	—	$	31,233
Non-redemption agreement liabilities	$	—	$	—	$	194,677

As of September 30, 2024 and December 31, 2023, the Company had $550,000 outstanding under the Convertible Note. The option to convert the Convertible Note into warrants qualifies as an embedded derivative under ASC 815 and is required to be recognized at fair value with subsequent changes in fair value recognized in the Company’s unaudited condensed consolidated statements of operations each reporting period until the Convertible Note is repaid or converted. As of September 30, 2024 and December 31, 2023, the fair value of the embedded conversion option had a de minimis value.

The Company initially utilized a Monte Carlo simulation model for the initial valuation of the Public Warrants. The subsequent measurement of the Public Warrants was classified as Level 1 due to the use of an observable market quote in an active market under the ticker MITAW. In September 2023, the fair value measurements for Public Warrants were transferred to Level 2 due to low trading volume.

The Company utilizes a modified Black-Scholes method to value the Private Placement Warrants at each reporting period, with changes in fair value recognized in the Company’s unaudited condensed consolidated statements of operations. The estimated fair value of the Private Placement Warrants are determined using Level 3 inputs. Inherent in a binomial options pricing model are assumptions related to expected share-price volatility, expected life, risk-free interest rate and dividend yield. The Company estimates the volatility of its ordinary shares based on historical volatility that matches the expected remaining life of the warrants. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the date of valuation for a maturity similar to the expected remaining life of the warrants. The expected life of the warrants is assumed to be equivalent to their remaining contractual term. The dividend rate is based on the historical rate, which the Company anticipates to remain at zero.

Transfers to/from Levels 1, 2, and 3 are recognized at the end of the reporting periods. The estimated fair value of the Public Warrants transferred from a Level 3 measurement to a Level 1 fair value measurement after the Public Warrants were separately listed and traded in August 2021. Starting in September 2023, the fair value measurement for Public Warrants was transferred to Level 2 measurement due to low trading volume.

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COLISEUM ACQUISITION CORP.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

The following table provides the significant inputs to the modified Black-Scholes method for the fair value of the Private Placement Warrants:


	As of September 30, 2024			As of December 31, 2023
Stock price	$	11.14		$	10.66
Exercise price	$	11.50		$	11.50
Expected term (in years)		5.2			5.5
Volatility (*)		3.2	%		5.1	%
Risk-free rate		3.5	%		3.8	%
Fair value of warrants	$	0.05		$	0.04

*The probability of completing a Business Combination is considered within the volatility implied by the traded price of the Public Warrants which is used to value the Private Placement Warrants.

For the three and nine months ended September 30, 2024, the Company recognized gain (loss) in connection with decreases (increases) in the fair value of warrant liabilities of $0 and $(82,250) within change in fair value of derivative warrant liabilities in the Company’s unaudited condensed consolidated statements of operations, respectively. For the three and nine months ended September 30, 2023, the Company recognized loss in connection with increases in the fair value of warrant liabilities of $246,750 and $(658,000) within change in fair value of derivative warrant liabilities in the Company’s unaudited condensed consolidated statements of operations, respectively.

The following table provides the significant inputs to the Black-Scholes method for the fair value of the non-redemption agreement liabilities:


	As of September 30, 2024			As of December 31, 2023
Stock price	$	11.14		$	10.66
Expected term (in years)		0.20			0.70
Risk-free rate		4.4	%		5.3	%
Probability of closing of merger		3.2	%		2.9	%

The Company recognized loss in connection with changes in fair value of non-redemption agreement liabilities of $34,792 and $23,600 in the Company’s condensed statements of operations for the three and nine months ended September 30, 2024, respectively.

The following table provides the significant inputs to the Black-Scholes method for the fair value of the deferred consulting fees:


	As of September 30, 2024			As of December 31, 2023
Number of shares		100,000			100,000
Redemption rate	$	11.22		$	10.77
Probability of closing of merger		3.2	%		2.9	%
Fair value of deferred consulting fees	$	35,904		$	31,233

The Company recognized gain in connection with changes in fair value of deferred consulting fees of $6,069 and $4,671 in the Company’s unaudited condensed consolidated statements of operations for the three and nine months ended September 30, 2024, respectively.

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COLISEUM ACQUISITION CORP.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2024

The changes in the Level 3 fair value of the derivative liabilities are summarized as follows:

For the three and nine months ended September 30, 2024:


Balance as of December 31, 2023 - Level 3	$	354,910
Change in fair value of deferred consulting fees		13,498
Change in fair value of non-redemption agreement liabilities		80,139
Change in fair value of derivative warrant liabilities - Private Warrants		83,850
Balance as of March 31, 2024 - Level 3		532,397
Change in fair value of deferred consulting fees		(14,896)
Change in fair value of non-redemption agreement liabilities		(91,331)
Change in fair value of derivative warrant liabilities - Private Warrants		(51,600)
Balance as of June 30, 2024 - Level 3		374,570
Change in fair value of deferred consulting fees		6,069
Change in fair value of non-redemption agreement liabilities		34,792
Change in fair value of derivative warrant liabilities - Private Warrants		—
Balance as of September 30, 2024 - Level 3	$	415,431

For the three and nine months ended September 30, 2023:


Balance as of December 31, 2022 - Level 3	$	129,000
Change in fair value of derivative warrant liabilities - Private Warrants		225,750
Balance as of March 31, 2023 - Level 3		354,750
Change in fair value of derivative warrant liabilities - Private Warrants		129,000
Balance as of June 30, 2023 - Level 3		483,750
Change in fair value of derivative warrant liabilities - Private Warrants		(96,750)
Balance as of September 30, 2023 - Level 3	$	387,000

NOTE 10. SUBSEQUENT EVENTS

The Company evaluated subsequent events and transactions that occurred after the condensed balance sheet date up to the date that the unaudited condensed consolidated financial statements were issued. Based upon this review, the Company did not identify any subsequent events that required adjustment or disclosure in the unaudited condensed consolidated financial statements, except as noted below.

Subsequent to September 30, 2024, the New Sponsor advanced an additional amount of $42,084 increasing the aggregate outstanding amount to $1,538,641.

On October 25, 2024, the Company extended its Combination Period to November 25, 2024 and borrowed an additional $50,000 under the Convertible Note to deposit a New Contribution in the Trust Account in connection with the extension, increasing the aggregate outstanding balance under the Convertible Note to $600,000.

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ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the unaudited condensed consolidated financial statements and the notes thereto contained elsewhere in this quarterly report. References in this quarterly report on Form 10-Q (this “Report”) to the “Company,” “us” or “we” refer to Coliseum Acquisition Corp. References to our “management” or our “management team” refer to our officers and directors.

Special Note Regarding Forward-Looking Statements

This Report includes “forward-looking statements” that are not historical facts and involve risks and uncertainties that could cause actual results to differ materially from those expected and projected. All statements, other than statements of historical fact included in this Report including, without limitation, statements in this “Management’s Discussion and Analysis of Financial Condition and Results of Operations” regarding the Company’s financial position, business strategy and the plans and objectives of management for future operations, are forward-looking statements. Words such as “expect,” “believe,” “anticipate,” “intend,” “estimate,” “seek” and variations and similar words and expressions are intended to identify such forward-looking statements. Such forward-looking statements relate to future events or future performance, but reflect management’s current beliefs, based on information currently available. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements. For information identifying important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to “Item 1A. Risk Factors” in this Report, our Annual Report on Form 10-K for the year ended December 31, 2023 and in our other Securities and Exchange Commission (“SEC”) filings. The Company’s securities filings can be accessed on the EDGAR section of the SEC’s website at www.sec.gov. Except as expressly required by applicable securities law, the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Overview

We are a blank check company incorporated on February 5, 2021, as a Cayman Islands exempted company and formed for the purpose of effectuating a merger, share exchange, asset acquisition, share purchase, reorganization or other similar business combination, involving one or more businesses, which we refer to throughout this Report as our “initial Business Combination”. We intend to effectuate our initial Business Combination using cash from the proceeds of our Initial Public Offering and the private placement of the Private Placement Warrants, the proceeds of the sale of our shares in connection with our initial Business Combination (pursuant to forward purchase agreements or backstop agreements we may enter into following the consummation of the Initial Public Offering or otherwise), shares issued to the owners of the target, debt issued to bank or other lenders or the owners of the target, or a combination of the foregoing.

The Company, RET, Holdco and the Merger Subs entered into the Business Combination Agreement on June 25, 2024, which was later amended on August 22, 2024, pursuant to which the parties will complete the SPAC Merger and the Company Merger, resulting in each of Merger Sub 1 and RET becoming a wholly-owned subsidiary of Holdco. The transaction has a $10 million minimum cash condition among other material conditions to closing.

Results of Operations

We have neither engaged in any operations nor generated any operating revenues to date. Our only activities for the period from February 5, 2021 (inception) through September 30, 2024 were organizational activities, those necessary to prepare for the Initial Public Offering described below and, after the Initial Public Offering, identifying a target company for a business combination. We do not expect to generate any operating revenues until after the completion of our initial Business Combination. We will generate non-operating income in the form of investment income on cash, cash equivalents and investments held after our Initial Public Offering and will recognize other income and expense related to the change in fair value of warrant liabilities. We incur 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 September 30, 2024, we had net loss of $694,939, which resulted from general and administrative expenses of $1,059,346, loss that resulted from change in fair value of non-redemption agreement liabilities of $34,792, and change in fair value of deferred consulting fees of $6,069, and partially offset by interest income earned from cash and investments held in the Trust Account in the amount of $405,268.

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For the nine months ended September 30, 2024, we had net loss of $1,371,799, which resulted from general and administrative expenses of 2,478,245 (of which $1,780,733 was expenses relating to the proposed Business Combination with RET), loss which resulted from change in fair value of warrant liabilities of $(82,250), change in fair value of non-redemption agreement liabilities of $23,600 and change in fair value of deferred consulting fees of $4,671, partially offset by interest income earned from cash held in the Trust Account in the amount of $1,216,967.

For the three months ended September 30, 2023, we had net income of $632,719, which resulted from interest income earned from cash and investments held in the Trust Account in the amount of $759,910, and change in fair value of warrant liabilities of $246,750, and partially offset by general and administrative expenses of $373,941.

For the nine months ended September 30, 2023, we had net income of $2,692,821, which resulted from interest income earned from cash and investments held in the Trust Account in the amount of $4,288,824, and a gain from extinguishment of deferred underwriting fees allocated to warrant liabilities of $275,625, partially offset by a loss on the change in fair value of warrant liabilities of $658,000 and general and administrative expenses of $839,687.

Liquidity and Capital Resources; Going Concern Consideration

For the nine months ended September 30, 2024, net cash used in operating activities was $0, which was due to net loss of $1,371,799, non-cash adjustments to net loss related to losses from change in its fair value of non-redemption agreements of $23,600, change in fair value of deferred consulting fees of $4,671, change in fair value of warrant liabilities of $82,250, and changes in operating assets and liabilities of $2,478,245, partially offset by interest earned from cash held in Trust Account of $1,216,967.

For the nine months ended September 30, 2023, net cash used in operating activities was $273,922, which was due to non-cash adjustments to net income related to a gain on investments held in the Trust Account of $4,288,824, and a gain from extinguishment of deferred underwriting fees allocated to warrant liabilities of $275,625, partially offset by net income of $2,692,821 and changes in operating assets and liabilities of $939,705, the non-cash adjustments to net income related to change in fair value of warrant liabilities of $658,000.

For the nine months ended September 30, 2024, net cash provided by investing activities was $12,131,639, which was the result of the cash withdrawn from the Trust Account to pay for redemptions of $12,181,639, partially offset by a $50,000 cash New Contribution deposited into the Trust Account in connection with the extension of the Combination Period.

For the nine months ended September 30, 2023, net cash provided by investing activities was $94,296,372, which was due to cash withdrawn from the Trust Account to pay for redemptions, partially offset by $400,000 cash Contributions deposited into Trust Account in connection with the extensions of the Combination Period.

