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Restatement of Previously Issued Financial Statements
 9 Months Ended 12 Months Ended
Sep. 30, 2021
Dec. 31, 2020
Condensed Financial Information Disclosure [Abstract]    
Restatement of Previously Issued Financial Statements

Note 2 — Restatement of Previously Issued Financial Statements

In connection with the preparation of the Company’s condensed financial statements as of September 30, 2021 and in accordance with the SEC and its staff’s guidance on redeemable equity instruments, ASC 480, paragraph 10-S99, redemption provisions not solely within the control of the Company require common stock subject to redemption to be classified outside of permanent equity, management determined it should restate its previously reported condensed financial statements. The Company had previously determined the shares of Common Stock subject to possible redemption to be equal to the redemption value of $10.00 per share of Common Stock while also taking into consideration that a redemption cannot result in net tangible assets being less than $5,000,001. Management has also determined that the shares of Common Stock issued in connection with the Initial Public Offering can be redeemed or become redeemable subject to the occurrence of future events considered outside the Company’s control.

Therefore, management has concluded that the redemption value should include all the shares of Common Stock subject to possible redemption, resulting in the shares of Common Stock subject to possible redemption being equal to their redemption value. In accordance with SEC Staff Accounting Bulletin No. 99, “Materiality,” and SEC Staff Accounting Bulletin No. 108, “Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements,” the Company evaluated the changes and has determined that the related impact was material to previously presented financial statements. As a result, management has noted a restatement related to temporary equity and permanent equity. This resulted in an adjustment to the initial carrying value of the shares of Common Stock subject to possible redemption with the offset recorded to additional paid-in capital (to the extent available), accumulated deficit and the shares of Common Stock.

The revision do not result in any change in the Company’s total assets, liabilities or operating results.

The impact of the restatement on the Company’s financial statements is reflected in the following table:

Balance Sheet as of November 7, 2019 (audited)

  

As Previously Reported

  

Adjustment

  

As
Restated

Common stock subject to possible redemption

  

$

112,525,160

 

  

$

7,474,840

 

  

$

120,000,000

 

Common stock

  

$

432

 

  

$

(75

)

  

$

357

 

Additional paid-in capital

  

$

5,020,136

 

  

$

(5,020,136

)

  

$

—

 

Accumulated deficit

  

$

(20,567

)

  

$

(2,454,196

)

  

$

(2,475,196

)

Total stockholders’ equity (deficit)

  

$

5,000,001

 

  

$

(7,474,840

)

  

$

(2,474,839

)

Number of shares subject to redemption

  

 

11,252,516

 

  

 

747,484

 

  

 

12,000,000

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

123,705,148

 

  

$

6,492,214

 

  

$

130,197,362

 

Common stock

  

$

402

 

  

$

(65

)

  

$

337

 

Additional paid-in capital

  

$

3,693,446

 

  

$

(3,693,446

)

  

$

—

 

Accumulated deficit

  

$

1,306,153

 

  

$

(2,798,703

)

  

$

(1,492,550

)

Total stockholders’ equity (deficit)

  

$

5,000,001

 

  

$

(6,492,214

)

  

$

(1,492,513

)

Number of shares subject to redemption

  

 

12,353,237

 

  

 

648,315

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

124,081,469

 

  

$

6,452,799

 

  

$

130,534,268

 

Common stock

  

$

402

 

  

$

(65

)

  

$

337

 

Additional paid-in capital

  

$

3,317,125

 

  

$

(3,317,125

)

  

$

—

 

Accumulated deficit

  

$

1,682,483

 

  

$

(3,135,609

)

  

$

(1,453,126

)

Total stockholders’ equity (deficit)

  

$

5,000,010

 

  

$

(6,452,799

)

  

$

(1,452,789

)

Number of shares subject to redemption

  

 

12,358,836

 

  

 

642,716

 

  

 

13,001,552

 

Balance Sheet as of November 7, 2019 (audited)

  

As Previously
Reported

  

Adjustment

  

As
Restated

Balance Sheet as of June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

123,982,509

 

  

$

6,553,480

 

  

$

130,535,989

 

Common stock

  

$

403

 

  

$

(66

)

  

$

337

 

Additional paid-in capital

  

$

3,416,084

 

  

$

(3,416,084

)

  

$

—

 

Accumulated deficit

  

$

1,583,517

 

  

$

(3,137,330

)

  

$

(1,553,813

)

Total stockholders’ equity (deficit)

  

$

5,000,004

 