For the nine months ended September 30, 2024, net cash used in financing activities was $12,131,639, which was due to amount paid out to shareholders for redemptions of $12,181,639, partially offset by a $50,000 cash New Contribution deposited into the Trust Account in connection with the extension of the Combination Period.

For the nine months ended September 30, 2023, net cash used in financing activities was $94,255,486, which was due to the amount paid out to shareholders for redemptions and the repayment of $9,114 in advances from the Previous Sponsor, partially offset by $400,000 cash Contributions deposited into the Trust Account received under the Convertible Note from related party in connection with the extensions of the Combination Period, and $50,000 in cash advanced by the Previous Sponsor.

As of September 30, 2024, we had no cash held outside of the Trust Account and a working capital deficit of $4,797,417. We have incurred and expects to continue to incur significant costs in pursuit of our acquisition plans.

In addition, in order to provide the Contributions and New Contributions and to finance transaction costs in connection with a Business Combination, we issued a Convertible Note to the New Sponsor with a principal amount up to $1.5 million on June 22, 2023 as discussed above. As of September 30, 2024, we had $550,000 outstanding under the Convertible Note. On October 25, 2024, we borrowed an additional $50,000 under the Convertible Note to deposit in the Trust Account as a New Contribution in connection with the extension through November 25, 2024, increasing the aggregate outstanding balance under the Convertible Note to $600,000.

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In connection with the management’s assessment of going concern considerations in accordance with Financial Accounting Standards Board’s (“FASB”) Accounting Standards Codification (“ASC”) Topic 210-40, “Presentation of Financial Statements – Going Concern,” our management has determined that the liquidity condition and mandatory liquidation, should a business combination not occur, and potential subsequent dissolution raises substantial doubt about our ability to continue as a going concern through the earlier of the liquidation date or the completion of the initial Business Combination. We plan to address this uncertainty through a consummating the proposed Business Combination with RET or another Business Combination. There is no assurance that our plans to consummate the proposed Business Combination with RET or another Business Combination will be successful or successful within the Combination Period (September 25, 2024). The unaudited condensed consolidated financial statements included in this Report do not include any adjustments that might result from the outcome of this uncertainty.

Contractual Obligations

Registration Rights

The holders of the Founder Shares, Private Placement Warrants and warrants that may be issued upon conversion of Convertible Note or other working capital loans (and any Class A ordinary shares issuable upon the conversion of the Class B ordinary shares or exercise of the Private Placement Warrants and warrants issued upon conversion of the Convertible Note) are entitled to registration rights requiring the Company to register such securities for resale (in the case of the Founder Shares, only after conversion to Class A ordinary shares). The holders of these securities will be entitled to make up to three demands, excluding short form registration demands, that the Company register such securities. In addition, the holders have certain “piggyback” registration rights with respect to registration statements filed subsequent to the completion of a Business Combination. The Company will bear the expenses incurred in connection with the filing of any such registration statements.

Underwriting Agreement

We granted the underwriter a 45-day option to purchase up to 2,250,000 additional Units to cover over-allotments at the Initial Public Offering price, less the underwriting discounts and commissions, which the underwriter did not exercise and expired on August 6, 2021.

The underwriter was paid a cash underwriting fee of $0.20 per unit, or $3,000,000 in the aggregate. In addition, $0.375 per unit, or $5,625,000 in the aggregate will be payable to the underwriter as a Deferred Underwriting Fee. The Deferred Underwriting Fee was to become payable to the underwriter from the amounts held in the Trust Account solely in the event that we complete a business combination, subject to the terms of the underwriting agreement.

Effective as of June 12, 2023, the underwriter of our Initial Public Offering resigned and withdrew from its role in any Business Combination and waived its entitlement to the Deferred Underwriting Fee in the amount of $5,625,000. We recognized $5,349,375 of the Deferred Underwriting Fee waiver as a reduction to the carrying value of Public Shares subject to redemption with the remaining balance of $275,625 recognized as a gain from extinguishment of liability allocated to warrant liabilities in the statements of operations, which represents the original amount expensed in our Initial Public Offering.

Convertible Promissory Note – Related Parties

In connection with the Contributions and New Contributions and advances our New Sponsor may make in the future to us for working capital expenses, on June 22, 2023, we issued a Convertible Note to our New Sponsor with a principal amount up to $1.5 million. The Convertible Note bears no interest and is repayable in full upon the earlier of (a) the date of the consummation of our initial Business Combination, or (b) the date of our liquidation. If we do not consummate an initial Business Combination by the end of the Combination Period, the Convertible Note will be repaid only from funds held outside of the Trust Account or will be forfeited, eliminated or otherwise forgiven. Upon the consummation of our initial Business Combination, the outstanding principal of the Convertible Note may be converted into warrants, at a price of $1.50 per warrant, at the option of our New Sponsor. Such warrants will have terms identical to the Private Placement Warrants. As of September 30, 2024 and December 31, 2023, we had $550,000 outstanding under the Convertible Note. On October 25, 2024, we borrowed an additional $50,000 under the Convertible Note to deposit in the Trust Account as a New Contribution in connection with the extension through November 25, 2024, increasing the aggregate outstanding balance under the Convertible Note to $600,000.

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Convertible Note is repaid or converted. As of the funding date and September 30, 2024, the fair value of the embedded conversion option had a de minimis value.

Non-Redemption Agreements

In connection with the November Meeting, our Company and an affiliate of our New Sponsor, Harry L. You, entered into Non-Redemption Agreements with Non-Redeeming Shareholders, pursuant to which the Non-Redeeming Shareholders agreed not to redeem an aggregate of 2,023,236 Public Shares and to vote all of such shares in favor of the proposals brought before the November Meeting. In exchange for these commitments from the Non-Redeeming Shareholders, Mr. You agreed to forfeit at the closing of our initial Business Combination an aggregate of 606,971 Forfeited Shares, and we agreed to issue to the Non-Redeeming Shareholders a number of newly issued ordinary shares of our company in an amount equal to the Forfeited Shares. Pursuant to the Sponsor Support Agreement, the Previous Sponsor agreed that it would share in such forfeitures, pro rata. Our management determined that the contingent share forfeiture by Mr. You and the Previous Sponsor and contingent share issuance to the Non-Redeeming Shareholders is a single unit of account. The Contingent Forward is classified as a liability.

As of September 30, 2024 and December 31, 2023, the aggregate fair value of the Contingent Forward was $218,277 and $194,677, respectively. We recognized a loss in change in the fair value of non-redemption agreements of $34,792 and $23,600 for the three and nine months ended September 30, 2024, respectively.

Deferred Consulting Fee

On November 22, 2023, the Company engaged a consultant who also holds the Company’s Public Shares to provide the Company with consulting, advisory and related services with respect to the proxy statement that was approved in the November Meeting on November 27, 2023. The Company agreed to pay the consultant aggregate cash fees totaling $250,000 and a Deferred Consulting Fee at the closing of the Business Combination, following the satisfaction of redemption demands validly submitted by the consultant. At that time, we shall pay the consultant directly from the Trust Account the Share Consideration Payment in cash. In order for the consultant to receive the Share Consideration Payment, the consultant must not redeem 100,000 Public Shares at the time of the Business Combination redemption deadline. If the consultant does not hold 100,000 Public Shares through the redemption deadline for the Business Combination, the consultant will receive 100,000 Founder Shares at the closing of the Business Combination in lieu of the Share Consideration Payment.

The obligation, which may be share-settled, is an equity-linked financial instrument that is required to be recognized as a liability at fair value, with changes in fair value recognized in the Company’s statements of operations. We recognized the initial fair value of the Deferred Consulting Fee as a liability, upon execution of the consulting agreement in November 2023. As of September 30, 2024 and December 31, 2023, the fair value of the Deferred Consulting Fee was $35,904 and $31,233, respectively. Loss resulted from change in fair value of such instrument of $6,069 and $4,671 was recognized in the Company’s statements of operations for the three and nine months ended September 30, 2024, respectively. The estimated fair value of the Deferred Consulting Fee is determined using Level 3 inputs.

Critical Accounting Policies and Estimates

The preparation of unaudited condensed consolidated financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements, and revenues and expenses during the periods reported. Actual results could materially differ from those estimates. We have identified the following accounting policies as those that require significant judgments, assumptions and estimates and that have a significant impact on our financial condition and results of operations. These policies are considered critical because they may result in fluctuations in our reported results from period to period due to the significant judgments, estimates and assumptions about highly complex and inherently uncertain matters and because the use of different judgments, assumptions or estimates could have a material impact on our financial condition or results of operations. We evaluate our critical accounting estimates and judgments required by our policies on an ongoing basis and update them as appropriate based on changing conditions.

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Derivative Financial Instruments

We do not use derivative instruments to hedge exposures to cash flow, market, or foreign currency risks. We evaluate all of our financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives, pursuant to ASC 480 and FASB ASC Topic 815, “Derivatives and Hedging” (“ASC 815”). The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is re-assessed at the end of each reporting period. The assessment considers whether the financial instruments are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and whether the financial instruments meet all of the requirements for equity classification under ASC 815, including whether the financial instruments are indexed to our own ordinary shares, among other conditions for equity classification.

For issued or modified warrants that meet all of the criteria for equity classification, the warrants are required to be recorded as a component of additional paid-in capital at the time of issuance. For issued or modified warrants that do not meet all the criteria for equity classification, the warrants are required to be recorded as liabilities at their initial fair value on the date of issuance, and at each balance sheet date thereafter. Changes in the estimated fair value of the liability-classified warrants are recognized as a non-cash gain or loss on the statements of operations. The initial estimated fair value of the Public Warrants was measured using a Monte Carlo simulation approach. The initial and subsequent fair value estimates of the Private Placement Warrants and the subsequent fair value estimates of the Public Warrants when trading volume is low are measured using a modified Black-Scholes option pricing model.

The contingent share receipt and contingent share issuance called for in the Non-Redemption Agreements is a single unit of account, representing a Contingent Forward. Issuance of the Contingent Forward is liability-classified until exercise or expiration of the Optional Extension, at which time classification of the Contingent Forward will be re-assessed. The initial fair value of the Contingent Forward was recognized as a liability in the balance sheet with an offset to non-operating expenses. Subsequent changes in fair value of the liability are recognized in earnings until such time that the instrument ceases to be liability-classified or settles.

The Deferred Consulting Fees, which may be share-settled, was an equity-linked financial instrument that was required to be recognized as a liability at fair value. The initial fair value of the Deferred Consulting Fees was recognized as a liability in the balance sheets with an offset to non-operating expenses. Subsequent changes in fair value of the liability are recognized in the Company’s unaudited condensed consolidated statements of operations.

Public Shares Subject to Possible Redemption

The Public Shares issued in our Initial Public Offering contain a redemption feature which allows for the redemption of such Public Shares in connection with our liquidation, if there is a shareholder vote or tender offer in connection with the business combination and in connection with certain amendments to our second amended and restated certificate of incorporation. In accordance with SEC and its staff’s guidance on redeemable equity instruments, which has been codified in ASC 480, redemption provisions not solely within our control require ordinary shares subject to redemption to be classified outside of permanent equity. Therefore, the carrying value of all Public Shares have been classified outside of permanent equity.

We recognize changes in redemption value immediately as they occur and adjusts the carrying value of redeemable Public Shares to equal the redemption value at the end of each reporting period. Increases or decreases in the carrying amount of redeemable ordinary shares are affected by charges against additional paid in capital and accumulated deficit.

Net Income (Loss) Per Ordinary Share

We comply with accounting and disclosure requirements of FASB ASC Topic 260, “Earnings Per Share.” Net income per ordinary share is computed by dividing net income by the weighted average number of ordinary shares outstanding during the period. Remeasurement associated with the Class A ordinary shares is excluded from net income per share as the redemption value approximates fair value.

Therefore, the net income (loss) per share calculation allocates income shared pro rata between Public Shares and a combination of Class B and non-redeemable Class A ordinary shares. As a result, the calculated net income per ordinary share is the same for Public Shares and a combination of Class B and non-redeemable Class A ordinary shares. We have not considered the effect of the outstanding warrants to purchase an aggregate of 8,225,000 shares in the calculation of diluted net income per share, since the exercise of the warrants are contingent upon the occurrence of future events. As a result, diluted income (loss) per share is the same as basic income per share for the periods presented.

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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 our unaudited condensed consolidated financial statements.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

This item is not applicable as we are a smaller reporting company.

ITEM 4. DISCLOSURE CONTROLS AND PROCEDURES.

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under Securities Exchange Act of 1934, as amended (the “Exchange Act”) is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosure.

Evaluation of Disclosure Controls and Procedures

As required by Rules 13a-15 and 15d-15 under the Exchange Act, our Chief Executive Officer and Chief Financial Officer carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures as of September 30, 2024. Based upon their evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures (as defined in Rules 13a-15 (e) and 15d-15 (e) under the Exchange Act) were effective.

Changes in Internal Control Over Financial Reporting

During the most recently completed fiscal quarter, there has been no change in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

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PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

There is no material litigation, arbitration or governmental proceeding currently pending against us or any members of our management team.

ITEM 1A. RISK FACTORS

Factors that could cause our actual results to differ materially from those in this Report are any of the risks described in our Annual Report on Form 10-K for the year ended December 31, 2023, filed with the SEC on April 5, 2024 (the “Annual Report”). Any of these factors could result in a significant or material adverse effect on our results of operations or financial condition. Additional risk factors not presently known to us or that we currently deem immaterial may also impair our business or results of operations. As of the date of this Report, there have been no material changes to the risk factors disclosed in the Annual Report, except as set forth below. We may disclose changes to such risk factors or disclose additional risk factors from time to time in our future filings with the SEC.

The Articles contravene Nasdaq rules, and as a result, could lead Nasdaq to suspend trading in the Company’s securities or lead the Company to be delisted from Nasdaq.

Nasdaq rule IM-5101-2 requires that a SPAC complete one or more business combinations within 36 months of the effectiveness of its Initial Public Offering registration statement, which, in the Company’s case, was June 22, 2024. The Company has the ability to extend the Combination Period to up to December 25, 2024. As a result, the Articles do not comply with Nasdaq rule IM-5101-2.

On June 25, 2024, the Company received a notice from the Listing Qualifications Department of the Nasdaq Stock Market stating that, due to the Company’s non-compliance with Nasdaq Rule IM-5101-2, its securities would be subject to suspension and delisting at the opening of business on July 5, 2024, unless the Company timely requests a hearing before the Nasdaq Hearings Panel. The Company submitted a hearing request and the hearing was held on August 8, 2024. On August 14, 2024, the Nasdaq Hearings Panel notified the Company that it granted the Company’s request for continued listing on Nasdaq and an exception to Nasdaq IM-5101-2. Specifically, the Company will now have 180 days from the date of the delisting notice, or until December 23, 2024, to complete its initial Business Combination, provided that the Company provides the Hearings Panel with certain progress updates relating to the status of the Business Combination.

If Nasdaq delists the Company’s securities from trading on its exchange and the Company is not able to list its securities on another national securities exchange, the Company expects such securities could be quoted on an over-the-counter market. If this were to occur, the Company could face significant material adverse consequences, including.

●

inability to meet a condition to closing the Business Combination, as there can be no assurance that RET would waive the Nasdaq listing condition to closing set forth in the Business Combination Agreement;

●

a determination that the Class A ordinary shares are a “penny stock,” which will require brokers trading in the Class A ordinary shares to adhere to more stringent rules and possibly result in a reduced level of trading activity in the secondary trading market for its securities, and being a “penny stock” issuer may prevent the Company from consummating a Business Combination pursuant to the Articles;

●

a limited availability of market quotations for the Company’s securities;

●

reduced liquidity for the Company’s securities;

●

a limited amount of news and analyst coverage; and

●

a decreased ability to issue additional securities or obtain additional financing in the future.

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ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

On June 25, 2021, we consummated the Initial Public Offering of 15,000,000 Units at $10.00 per Unit, generating gross proceeds of $150,000,000. Simultaneously with the closing of the Initial Public Offering, we consummated the sale of 3,225,000 Private Placement Warrants at a price of $1.50 per Private Placement Warrant in a private placement to Coliseum Acquisition Sponsor LLC, generating gross proceeds of $4,837,500. Prior to the Initial Public Offering, the Previous Sponsor purchased an aggregate of 4,312,500 Founder Shares for an aggregate purchase price of $25,000, or approximately $0.006 per share. In connection with the Transfer Transaction a portion of the Founder Shares and Private Placement Warrants were transferred from the Previous Sponsor to the New Sponsor.

Transaction costs amounted to $9,176,463 consisting of $3,000,000 of underwriting fees, $5,625,000 of deferred underwriting fees, and $551,463 of other offering costs. We were reimbursed $750,000 by the underwriter for such transaction costs.

Following the closing of the Initial Public Offering on June 25, 2021, an amount of $150,000,000 ($10.00 per Unit) from the net proceeds of the sale of the Units in the Initial Public Offering and the sale of the Private Placement Warrants was placed in the Trust Account. Following redemptions in connection with the First Extension and the Second Extension, we currently have $31,781,457 held in the Trust Account. There has been no material change in the planned use of proceeds from our Initial Public Offering as described in our final prospectus dated June 22, 2021, which was filed with the SEC on June 24, 2021, though the amount available has decreased as a result of redemptions. On June 12, 2023, we received a formal letter from our underwriter in the Initial Public Offering advising that it had waived any entitlement it may have to the deferred underwriting fee of $5,625,000.

The securities sold in our Initial Public Offering were registered under the Securities Act on a registration statement on Form S-1 (File No. 333-254513). The SEC declared the registration statement effective on June 22, 2021.

The issuance of the Founder Shares and Private Placement Warrants were made pursuant to the exemption from registration contained in Section 4(a)(2) of the Securities Act. No underwriting discounts or commissions were paid with respect to such sales.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable.

ITEM 5. OTHER INFORMATION

None.

Table of Contents

ITEM 6. EXHIBITS

The following exhibits are filed as part of, or incorporated by reference into, this Report on Form 10-Q.

Exhibit No.		Description
2.1†		Amendment to Business Combination Agreement, dated as of August 22, 2024, by and among Coliseum Acquisition Corp., Rain Enhancement Technologies Holdco, Inc., Rainwater Merger Sub 1, Inc., Rainwater Merger Sub 2A, Inc., and Rain Enhancement Technologies, Inc. (incorporated by reference to Exhibit 2.1 to the Company’s Current Report on Form 8-K filed with the SEC on August 23, 2024).
3.1		Amended and Restated Memorandum and Articles of Association (incorporated by reference to Exhibit 3.2 to the Company’s Current Report on Form 10-K, filed with the SEC on April 5, 2024).
3.2		Amendments to the Amended and Restated Memorandum and Articles of Association (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K, filed with the SEC on June 28, 2021).
3.3		Amendments to the Amended and Restated Memorandum and Articles of Association (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K, filed with the SEC on November 27, 2023).
3.4		Amendment to the Amended and Restated Memorandum and Articles of Association (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K, filed with the SEC on September 26, 2024).
10.1		Amendment to Letter Agreement, dated as of August 22, 2024, by and among Coliseum Acquisition Corp., Harry You, and solely for the purpose of Section 1(b) thereof, Rain Enhancement Technologies Holdco, Inc. (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed with the SEC on August 23, 2024).
31.1*		Certification Pursuant to Securities Exchange Act Rules 13a-14(a) and 15(d)-14(a), as adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1**		Certification Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS*		XBRL Instance Document
101.CAL*		XBRL Taxonomy Extension Calculation Linkbase Document
101.SCH*		XBRL Taxonomy Extension Schema Document
101.DEF*		XBRL Taxonomy Extension Definition Linkbase Document
101.LAB*		XBRL Taxonomy Extension Labels Linkbase Document
101.PRE*		XBRL Taxonomy Extension Presentation Linkbase Document
104*		Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101)

†	Certain of the exhibits and schedules to this Exhibit have been omitted in accordance with Regulation S-K Item 601(a)(5). The registrant agrees to furnish a copy of all omitted exhibits and schedules to the SEC upon its request.

*	Filed herewith.

**	Furnished herewith.

Table of Contents

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	Coliseum Acquisition Corp.

Date: November 14, 2024	By:	/s/ Oanh Truong
		Name: Oanh Truong
		Title: Chief Financial Officer and Interim Chief Executive Officer

Exhibit 31.1

CERTIFICATION PURSUANT TO

RULE 13A-14(A) UNDER THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Oanh Truong, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Coliseum Acquisition Corp.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.I am responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 14, 2024
	By:	/s/ Oanh Truong
		Name: Oanh Truong
		Title: Chief Financial Officer and Interim Chief Executive Officer
		(Principal Executive Officer, Principal Financial and Accounting Officer)

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Coliseum Acquisition Corp. (the “Company”) on Form 10-Q for the quarterly period ended September 30, 2024, as filed with the Securities and Exchange Commission (the “Report”), I, Oanh Truong, Chief Financial Officer and Interim Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. §1350, as added by §906 of the Sarbanes-Oxley Act of 2002, that:

1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2.To my knowledge, the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of and for the period covered by the Report.

Date: November 14, 2024
	By:	/s/ Oanh Truong
		Name: Oanh Truong
		Title: Chief Financial Officer and Interim Chief Executive Officer
		(Principal Executive Officer, Principal Financial and Accounting Officer)

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2024	Nov. 14, 2024
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-40514
Entity Registrant Name	Coliseum Acquisition Corp.
Entity Incorporation, State or Country Code	E9
Entity Tax Identification Number	98-1583230
Entity Address, Address Line One	1180 North Town Center Drive, Suite 100
Entity Address, City or Town	Las Vegas
Entity Address State Or Province	NV
Entity Address, Postal Zip Code	89144
City Area Code	702
Local Phone Number	781-4313
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	true
Entity Central Index Key	0001847440
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false
Units, each consisting of one Class A ordinary share, par value $0.001 per share, and one-third of one redeemable warrant
Document and Entity Information
Trading Symbol	MITAU
Title of 12(b) Security	Units, each consisting of one Class A ordinary share, par value $0.001 per share, and one-third of one redeemable warrant
Security Exchange Name	NASDAQ
Class A ordinary shares
Document and Entity Information
Trading Symbol	MITA
Title of 12(b) Security	Class A ordinary shares, par value $0.001 per share
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding		5,537,111
Redeemable warrants, each whole warrant exercisable for one Class A ordinary share at an exercise price of $11.50 per share
Document and Entity Information
Trading Symbol	MITAW
Title of 12(b) Security	Redeemable warrants, each whole warrant exercisable for one Class A ordinary share at an exercise price of $11.50 per share
Security Exchange Name	NASDAQ
Class B ordinary shares
Document and Entity Information
Entity Common Stock, Shares Outstanding		1

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Current assets:
Prepaid expenses	$ 40,500
Total current assets	40,500
Cash held in Trust Account	20,055,086	$ 30,969,758
Total Assets	20,095,586	30,969,758
Current liabilities:
Convertible note payable - related parties	550,000	500,000
Non-redemption agreement liabilities	218,277	194,677
Deferred consulting fees	35,904	31,233
Total current liabilities	4,837,917	2,240,901
Warrant liabilities	411,250	329,000
Total Liabilities	5,249,167	2,569,901
Commitments and Contingencies
Shareholders' Deficit:
Preferred shares, $0.001 par value; 5,000,000 shares authorized; none issued or outstanding as of September 30, 2024 and December 31, 2023
Accumulated deficit	(5,212,417)	(2,573,651)
Total shareholders' deficit	(5,208,667)	(2,569,901)
Total Liabilities, Class A Ordinary Shares Subject to Possible Redemption and Shareholders' Deficit	20,095,586	30,969,758
Related party
Current liabilities:
Due to related parties	$ 1,646,557	$ 639,190
Other Liability, Current, Related Party, Type [Extensible Enumeration]	Related party	Related party
Nonrelated Party
Current liabilities:
Accounts payable and accrued expenses	$ 2,387,179	$ 875,801
Class A ordinary shares subject to possible redemption
Current liabilities:
Class A ordinary shares, $0.001 par value; 1,787,112 and 2,876,361 shares subject to possible redemption at approximately $11.22 and $10.77 per share as of September 30, 2024 and December 31, 2023, respectively	20,055,086	30,969,758
Class A common stock not subject to possible redemption
Shareholders' Deficit:
Common stock	$ 3,750	$ 3,750

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Preferred shares, par value (in dollar per share)	$ 0.001	$ 0.001
Preferred shares, shares authorized	5,000,000	5,000,000
Preferred shares, shares issued	0	0
Preferred shares, shares outstanding	0	0
Class A ordinary shares
Ordinary shares, par value (in dollar per share)	$ 0.001	$ 0.001
Ordinary shares, shares authorized	500,000,000	500,000,000
Class A ordinary shares subject to possible redemption
Temporary equity, par value (in dollar per share)	$ 0.001	$ 0.001
Temporary equity, shares outstanding	1,787,112	2,876,361
Temporary equity, per share	$ 11.22	$ 10.77
Class A common stock not subject to possible redemption
Ordinary shares, shares issued	3,749,999	3,749,999
Ordinary shares, shares outstanding	3,749,999	3,749,999
Class B ordinary shares
Ordinary shares, par value (in dollar per share)	$ 0.001	$ 0.001
Ordinary shares, shares authorized	50,000,000	50,000,000
Ordinary shares, shares issued	1	1
Ordinary shares, shares outstanding	1	1

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
General and administrative expenses	$ 1,059,346	$ 373,941	$ 2,478,245	$ 1,213,628
Loss from operations	(1,059,346)	(373,941)	(2,478,245)	(1,213,628)
Other income (expenses):
Interest earned from cash held in Trust Account	405,268	759,910	1,216,967	4,288,824
Gain from extinguishment of deferred underwriting fee allocated to warrant liabilities				275,625
Change in fair value of derivative warrant liabilities	0	246,750	(82,250)	(658,000)
Change in fair value of non-redemption agreements	(34,792)		(23,600)
Change in fair value of deferred consulting fees	(6,069)		(4,671)
Total other income (expenses)	364,407	1,006,660	1,106,446	3,906,449
Net income (loss)	$ (694,939)	$ 632,719	$ (1,371,799)	$ 2,692,821
Class A ordinary shares subject to possible redemption
Other income (expenses):
Weighted average shares outstanding, basic (in shares)	2,793,483	5,878,201	2,848,533	11,625,269
Weighted average shares outstanding, diluted (in shares)	2,793,483	5,878,201	2,848,533	11,625,269
Basic net income (loss) per share (in dollars per share)	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18
Diluted net income (loss) per share (in dollars per share)	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18
Class B and non-redeemable Class A ordinary shares
Other income (expenses):
Weighted average shares outstanding, basic (in shares)	3,750,000	3,750,000	3,750,000	3,750,000
Weighted average shares outstanding, diluted (in shares)	3,750,000	3,750,000	3,750,000	3,750,000
Basic net income (loss) per share (in dollars per share)	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18
Diluted net income (loss) per share (in dollars per share)	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT - USD ($)	Class A common stock not subject to possible redemption Common Stock	Class A common stock not subject to possible redemption	Class B ordinary shares Common Stock	Class B ordinary shares	Additional Paid-In Capital	Accumulated Deficit	Total
Balance at the beginning at Dec. 31, 2022	$ 0		$ 3,750		$ 0	$ (5,681,396)	$ (5,677,646)
Balance at the beginning (in shares) at Dec. 31, 2022	0		3,750,000
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Remeasurement of Public Shares subject to redemption amount						(1,721,897)	(1,721,897)
Net Income (loss)						698,754	698,754
Balance at the end at Mar. 31, 2023			$ 3,750			(6,704,539)	(6,700,789)
Balance at the end (in shares) at Mar. 31, 2023			3,750,000
Balance at the beginning at Dec. 31, 2022	$ 0		$ 3,750		0	(5,681,396)	(5,677,646)
Balance at the beginning (in shares) at Dec. 31, 2022	0		3,750,000
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Net Income (loss)							2,692,821
Balance at the end at Sep. 30, 2023	$ 3,750					(2,219,196)	(2,215,446)
Balance at the end (in shares) at Sep. 30, 2023	3,749,999		1
Balance at the beginning at Dec. 31, 2022	$ 0		$ 3,750		0	(5,681,396)	(5,677,646)
Balance at the beginning (in shares) at Dec. 31, 2022	0		3,750,000
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Conversion of Class B ordinary shares into non-redeemable Class A ordinary shares (in shares)		3,749,999
Balance at the end at Dec. 31, 2023	$ 3,750		$ 0		0	(2,573,651)	(2,569,901)
Balance at the end (in shares) at Dec. 31, 2023	3,749,999		1
Balance at the beginning at Mar. 31, 2023			$ 3,750			(6,704,539)	(6,700,789)
Balance at the beginning (in shares) at Mar. 31, 2023			3,750,000
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Increase in redemption value of Public Shares subject to redemption due to extension						(100,000)	(100,000)
Conversion of Class B ordinary shares into non-redeemable Class A ordinary shares	$ 3,750		$ (3,750)
Conversion of Class B ordinary shares into non-redeemable Class A ordinary shares (in shares)	3,749,999		(3,749,999)
Forgiveness of debt to Previous Sponsor					108,828		108,828
Remeasurement of Public Shares subject to redemption amount					(108,828)	3,651,186	3,542,358
Net Income (loss)						1,361,348	1,361,348
Balance at the end at Jun. 30, 2023	$ 3,750					(1,792,005)	(1,788,255)
Balance at the end (in shares) at Jun. 30, 2023	3,749,999		1
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Increase in redemption value of Public Shares subject to redemption due to extension						(300,000)	(300,000)
Remeasurement of Public Shares subject to redemption amount						(759,910)	(759,910)
Net Income (loss)						632,719	632,719
Balance at the end at Sep. 30, 2023	$ 3,750					(2,219,196)	(2,215,446)
Balance at the end (in shares) at Sep. 30, 2023	3,749,999		1
Balance at the beginning at Dec. 31, 2023	$ 3,750		$ 0		0	(2,573,651)	(2,569,901)
Balance at the beginning (in shares) at Dec. 31, 2023	3,749,999		1
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Remeasurement of Public Shares subject to redemption amount						(403,224)	(403,224)
Net Income (loss)						(241,883)	(241,883)
Balance at the end at Mar. 31, 2024	$ 3,750					(3,218,758)	(3,215,008)
Balance at the end (in shares) at Mar. 31, 2024	3,749,999		1
Balance at the beginning at Dec. 31, 2023	$ 3,750		$ 0		$ 0	(2,573,651)	(2,569,901)
Balance at the beginning (in shares) at Dec. 31, 2023	3,749,999		1
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Conversion of Class B ordinary shares into non-redeemable Class A ordinary shares (in shares)		3,749,999		1
Net Income (loss)							(1,371,799)
Balance at the end at Sep. 30, 2024	$ 3,750					(5,212,417)	(5,208,667)
Balance at the end (in shares) at Sep. 30, 2024	3,749,999		1
Balance at the beginning at Mar. 31, 2024	$ 3,750					(3,218,758)	(3,215,008)
Balance at the beginning (in shares) at Mar. 31, 2024	3,749,999		1
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Remeasurement of Public Shares subject to redemption amount						(408,475)	(408,475)
Net Income (loss)						(434,977)	(434,977)
Balance at the end at Jun. 30, 2024	$ 3,750					(4,062,210)	(4,058,460)
Balance at the end (in shares) at Jun. 30, 2024	3,749,999		1
STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT
Increase in redemption value of Public Shares subject to redemption due to extension						(50,000)	(50,000)
Remeasurement of Public Shares subject to redemption amount						(405,268)	(405,268)
Net Income (loss)						(694,939)	(694,939)
Balance at the end at Sep. 30, 2024	$ 3,750					$ (5,212,417)	$ (5,208,667)
Balance at the end (in shares) at Sep. 30, 2024	3,749,999		1

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash Flows from Operating Activities:
Net income (loss)	$ (1,371,799)	$ 2,692,821
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Interest earned from cash held in Trust Account	(1,216,967)	(4,288,824)
Gain from extinguishment of deferred underwriting fee allocated to warrant liabilities		(275,625)
Change in fair value of derivative warrant liabilities	82,250	658,000
Change in fair value of non-redemption agreement liabilities	23,600
Change in fair value of deferred consulting fees	4,671
Changes in operating assets and liabilities:
Prepaid expenses	(40,500)	169,260
Accounts payable and accrued expenses	1,511,378	234,757
Due to related parties	1,007,367	535,689
Net cash used in operating activities		(273,922)
Cash Flows from Investing Activities:
Cash withdrawn from Trust Account for redemptions	12,181,639	94,696,372
Cash deposited in Trust Account for extension	(50,000)	(400,000)
Net cash provided by investing activities	12,131,639	94,296,372
Cash Flows from Financing Activities:
Proceeds received from related parties under convertible note payable	50,000	400,000
Redemption of Public Shares	(12,181,639)	(94,696,372)
Advances from Previous Sponsor		50,000
Repayment of advances from Previous Sponsor		(9,114)
Net cash used in financing activities	(12,131,639)	(94,255,486)
Net change in cash		(233,036)
Cash - Beginning of the period		233,036
Supplemental disclosure of noncash activities:
Remeasurement of Public Shares subject to possible redemption to redemption amount	1,216,967	1,169,379
Increase in redemption value of Public Shares subject to redemption due to extension	$ 50,000	400,000
Extinguishment of deferred underwriting fee allocated to Public Shares		5,349,375
Forgiveness of debt to Previous Sponsor		$ 108,828

DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS

9 Months Ended

Sep. 30, 2024

DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS

DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS

NOTE 1. DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS

agreed to issue to the Non-Redeeming Shareholders a number of newly issued ordinary shares of the Company in an amount equal to the Forfeited Shares.

Business Combination with Rain Enhancement Technologies, Inc.

Nasdaq Notice of Delisting

Going Concern Consideration

Risks and Uncertainties

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2024

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Consolidation and Presentation

Emerging Growth Company

Use of Estimates

Cash and Cash Equivalents

Cash Held in Trust Account

Class A Ordinary Shares Subject to Possible Redemption

As of September 30, 2024 and December 31, 2023, the carrying value of Class A ordinary shares reflected in the condensed balance sheets is reconciled in the following table:


Class A ordinary shares subject to possible redemption as of December 31, 2022	$	152,348,535
Plus:
Waiver of Class A ordinary shares subject to possible redemption issuance costs		5,349,375
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		500,000
Less:
Redemption of Class A ordinary shares subject to possible redemption		(126,828,896)
Remeasurement of carrying value to redemption value		(399,256)
Class A ordinary shares subject to possible redemption as of December 31, 2023		30,969,758
Plus:
Remeasurement of carrying value to redemption value		403,224
Class A ordinary shares subject to possible redemption as of March 31, 2024		31,372,982
Plus:
Remeasurement of carrying value to redemption value		408,475
Class A ordinary shares subject to possible redemption as of June 30, 2024		31,781,457
Plus:
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		50,000
Remeasurement of carrying value to redemption value		405,268
Less:
Redemption of Class A ordinary shares subject to possible redemption		(12,181,639)
Class A ordinary shares subject to possible redemption as of September 30, 2024	$	20,055,086

Derivative Financial Instruments

Convertible Note Payable – Related Parties

Offering Costs Associated with the Initial Public Offering

Income Taxes

tax filing requirements in the Cayman Islands or the United States. Consequently, income taxes are not reflected in the Company’s unaudited condensed consolidated financial statements.

Net Income(Loss) Per Ordinary Share

The following tables reflect the calculation of basic and diluted net income (loss) per ordinary share (in dollars, except per share amounts):


	For the three months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(296,667)	$	(398,262)	$	386,287	$	246,432

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,793,483		3,750,000		5,878,201		3,750,000
Basic and diluted net income (loss) per ordinary share	$	(0.11)	$	(0.11)	$	0.07	$	0.07


	For the nine months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(592,195)	$	(779,604)	$	2,036,047	$	656,774

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,848,533		3,750,000		11,625,269		3,750,000

Basic and diluted net income (loss) per ordinary share	$	(0.21)	$	(0.21)	$	0.18	$	0.18

Concentration of Credit Risk

of access to such funds could have a significant adverse impact on the Company’s financial condition, results of operations and cash flows.

Fair Value of Financial Instruments

●

Level 3 — Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities.

See Note 9 for additional information on assets and liabilities measured at fair value.

Recent Accounting Standards

INITIAL PUBLIC OFFERING

9 Months Ended

Sep. 30, 2024

INITIAL PUBLIC OFFERING

INITIAL PUBLIC OFFERING

NOTE 3. INITIAL PUBLIC OFFERING

PRIVATE PLACEMENT

9 Months Ended

Sep. 30, 2024

PRIVATE PLACEMENT

PRIVATE PLACEMENT

NOTE 4. PRIVATE PLACEMENT

RELATED PARTY TRANSACTIONS

9 Months Ended

Sep. 30, 2024

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS

NOTE 5. RELATED PARTY TRANSACTIONS

Founder Shares

Administrative Services Agreement

Related Party Loans and Advances

Advances

Convertible Promissory Note

In connection with the Contributions and New Contributions and advances the New Sponsor may make in the future to the Company for working capital expenses, on June 22, 2023, the Company issued a Convertible Note to the New Sponsor with a principal amount up to $1.5 million. The Convertible Note bears no interest and is repayable in full upon the earlier of (a) the date of the consummation of the Company’s initial Business Combination, or (b) the date of the Company’s liquidation. If the Company does not consummate an initial Business Combination by the end of the Combination Period, the Convertible Note will be repaid only from funds held outside of the Trust Account or will be forfeited, eliminated or otherwise forgiven. Upon the consummation of the Company’s initial Business Combination, the outstanding principal of the Convertible Note may be converted into warrants, at a price of $1.50 per warrant, at the option of the New Sponsor. Such warrants will have terms identical to the Private Placement Warrants. As of September 30, 2024 and December 31, 2023, the Company had $550,000 and $500,000, respectively, outstanding under the Convertible Note, which amount was deposited into the Trust Account. On October 25, 2024, the Company borrowed an additional $50,000 under the Convertible Note to deposit in the Trust Account as a New Contribution in connection with the extension through November 25, 2024, increasing the aggregate outstanding balance under the Convertible Note to $600,000.

Amendment to Letter Agreement with Insiders

COMMITMENTS AND CONTINGENCIES

9 Months Ended

Sep. 30, 2024

COMMITMENTS AND CONTINGENCIES.

COMMITMENTS AND CONTINGENCIES

NOTE 6. COMMITMENTS AND CONTINGENCIES

Registration Rights Agreement

Underwriting Agreement

Non-Redemption Agreements

Deferred Consulting Fee

WARRANTS

9 Months Ended

Sep. 30, 2024

WARRANTS

WARRANTS

NOTE 7. WARRANTS

●

in whole and not in part;

●

at a price of $0.01 per Public Warrant;

●

upon not less than 30 days’ prior written notice of redemption to each Public Warrant holder; and

●

Redemption of Public Warrants when the price per Class A ordinary share equals or exceeds $10.00 - Once Public Warrants become exercisable, the Company may redeem the outstanding Public Warrants:

●

in whole and not in part;

●

if, and only if, the Reference Value equals or exceeds $10.00 per share (as adjusted for share subdivisions, share dividends, rights issuances, reorganizations, recapitalizations and the like); and

●

SHAREHOLDERS' DEFICIT

9 Months Ended

Sep. 30, 2024

SHAREHOLDERS' DEFICIT

SHAREHOLDERS' DEFICIT

NOTE 8. SHAREHOLDERS’ DEFICIT

redemption and were classified outside of permanent equity in the condensed balance sheets and 3,749,999 shares were non-redeemable and classified in shareholders’ deficit.

FAIR VALUE MEASUREMENT

9 Months Ended

Sep. 30, 2024

FAIR VALUE MEASUREMENT

FAIR VALUE MEASUREMENT

NOTE 9. FAIR VALUE MEASUREMENT

September 30, 2024


	Quoted Prices in		Significant Other		Significant Other
	Active Markets		Observable Inputs		Unobservable Inputs
Description	(Level 1)		(Level 2)		(Level 3)
Liabilities:
Warrant liability – Public Warrants	$	—	$	250,000	$	—
Warrant liability – Private Placement Warrants	$	—	$	—	$	161,250
Deferred consulting fees	$	—	$	—	$	35,904
Non-redemption agreement liabilities	$	—	$	—	$	218,277

December 31, 2023


	Quoted Prices in		Significant Other		Significant Other
	Active Markets		Observable Inputs		Unobservable Inputs
Description	(Level 1)		(Level 2)		(Level 3)
Liabilities:
Warrant liability – Public Warrants	$	—	$	200,000	$	—
Warrant liability – Private Placement Warrants	$	—	$	—	$	129,000
Deferred consulting fees	$	—	$	—	$	31,233
Non-redemption agreement liabilities	$	—	$	—	$	194,677

The following table provides the significant inputs to the modified Black-Scholes method for the fair value of the Private Placement Warrants:


	As of September 30, 2024			As of December 31, 2023
Stock price	$	11.14		$	10.66
Exercise price	$	11.50		$	11.50
Expected term (in years)		5.2			5.5
Volatility (*)		3.2	%		5.1	%
Risk-free rate		3.5	%		3.8	%
Fair value of warrants	$	0.05		$	0.04

*The probability of completing a Business Combination is considered within the volatility implied by the traded price of the Public Warrants which is used to value the Private Placement Warrants.

The following table provides the significant inputs to the Black-Scholes method for the fair value of the non-redemption agreement liabilities:


	As of September 30, 2024			As of December 31, 2023
Stock price	$	11.14		$	10.66
Expected term (in years)		0.20			0.70
Risk-free rate		4.4	%		5.3	%
Probability of closing of merger		3.2	%		2.9	%

The following table provides the significant inputs to the Black-Scholes method for the fair value of the deferred consulting fees:


	As of September 30, 2024			As of December 31, 2023
Number of shares		100,000			100,000
Redemption rate	$	11.22		$	10.77
Probability of closing of merger		3.2	%		2.9	%
Fair value of deferred consulting fees	$	35,904		$	31,233

The changes in the Level 3 fair value of the derivative liabilities are summarized as follows:

For the three and nine months ended September 30, 2024:


Balance as of December 31, 2023 - Level 3	$	354,910
Change in fair value of deferred consulting fees		13,498
Change in fair value of non-redemption agreement liabilities		80,139
Change in fair value of derivative warrant liabilities - Private Warrants		83,850
Balance as of March 31, 2024 - Level 3		532,397
Change in fair value of deferred consulting fees		(14,896)
Change in fair value of non-redemption agreement liabilities		(91,331)
Change in fair value of derivative warrant liabilities - Private Warrants		(51,600)
Balance as of June 30, 2024 - Level 3		374,570
Change in fair value of deferred consulting fees		6,069
Change in fair value of non-redemption agreement liabilities		34,792
Change in fair value of derivative warrant liabilities - Private Warrants		—
Balance as of September 30, 2024 - Level 3	$	415,431

For the three and nine months ended September 30, 2023:


Balance as of December 31, 2022 - Level 3	$	129,000
Change in fair value of derivative warrant liabilities - Private Warrants		225,750
Balance as of March 31, 2023 - Level 3		354,750
Change in fair value of derivative warrant liabilities - Private Warrants		129,000
Balance as of June 30, 2023 - Level 3		483,750
Change in fair value of derivative warrant liabilities - Private Warrants		(96,750)
Balance as of September 30, 2023 - Level 3	$	387,000

SUBSEQUENT EVENTS

9 Months Ended

Sep. 30, 2024

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

NOTE 10. SUBSEQUENT EVENTS

Subsequent to September 30, 2024, the New Sponsor advanced an additional amount of $42,084 increasing the aggregate outstanding amount to $1,538,641.

Pay vs Performance Disclosure - USD ($)	3 Months Ended						9 Months Ended
Pay vs Performance Disclosure - USD ($)	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Pay vs Performance Disclosure
Net Income (Loss)	$ (694,939)	$ (434,977)	$ (241,883)	$ 632,719	$ 1,361,348	$ 698,754	$ (1,371,799)	$ 2,692,821

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Sep. 30, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

9 Months Ended

Sep. 30, 2024

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Consolidation and Presentation

Emerging Growth Company

Use of Estimates

Cash and Cash Equivalents

Cash Held in Trust Account

Class A Ordinary Shares Subject to Possible Redemption

As of September 30, 2024 and December 31, 2023, the carrying value of Class A ordinary shares reflected in the condensed balance sheets is reconciled in the following table:


Class A ordinary shares subject to possible redemption as of December 31, 2022	$	152,348,535
Plus:
Waiver of Class A ordinary shares subject to possible redemption issuance costs		5,349,375
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		500,000
Less:
Redemption of Class A ordinary shares subject to possible redemption		(126,828,896)
Remeasurement of carrying value to redemption value		(399,256)
Class A ordinary shares subject to possible redemption as of December 31, 2023		30,969,758
Plus:
Remeasurement of carrying value to redemption value		403,224
Class A ordinary shares subject to possible redemption as of March 31, 2024		31,372,982
Plus:
Remeasurement of carrying value to redemption value		408,475
Class A ordinary shares subject to possible redemption as of June 30, 2024		31,781,457
Plus:
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		50,000
Remeasurement of carrying value to redemption value		405,268
Less:
Redemption of Class A ordinary shares subject to possible redemption		(12,181,639)
Class A ordinary shares subject to possible redemption as of September 30, 2024	$	20,055,086

Derivative Financial Instruments

Convertible Note Payable - Related Parties

Convertible Note Payable – Related Parties

Offering Costs Associated with the Initial Public Offering

Income Taxes

tax filing requirements in the Cayman Islands or the United States. Consequently, income taxes are not reflected in the Company’s unaudited condensed consolidated financial statements.

Net Income(Loss) Per Ordinary Share

The following tables reflect the calculation of basic and diluted net income (loss) per ordinary share (in dollars, except per share amounts):


	For the three months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(296,667)	$	(398,262)	$	386,287	$	246,432

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,793,483		3,750,000		5,878,201		3,750,000
Basic and diluted net income (loss) per ordinary share	$	(0.11)	$	(0.11)	$	0.07	$	0.07


	For the nine months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(592,195)	$	(779,604)	$	2,036,047	$	656,774

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,848,533		3,750,000		11,625,269		3,750,000

Basic and diluted net income (loss) per ordinary share	$	(0.21)	$	(0.21)	$	0.18	$	0.18

Concentration of Credit Risk

of access to such funds could have a significant adverse impact on the Company’s financial condition, results of operations and cash flows.

Fair Value of Financial Instruments

●

Level 3 — Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities.

See Note 9 for additional information on assets and liabilities measured at fair value.

Recent Accounting Standards

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2024

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of carrying value of Class A ordinary shares reflected in the condensed balance sheets is reconciled


Class A ordinary shares subject to possible redemption as of December 31, 2022	$	152,348,535
Plus:
Waiver of Class A ordinary shares subject to possible redemption issuance costs		5,349,375
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		500,000
Less:
Redemption of Class A ordinary shares subject to possible redemption		(126,828,896)
Remeasurement of carrying value to redemption value		(399,256)
Class A ordinary shares subject to possible redemption as of December 31, 2023		30,969,758
Plus:
Remeasurement of carrying value to redemption value		403,224
Class A ordinary shares subject to possible redemption as of March 31, 2024		31,372,982
Plus:
Remeasurement of carrying value to redemption value		408,475
Class A ordinary shares subject to possible redemption as of June 30, 2024		31,781,457
Plus:
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		50,000
Remeasurement of carrying value to redemption value		405,268
Less:
Redemption of Class A ordinary shares subject to possible redemption		(12,181,639)
Class A ordinary shares subject to possible redemption as of September 30, 2024	$	20,055,086

Schedule calculation of basic and diluted net income (loss) per ordinary share

The following tables reflect the calculation of basic and diluted net income (loss) per ordinary share (in dollars, except per share amounts):


	For the three months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(296,667)	$	(398,262)	$	386,287	$	246,432

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,793,483		3,750,000		5,878,201		3,750,000
Basic and diluted net income (loss) per ordinary share	$	(0.11)	$	(0.11)	$	0.07	$	0.07


	For the nine months ended September 30,
	2024				2023
	Class A ordinary				Class A ordinary
	shares subject to				shares subject to
	possible		Class B and non-		possible		Class B and non-
	redemption		redeemable Class A		redemption		redeemable Class A
Basic and diluted net income (loss) per ordinary share:
Numerator:
Allocation of net income (loss)	$	(592,195)	$	(779,604)	$	2,036,047	$	656,774

Denominator:
Basic and diluted weighted average ordinary shares outstanding		2,848,533		3,750,000		11,625,269		3,750,000

Basic and diluted net income (loss) per ordinary share	$	(0.21)	$	(0.21)	$	0.18	$	0.18

FAIR VALUE MEASUREMENT (Tables)

9 Months Ended

Sep. 30, 2024

FAIR VALUE MEASUREMENT

Schedule of financial assets and liabilities that are measured at fair value on a recurring basis

September 30, 2024


	Quoted Prices in		Significant Other		Significant Other
	Active Markets		Observable Inputs		Unobservable Inputs
Description	(Level 1)		(Level 2)		(Level 3)
Liabilities:
Warrant liability – Public Warrants	$	—	$	250,000	$	—
Warrant liability – Private Placement Warrants	$	—	$	—	$	161,250
Deferred consulting fees	$	—	$	—	$	35,904
Non-redemption agreement liabilities	$	—	$	—	$	218,277

December 31, 2023


	Quoted Prices in		Significant Other		Significant Other
	Active Markets		Observable Inputs		Unobservable Inputs
Description	(Level 1)		(Level 2)		(Level 3)
Liabilities:
Warrant liability – Public Warrants	$	—	$	200,000	$	—
Warrant liability – Private Placement Warrants	$	—	$	—	$	129,000
Deferred consulting fees	$	—	$	—	$	31,233
Non-redemption agreement liabilities	$	—	$	—	$	194,677

Schedule of the significant inputs to the Modified Black-Scholes method for the fair value of the Private Placement Warrants


	As of September 30, 2024			As of December 31, 2023
Stock price	$	11.14		$	10.66
Exercise price	$	11.50		$	11.50
Expected term (in years)		5.2			5.5
Volatility (*)		3.2	%		5.1	%
Risk-free rate		3.5	%		3.8	%
Fair value of warrants	$	0.05		$	0.04

*The probability of completing a Business Combination is considered within the volatility implied by the traded price of the Public Warrants which is used to value the Private Placement Warrants.

The following table provides the significant inputs to the Black-Scholes method for the fair value of the non-redemption agreement liabilities:


	As of September 30, 2024			As of December 31, 2023
Stock price	$	11.14		$	10.66
Expected term (in years)		0.20			0.70
Risk-free rate		4.4	%		5.3	%
Probability of closing of merger		3.2	%		2.9	%

The following table provides the significant inputs to the Black-Scholes method for the fair value of the deferred consulting fees:


	As of September 30, 2024			As of December 31, 2023
Number of shares		100,000			100,000
Redemption rate	$	11.22		$	10.77
Probability of closing of merger		3.2	%		2.9	%
Fair value of deferred consulting fees	$	35,904		$	31,233

Schedule of the changes in the fair value of the Company's Level 3 financial instruments that are measured at fair value

For the three and nine months ended September 30, 2024:


Balance as of December 31, 2023 - Level 3	$	354,910
Change in fair value of deferred consulting fees		13,498
Change in fair value of non-redemption agreement liabilities		80,139
Change in fair value of derivative warrant liabilities - Private Warrants		83,850
Balance as of March 31, 2024 - Level 3		532,397
Change in fair value of deferred consulting fees		(14,896)
Change in fair value of non-redemption agreement liabilities		(91,331)
Change in fair value of derivative warrant liabilities - Private Warrants		(51,600)
Balance as of June 30, 2024 - Level 3		374,570
Change in fair value of deferred consulting fees		6,069
Change in fair value of non-redemption agreement liabilities		34,792
Change in fair value of derivative warrant liabilities - Private Warrants		—
Balance as of September 30, 2024 - Level 3	$	415,431

For the three and nine months ended September 30, 2023:


Balance as of December 31, 2022 - Level 3	$	129,000
Change in fair value of derivative warrant liabilities - Private Warrants		225,750
Balance as of March 31, 2023 - Level 3		354,750
Change in fair value of derivative warrant liabilities - Private Warrants		129,000
Balance as of June 30, 2023 - Level 3		483,750
Change in fair value of derivative warrant liabilities - Private Warrants		(96,750)
Balance as of September 30, 2023 - Level 3	$	387,000

DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS (Details)										1 Months Ended	3 Months Ended	9 Months Ended		12 Months Ended
	Oct. 25, 2024 USD ($)	Sep. 25, 2024 USD ($)	Sep. 24, 2024 USD ($) item $ / shares	Nov. 27, 2023 USD ($)	Jun. 26, 2023 shares	Jun. 22, 2023 USD ($)	Jun. 15, 2023 USD ($) shares	Jun. 12, 2023 USD ($)	Jun. 25, 2021 USD ($) $ / shares shares	Oct. 25, 2024 USD ($)	Sep. 30, 2024 USD ($) $ / shares shares	Sep. 30, 2024 USD ($) item $ / shares shares	Sep. 30, 2023 USD ($)	Dec. 31, 2023 USD ($) $ / shares shares	Oct. 01, 2024 USD ($)	Aug. 22, 2024 USD ($)	Jun. 25, 2023 USD ($)	Aug. 06, 2021 shares
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Condition for future business combination number of businesses minimum \| item												1
Payments for investment of cash in trust account		$ 50,000								$ 100,000		$ 500,000
Cash held in Trust Account											$ 20,055,086	$ 20,055,086		$ 30,969,758
Redemption limit percentage without prior consent												15
Obligation to redeem public shares if entity does not complete a business combination (as a percent)												100.00%
Months to complete acquisition												24 months
Deposit trust account						$ 100,000
Number of years of service				3 years
Number of extensions \| item			2
Additional period of extension			1 month
Contribution of cash in trust account			$ 50,000
Price per share \| $ / shares			$ 0.04
Under writing option period									45 days
Aggregate shares redeemed value						2,023,236					(12,181,639)			(126,828,896)
Cash											0	$ 0
Principal amount											1,500,000	1,500,000
Working capital deficit												$ 4,797,417
Redemption of shares calculated based on business days prior to consummation of business combination (in days)												2 days
Threshold business days for redemption of public share												10 days
Period extended for consummation of initial business combination				3 months
Outstanding amount											550,000	$ 550,000
Proceeds from promissory note - related party												50,000	$ 400,000
Convertible note payable - related parties											550,000	550,000		500,000
Maximum
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Contribution of cash in trust account			$ 150,000
Subsequent Event
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Payments for investment of cash in trust account	$ 50,000
Proceeds from promissory note - related party	50,000
Convertible note payable - related parties	$ 600,000									$ 600,000
Rain Enhancement Technologies, Inc \| Coliseum Acquisition Corp.
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Minimum cash requirement																$ 10,000,000
Convertible Note
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Principal amount											$ 550,000	$ 550,000		$ 550,000			$ 100,000
New Sponsor
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Aggregate purchase price							$ 1.00
New Sponsor \| Subsequent Event
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Outstanding amount															$ 1,538,641
New Sponsor \| Convertible Note
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Principal amount						1,500,000
Harry L. You
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Conversion into common stock ratio					1.00%
Conversion of shares \| shares					1
Class B ordinary shares
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Conversion into common stock ratio					1.00%
Ordinary shares, par value (in dollar per share) \| $ / shares											$ 0.001	$ 0.001		$ 0.001
Ordinary shares, shares outstanding \| shares					1						1	1		1
Class B ordinary shares \| Harry L. You
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Ordinary shares, shares outstanding \| shares					1
Class B ordinary shares \| Previous Sponsor
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Number of shares issued \| shares												4,312,500
Ordinary shares, par value (in dollar per share) \| $ / shares											$ 0.001	$ 0.001
Aggregate purchase price												$ 25,000
Share price \| $ / shares											0.006	$ 0.006
Class A ordinary shares
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Ordinary shares, par value (in dollar per share) \| $ / shares											0.001	0.001		$ 0.001
Class A ordinary shares \| Harry L. You
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Conversion of shares \| shares					2,624,999
Class A ordinary shares \| Previous Sponsor
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Conversion of shares \| shares					1,125,000
Founder share
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Ordinary shares, shares outstanding \| shares																		3,750,000
Founder share \| New Sponsor
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Number of shares issued \| shares					2,625,000		2,625,000
Initial Public Offering
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Sale of Units, net of underwriting discounts (in shares) \| shares									15,000,000
Purchase price, per unit \| $ / shares									$ 10.00		$ 10.00	$ 10.00
Proceeds from issuance initial public offering									$ 150,000,000
Transaction costs									9,176,463
Underwriting fees									3,000,000
Deferred underwriting fees								$ 5,625,000	5,625,000
Reimbursed from transaction costs									750,000
Payments for investment of cash in trust account									150,000,000
Ordinary shares, shares outstanding \| shares											1,787,112	1,787,112
Other offering costs									$ 551,463
Price per warrant \| $ / shares									$ 11.50
Initial Public Offering \| Private Placement Warrants
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Aggregate purchase price									$ 4,837,500
Number of warrants to purchase shares issued \| shares									3,225,000
Price of warrant \| $ / shares									$ 1.50
Over-allotment option
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Sale of Units, net of underwriting discounts (in shares) \| shares									2,250,000
Private Placement Warrants \| New Sponsor
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Number of shares issued \| shares							2,257,500
Private Placement Warrants \| New Sponsor \| Convertible Note
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Price per warrant \| $ / shares											$ 1.50	$ 1.50
Private Placement Warrants \| Class A ordinary shares
DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS
Conversion of shares \| shares					1,125,000
Deposit trust account			1,089,249	$ 3,001,840		9,121,799
Aggregate shares redeemed value			$ 12,181,639	$ 32,132,524		$ 94,696,372
Ordinary shares, shares outstanding \| shares											5,537,111	5,537,111		5,537,111

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($)	9 Months Ended
	Sep. 30, 2024	Dec. 31, 2023	Jun. 25, 2023	Jun. 22, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Unrecognized tax benefits	$ 0	$ 0
Unrecognized tax benefits accrued for interest and penalties	$ 0	0
Anti-dilutive securities attributable to warrants (in shares)	8,225,000
Principal amount	$ 1,500,000
Convertible Note
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principal amount	550,000	550,000	$ 100,000
Aggregate outstanding	$ 550,000	$ 500,000
New Sponsor \| Convertible Note
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principal amount				$ 1,500,000
New Sponsor \| Convertible Note \| Private Placement Warrants
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Price per warrant	$ 1.50

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Reconciliation of Public Shares reflected in the unaudited condensed balance sheets (Details) - USD ($)		3 Months Ended			12 Months Ended
	Jun. 22, 2023	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Dec. 31, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Class A ordinary shares subject to possible redemption		$ 31,781,457	$ 31,372,982	$ 30,969,758	$ 152,348,535
Plus:
Waiver of Class A ordinary shares subject to possible redemption issuance costs					5,349,375
Increase in redemption value of Class A ordinary shares subject to possible redemption subject to redemption due to extension		50,000			500,000
Less/Plus:
Redemption of Class A ordinary shares subject to possible redemption	$ 2,023,236	(12,181,639)			(126,828,896)
Remeasurement of carrying value to redemption value		405,268	408,475	403,224	(399,256)
Class A ordinary shares subject to possible redemption		$ 20,055,086	$ 31,781,457	$ 31,372,982	$ 30,969,758

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Calculation of basic and diluted net income per ordinary share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Class A ordinary shares subject to possible redemption
Numerator:
Allocation of net income (loss)	$ (296,667)	$ 386,287	$ (592,195)	$ 2,036,047
Denominator:
Basic, weighted average common shares outstanding	2,793,483	5,878,201	2,848,533	11,625,269
Diluted, weighted average common shares outstanding	2,793,483	5,878,201	2,848,533	11,625,269
Basic net income (loss) per ordinary share	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18
Diluted net income (loss) per ordinary share	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18
Class B and non-redeemable Class A ordinary shares
Numerator:
Allocation of net income (loss)	$ (398,262)	$ 246,432	$ (779,604)	$ 656,774
Denominator:
Basic, weighted average common shares outstanding	3,750,000	3,750,000	3,750,000	3,750,000
Diluted, weighted average common shares outstanding	3,750,000	3,750,000	3,750,000	3,750,000
Basic net income (loss) per ordinary share	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18
Diluted net income (loss) per ordinary share	$ (0.11)	$ 0.07	$ (0.21)	$ 0.18

INITIAL PUBLIC OFFERING (Details) - USD ($)	Jun. 25, 2021	Sep. 30, 2024
INITIAL PUBLIC OFFERING
Under writing option period	45 days
Initial Public Offering
INITIAL PUBLIC OFFERING
Number of units sold	15,000,000
Purchase price, per unit	$ 10.00	$ 10.00
Gross proceeds	$ 150,000,000
Number of shares in a unit	1
Number of warrants in a unit	0.33
Number of shares issuable per warrant	1
Exercise price of warrants	$ 11.50
Over-allotment option
INITIAL PUBLIC OFFERING
Number of units sold	2,250,000

PRIVATE PLACEMENT (Details) - Private Placement - Private Placement Warrants	9 Months Ended
	Sep. 30, 2024 USD ($) $ / shares shares
PRIVATE PLACEMENT
Number of warrants to purchase shares issued \| shares	3,225,000
Price of warrants \| $ / shares	$ 1.50
Aggregate purchase price \| $	$ 4,837,500
Number of shares per warrant \| shares	1
Price per warrant \| $ / shares	$ 11.50

RELATED PARTY TRANSACTIONS - Founder shares (Details)				9 Months Ended
RELATED PARTY TRANSACTIONS - Founder shares (Details)	Jun. 26, 2023 shares	Jun. 15, 2023 USD ($) shares	Feb. 17, 2021 USD ($) D $ / shares shares	Sep. 30, 2024 USD ($) $ / shares shares	Dec. 31, 2023 shares	Aug. 06, 2021 shares
RELATED PARTY TRANSACTIONS
Threshold period for not to transfer, assign or sell any of their shares or warrants after the completion of the initial business combination				30 days
New Sponsor
RELATED PARTY TRANSACTIONS
Aggregate purchase price \| $		$ 1.00
New Sponsor \| Private Placement Warrants
RELATED PARTY TRANSACTIONS
Number of shares issued		2,257,500
Harry L. You
RELATED PARTY TRANSACTIONS
Conversion of shares	1
Conversion into common stock ratio	1.00%
Class A ordinary shares equals or exceeds $12.00 per share \| Previous Sponsor
RELATED PARTY TRANSACTIONS
Conversion of shares	1,125,000
Non-redeemable Class A ordinary shares \| Harry L. You
RELATED PARTY TRANSACTIONS
Conversion of shares	2,624,999
Class B ordinary shares
RELATED PARTY TRANSACTIONS
Conversion into common stock ratio	1.00%
Shares subject to forfeiture						562,500
Ordinary shares, shares outstanding	1			1	1
Class B ordinary shares \| Harry L. You
RELATED PARTY TRANSACTIONS
Ordinary shares, shares outstanding	1
Class B ordinary shares \| Previous Sponsor
RELATED PARTY TRANSACTIONS
Aggregate purchase price \| $				$ 25,000
Number of shares issued				4,312,500
Founder share
RELATED PARTY TRANSACTIONS
Ordinary shares, shares outstanding						3,750,000
Estimated fair value of the founder shares (Per Shares) \| $ / shares				$ 5.38
Estimated fair value of the founder shares \| $				$ 2,994,491
Excess of the amount paid \| $				$ 2,159,708
Founder share \| Five anchor investors
RELATED PARTY TRANSACTIONS
Number of units sold				7,440,000
Founder share \| One anchor investor
RELATED PARTY TRANSACTIONS
Number of units sold				2,235,000
Founder share \| First anchor investor
RELATED PARTY TRANSACTIONS
Number of units sold				1,485,000
Founder share \| Second anchor investor
RELATED PARTY TRANSACTIONS
Number of units sold				1,485,000
Founder share \| Third anchor investor
RELATED PARTY TRANSACTIONS
Number of units sold				1,485,000
Founder share \| Remaining one anchor investor
RELATED PARTY TRANSACTIONS
Number of units sold				750,000
Founder share \| New Sponsor
RELATED PARTY TRANSACTIONS
Number of shares issued	2,625,000	2,625,000
Founder share \| Sponsor \| Non-redeemable Class A ordinary shares
RELATED PARTY TRANSACTIONS
Ordinary shares, shares outstanding				3,749,999
Founder share \| Sponsor \| Class B ordinary shares
RELATED PARTY TRANSACTIONS
Aggregate purchase price \| $			$ 25,000
Number of shares issued			4,312,500
Maximum shares subject to forfeiture			562,500
Percentage of issued and outstanding shares collectively held by initial stockholders			20.00%
Shares subject to forfeiture						562,500
Ordinary shares, shares outstanding				1		3,750,000
Threshold period for not to transfer, assign or sell any of their shares or warrants after the completion of the initial business combination				1 year
Founder share \| Sponsor \| Class B ordinary shares \| Class A ordinary shares equals or exceeds $12.00 per share
RELATED PARTY TRANSACTIONS
Stock price trigger to transfer, assign or sell any shares or warrants of the company, after the completion of the initial business combination (in dollars per share) \| $ / shares			$ 12.00
Threshold trading days for transfer, assign or sale of shares or warrants, after the completion of the initial business combination \| D			20
Threshold consecutive trading days for transfer, assign or sale of shares or warrants, after the completion of the initial business combination \| D			30
Threshold period after the business combination in which the 20 trading days within any 30 trading day period commences			150 days
Founder share \| Sponsor \| Class B ordinary shares \| Class A ordinary shares equals or exceeds $18.00 per share
RELATED PARTY TRANSACTIONS
Stock price trigger to transfer, assign or sell any shares or warrants of the company, after the completion of the initial business combination (in dollars per share) \| $ / shares			$ 18.00
Threshold trading days for transfer, assign or sale of shares or warrants, after the completion of the initial business combination \| D			20
Threshold consecutive trading days for transfer, assign or sale of shares or warrants, after the completion of the initial business combination \| D			30
Threshold period after the business combination in which the 20 trading days within any 30 trading day period commences			75 days

RELATED PARTY TRANSACTIONS - Additional information (Details) - USD ($)					1 Months Ended		3 Months Ended		9 Months Ended		12 Months Ended
	Oct. 25, 2024	Oct. 01, 2024	Aug. 22, 2024	Jul. 25, 2023	Jun. 30, 2023	Apr. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	Dec. 31, 2022	Jun. 26, 2023	Jun. 25, 2023	Jun. 22, 2023
RELATED PARTY TRANSACTIONS
Principal amount							$ 1,500,000		$ 1,500,000
Outstanding amount							550,000		550,000
Proceeds from promissory note - related party									50,000	$ 400,000
Convertible note payable - related parties							550,000		550,000		$ 500,000
Reimbursement of out-of-pocket expenses			$ 500,000
Cash compensation for services to directors			$ 100,000
Subsequent Event
RELATED PARTY TRANSACTIONS
Proceeds from promissory note - related party	$ 50,000
Convertible note payable - related parties	$ 600,000
Convertible Note
RELATED PARTY TRANSACTIONS
Principal amount							550,000		550,000		550,000			$ 100,000
Aggregate outstanding							$ 550,000		$ 550,000		500,000
Previous Sponsor
RELATED PARTY TRANSACTIONS
Advance from related party						$ 50,000						$ 2,058
Repaid to related party					$ 38,828
New Sponsor \| Subsequent Event
RELATED PARTY TRANSACTIONS
Outstanding amount		$ 1,538,641
Aggregate advance for working capital		42,084
New Sponsor \| Convertible Note
RELATED PARTY TRANSACTIONS
Principal amount															$ 1,500,000
New Sponsor \| Convertible Note \| Private Placement Warrants
RELATED PARTY TRANSACTIONS
Price per warrant							$ 1.50		$ 1.50
Related party
RELATED PARTY TRANSACTIONS
Amount owed							$ 1,646,557		$ 1,646,557		639,190
New Sponsor
RELATED PARTY TRANSACTIONS
Aggregate advance for working capital									$ 1,496,557		579,190
New Sponsor \| Subsequent Event
RELATED PARTY TRANSACTIONS
Amount owed		1,538,641
Aggregate advance for working capital		$ 42,084
Working capital loans \| Previous Sponsor
RELATED PARTY TRANSACTIONS
Repaid to related party					$ 9,114
Working capital loans \| Sponsor
RELATED PARTY TRANSACTIONS
Price per warrant							$ 1.50		$ 1.50
Administrative Services Agreement
RELATED PARTY TRANSACTIONS
Expenses incurred and paid							$ 30,000	$ 90,000	$ 30,000	$ 90,000
Administrative Services Agreement \| Previous Sponsor
RELATED PARTY TRANSACTIONS
Accrued Expenses													$ 70,000
Administrative Services Agreement \| Related party
RELATED PARTY TRANSACTIONS
Amount owed							$ 150,000		150,000		$ 60,000
Administrative Services Agreement \| Sponsor
RELATED PARTY TRANSACTIONS
Expenses per month									$ 10,000
Administrative Services Agreement \| New Sponsor
RELATED PARTY TRANSACTIONS
Expenses per month				$ 10,000

COMMITMENTS AND CONTINGENCIES (Details)					3 Months Ended			9 Months Ended
COMMITMENTS AND CONTINGENCIES (Details)	Nov. 22, 2023 USD ($) shares	Jun. 22, 2023 shares	Jun. 12, 2023 USD ($)	Jun. 25, 2021 USD ($) shares	Sep. 30, 2024 USD ($) item $ / shares shares	Jun. 30, 2024 USD ($)	Mar. 31, 2024 USD ($)	Sep. 30, 2024 USD ($) item $ / shares shares	Sep. 30, 2023 USD ($)	Dec. 31, 2023 USD ($)
COMMITMENTS AND CONTINGENCIES
Maximum number of demands for registration of securities \| item					3			3
Under writing option period				45 days
Number of units granted to underwriters \| shares				2,250,000
Underwriting discount, per unit \| $ / shares					$ 0.20			$ 0.20
Underwriter cash paid								$ 750,000
Sale of stock underwriting discounts and commissions								$ 3,000,000
Deferred fee per unit \| $ / shares					$ 0.375			$ 0.375
Professional fees	$ 250,000
Deferred underwriting commissions					$ 5,625,000			$ 5,625,000
Deferred consulting fees					35,904			35,904		$ 31,233
Change in fair value of deferred consulting fees					6,069	$ (14,896)	$ 13,498	$ 4,671
Extinguishment of deferred underwriting fee allocated to public shares									$ (5,349,375)
Gain from extinguishment of deferred underwriting fee allocated to warrant liabilities									$ 275,625
Number of shares agreed to be non-redeemed \| shares								2,023,236
Number of founder shares subject to forfeiture \| shares		606,971						606,971
Fair value of the contingent forward					218,277			$ 218,277		$ 194,677
Change in fair value of non-redemption agreements					$ (34,792)	$ 91,331	$ (80,139)	$ (23,600)
Consultant
COMMITMENTS AND CONTINGENCIES
Aggregate shares redeemed \| shares	100,000
Ordinary shares, shares outstanding \| shares	100,000
Number of shares issued \| shares	100,000
Initial Public Offering
COMMITMENTS AND CONTINGENCIES
Ordinary shares, shares outstanding \| shares					1,787,112			1,787,112
Deferred underwriting fees			$ 5,625,000	$ 5,625,000
Extinguishment of deferred underwriting fee allocated to public shares			5,349,375
Gain from extinguishment of deferred underwriting fee allocated to warrant liabilities			$ 275,625

WARRANTS (Details)	9 Months Ended
WARRANTS (Details)	Sep. 30, 2024 D $ / shares shares	Dec. 31, 2023 shares
WARRANTS
Warrants exercisable term from the completion of business combination	30 days
Warrants exercisable term from the closing of the public offering	12 months
Public Warrants expiration term	5 years
Threshold period for filling registration statement after business combination	15 days
Threshold period for registration statement to be effective after which warrants can be exercised on a cashless basis.	60 days
Common stock, trading days on which fair market value of shares is reported \| D	10
Multiplier used in calculating warrant exercise price	0.361
Threshold issue price for capital raising purposes in connection with the closing of a Business Combination \| $ / shares	$ 9.20
Percentage of gross proceeds on total equity proceeds	60.00%
Threshold trading days for calculating Market Value \| item \| D	20
Adjustment of exercise price of warrants based on market value and newly issued price (as a percent)	180.00%
Adjustment of exercise price of warrants based on market value (as a percent)	115.00%
Threshold period for not to transfer, assign or sell any of their shares or warrants after the completion of the initial business combination	30 days
Redemption of warrant price per share equals or exceeds18.00
WARRANTS
Stock price trigger for redemption of public warrants	$ 18.00
Redemption price per public warrant (in dollars per share)	$ 0.01
Minimum threshold written notice period for redemption of public warrants	30 days
Threshold trading days for redemption of public warrants	20 days
Redemption period	30 days
Redemption of warrant price per share equals or exceeds10.00
WARRANTS
Stock price trigger for redemption of public warrants	$ 10.00
Redemption price per public warrant (in dollars per share)	$ 0.10
Minimum threshold written notice period for redemption of public warrants	30 days
Public Warrants
WARRANTS
Warrants Issued \| shares	5,000,000	5,000,000
Private Warrants
WARRANTS
Warrants Issued \| shares	3,225,000	3,225,000

SHAREHOLDERS' DEFICIT - Preferred stock shares (Details) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
SHAREHOLDERS' DEFICIT
Preferred shares, shares authorized	5,000,000	5,000,000
Preferred stock, par value, (per share)	$ 0.001	$ 0.001
Preferred shares, shares issued	0	0
Preferred shares, shares outstanding	0	0

SHAREHOLDERS' DEFICIT - Common stock shares (Details)						3 Months Ended	9 Months Ended	12 Months Ended
SHAREHOLDERS' DEFICIT - Common stock shares (Details)	Sep. 24, 2024 USD ($) shares	Nov. 27, 2023 USD ($) shares	Jun. 26, 2023 shares	Jun. 22, 2023 USD ($) shares	Jun. 15, 2023 shares	Sep. 30, 2024 USD ($) Vote $ / shares shares	Sep. 30, 2024 Vote $ / shares shares	Dec. 31, 2023 USD ($) $ / shares shares	Dec. 31, 2022 shares	Aug. 06, 2021 shares
SHAREHOLDERS' DEFICIT
Aggregate shares redeemed value \| $				$ 2,023,236		$ (12,181,639)		$ (126,828,896)
Harry L. You
SHAREHOLDERS' DEFICIT
Conversion into common stock ratio			1.00%
Conversion of shares			1
Private Placement Warrants \| New Sponsor
SHAREHOLDERS' DEFICIT
Number of shares issued					2,257,500
Founder share
SHAREHOLDERS' DEFICIT
Common shares, shares outstanding (in shares)										3,750,000
Founder share \| New Sponsor
SHAREHOLDERS' DEFICIT
Number of shares issued			2,625,000		2,625,000
Class A ordinary shares
SHAREHOLDERS' DEFICIT
Common shares, shares authorized (in shares)						500,000,000	500,000,000	500,000,000
Common shares, par value (in dollars per share) \| $ / shares						$ 0.001	$ 0.001	$ 0.001
Class A ordinary shares \| Harry L. You
SHAREHOLDERS' DEFICIT
Conversion of shares			2,624,999
Class A ordinary shares \| Private Placement Warrants
SHAREHOLDERS' DEFICIT
Common shares, shares outstanding (in shares)						5,537,111	5,537,111	5,537,111
Aggregate shares redeemed	1,089,249	3,001,840		9,121,799
Aggregate shares redeemed value \| $	$ 12,181,639	$ 32,132,524		$ 94,696,372
Conversion of shares			1,125,000
Ratio to be applied to the stock in the conversion			1
Class A ordinary shares subject to possible redemption
SHAREHOLDERS' DEFICIT
Temporary equity, shares issued						1,787,112	1,787,112	2,876,361
Temporary equity, shares outstanding						1,787,112	1,787,112	2,876,361	15,000,000
Class A common stock not subject to possible redemption
SHAREHOLDERS' DEFICIT
Number of Class A common stock issued upon conversion of each share (in shares)							3,749,999	3,749,999
Common shares, shares issued (in shares)						3,749,999	3,749,999	3,749,999
Common shares, shares outstanding (in shares)						3,749,999	3,749,999	3,749,999
Class B ordinary shares
SHAREHOLDERS' DEFICIT
Conversion into common stock ratio			1.00%
Temporary equity, shares outstanding			3,749,999
Number of Class A common stock issued upon conversion of each share (in shares)							1
Common shares, shares authorized (in shares)						50,000,000	50,000,000	50,000,000
Common shares, par value (in dollars per share) \| $ / shares						$ 0.001	$ 0.001	$ 0.001
Common shares, shares issued (in shares)						1	1	1
Common shares, shares outstanding (in shares)			1			1	1	1
Common shares, votes per share \| Vote						1	1
Percentage of issued and outstanding shares after the initial public offering collectively held by initial stockholders							20.00%
Shares subject to forfeiture										562,500
Class B ordinary shares \| Harry L. You
SHAREHOLDERS' DEFICIT
Common shares, shares outstanding (in shares)			1

FAIR VALUE MEASUREMENT (Details) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Liabilities
Warrant liability	$ 411,250	$ 329,000
Significant Other Observable Inputs (Level 2) \| Recurring \| Public Warrants
Liabilities
Warrant liability	250,000	200,000
Significant Other Unobservable Inputs (Level 3) \| Recurring
Liabilities
Deferred consulting fees	35,904	31,233
Non-redemption agreement liabilities	218,277	194,677
Significant Other Unobservable Inputs (Level 3) \| Recurring \| Private Placement Warrants
Liabilities
Warrant liability	$ 161,250	$ 129,000

FAIR VALUE MEASUREMENT - Level 3 fair value measurements inputs (Details)	Sep. 30, 2024 Y $ / shares	Dec. 31, 2023 $ / shares Y
Stock price
FAIR VALUE MEASUREMENT
Non redemption agreement liability, measurement input	11.14	10.66
Stock price \| Private Placement Warrants
FAIR VALUE MEASUREMENT
Deferred consulting fees	11.14	10.66
Exercise price \| Private Placement Warrants
FAIR VALUE MEASUREMENT
Deferred consulting fees	11.50	11.50
Expected term (in years)
FAIR VALUE MEASUREMENT
Non redemption agreement liability, measurement input \| Y	0.20	0.70
Expected term (in years) \| Private Placement Warrants
FAIR VALUE MEASUREMENT
Deferred consulting fees \| Y	5.2	5.5
Volatility \| Private Placement Warrants
FAIR VALUE MEASUREMENT
Deferred consulting fees	0.032	0.051
Risk-free rate
FAIR VALUE MEASUREMENT
Non redemption agreement liability, measurement input	0.044	0.053
Risk-free rate \| Private Placement Warrants
FAIR VALUE MEASUREMENT
Deferred consulting fees	0.035	0.038
Fair value of warrants \| Private Placement Warrants
FAIR VALUE MEASUREMENT
Deferred consulting fees	0.05	0.04
Probability of closing of merger
FAIR VALUE MEASUREMENT
Deferred consulting fees	0.032	0.029
Non redemption agreement liability, measurement input	0.032	0.029

FAIR VALUE MEASUREMENT - Additional information (Details) - USD ($)	3 Months Ended				9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	Jun. 25, 2023
FAIR VALUE MEASUREMENT
Outstanding of convertible amount	$ 1,500,000				$ 1,500,000
Gain (loss) in connection with changes in the fair value of warrant liabilities	0			$ 246,750	(82,250)	$ (658,000)
Change in fair value of non-redemption agreement liabilities	34,792	$ (91,331)	$ 80,139		23,600
Convertible Note
FAIR VALUE MEASUREMENT
Outstanding of convertible amount	$ 550,000				$ 550,000		$ 550,000	$ 100,000

FAIR VALUE MEASUREMENT - Black-Scholes method for the fair value of the deferred consulting fees (Details)	3 Months Ended			9 Months Ended
	Sep. 30, 2024 USD ($) $ / shares shares	Jun. 30, 2024 USD ($)	Mar. 31, 2024 USD ($)	Sep. 30, 2024 USD ($) $ / shares shares	Dec. 31, 2023 $ / shares USD ($) shares
FAIR VALUE MEASUREMENT
Change in fair value of deferred consulting fees	$ 6,069	$ (14,896)	$ 13,498	$ 4,671
Number of shares
FAIR VALUE MEASUREMENT
Deferred consulting fees \| shares	100,000			100,000	100,000
Redemption rate
FAIR VALUE MEASUREMENT
Deferred consulting fees \| $ / shares	11.22			11.22	10.77
Probability of closing of merger
FAIR VALUE MEASUREMENT
Deferred consulting fees	0.032			0.032	0.029
Fair value of deferred consulting fees
FAIR VALUE MEASUREMENT
Deferred consulting fees	35,904			35,904	31,233

FAIR VALUE MEASUREMENT - Change in the fair value of the warrant liabilities (Details) - USD ($)	3 Months Ended						9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024
Changes in the fair value of warrants liabilities
Fair value at beginning of period	$ 374,570	$ 532,397	$ 354,910	$ 483,750	$ 354,750	$ 129,000	$ 354,910
Change in fair value of derivative warrant liabilities - Private Warrants		$ (51,600)	$ 83,850	(96,750)	129,000	225,750
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]	Fair Value Adjustment of Warrants	Fair Value Adjustment of Warrants	Fair Value Adjustment of Warrants
Change in fair value of deferred consulting fees	$ 6,069	$ (14,896)	$ 13,498				4,671
Change in fair value of non-redemption agreement liabilities	34,792	(91,331)	80,139				23,600
Fair value at ending of period	$ 415,431	$ 374,570	$ 532,397	$ 387,000	$ 483,750	$ 354,750	$ 415,431

SUBSEQUENT EVENTS (Details) - USD ($)			9 Months Ended
SUBSEQUENT EVENTS (Details) - USD ($)	Oct. 25, 2024	Oct. 01, 2024	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
SUBSEQUENT EVENTS
Outstanding amount			$ 550,000
Proceeds received from related parties under convertible note payable			50,000	$ 400,000
Increased balance of convertible note			$ 550,000		$ 500,000
Subsequent Event
SUBSEQUENT EVENTS
Proceeds received from related parties under convertible note payable	$ 50,000
Increased balance of convertible note	$ 600,000
Subsequent Event \| New Sponsor
SUBSEQUENT EVENTS
Aggregate advance for working capital		$ 42,084
Outstanding amount		$ 1,538,641