  

$

(6,553,480

)

  

$

(1,553,476

)

Number of shares subject to redemption

  

 

12,358,836

 

  

 

642,716

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

123,698,687

 

  

$

6,829,335

 

  

$

130,528,022

 

Common stock

  

$

405

 

  

$

(68

)

  

$

337

 

Additional paid-in capital

  

$

3,699,904

 

  

$

(3,699,904

)

  

$

—

 

Accumulated deficit

  

$

1,299,693

 

  

$

(3,129,363

)

  

$

(1,829,670

)

Total stockholders’ equity (deficit)

  

$

5,000,002

 

  

$

(6,829,335

)

  

$

(1,829,333

)

Number of shares subject to redemption

  

 

12,321,300

 

  

 

680,252

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

121,831,059

 

  

$

8,713,900

 

  

$

130,544,959

 

Common stock

  

$

424

 

  

$

(87

)

  

$

337

 

Additional paid-in capital

  

$

5,567,513

 

  

$

(5,567,513

)

  

$

—

 

Accumulated deficit

  

$

(567,927

)

  

$

(3,146,300

)

  

$

(3,714,227

)

Total stockholders’ equity (deficit)

  

$

5,000,010

 

  

$

(8,713,900

)

  

$

(3,713,890

)

Number of shares subject to redemption

  

 

12,133,696

 

  

 

867,856

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of March 31, 2021 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

120,945,058

 

  

$

9,371,001

 

  

$

130,316,059

 

Common stock

  

$

430

 

  

$

(93

)

  

$

337

 

Additional paid-in capital

  

$

6,453,508

 

  

$

(6,453,508

)

  

$

—

 

Accumulated deficit

  

$

(1,453,933

)

  

$

(2,917,400

)

  

$

(4,371,333

)

Total stockholders’ equity (deficit)

  

$

5,000,005

 

  

$

(9,371,001

)

  

$

(4,370,996

)

Number of shares subject to redemption

  

 

12,066,613

 

  

 

934,939

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of June 30, 2021 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

120,514,260

 

  

$

9,710,295

 

  

$

130,224,555

 

Common stock

  

$

435

 

  

$

(98

)

  

$

337

 

Additional paid-in capital

  

$

6,884,301

 

  

$

(6,884,301

)

  

$

—

 

Accumulated deficit

  

$

(1,884,733

)

  

$

(2,825,896

)

  

$

(4,710,629

)

Total stockholders’ equity (deficit)

  

$

5,000,003

 

  

$

(9,710,295

)

  

$

(4,710,292

)

Number of shares subject to redemption

  

 

12,032,081

 

  

 

969,471

 

  

 

13,001,552

 

Balance Sheet as of November 7, 2019 (audited)

  

As Previously
Reported

  

Adjustment

  

As
Restated

Condensed Statement of Changes in Stockholders’ Equity (Deficit) as of December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Sale of 13,001,552 Units, net of underwriting discount and offering expenses

  

$

126,622,527

 

  

$

(126,622,527

)

  

$

—

 

Initial value of common stock subject to redemption at IPO

  

$

(123,705,148

)

  

$

123,705,148

 

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(3,574,835

)

  

$

(3,574,835

)
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) as of March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

(376,321

)

  

$

376,321

 

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(336,906

)

  

$

(336,906

)
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) as of June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

98,960

 

  

$

(98,960

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(1,721

)

  

$

(1,721

)
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) as of September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

283,822

 

  

$

(283,822

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

7,967

 

  

$

7,967

 
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) as of December 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

1,867,628

 

  

$

(1,867,628

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(16,937

)

  

$

(16,937

)
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) as of March 31, 2021 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

886,001

 

  

$

(886,001

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

228,900

 

  

$

228,900

 
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) as of June 30, 2021 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

430,798

 

  

$

(430,798

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

91,504

 

  

$

91,504

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Cash Flows for the Period from June 20, 2019 (inception) to December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Initial classification of common stock subject to possible redemption

  

$

122,378,428

 

  

$

7,637,092

 

  

$

130,015,520

 

In connection with the change in presentation for the common stock subject to redemption, the Company also restated its income (loss) per common share calculated to allocate net income (loss), with all allocated to common stock. This presentation contemplates a Business Combination as the most likely outcome, in which case, both classes of common stock share pro rata in the income (loss) of the Company. There is no impact to the reported amounts for total assets, total liabilities, cash flows, or net income (loss). The impact of this restatement on the Company’s financial statements is reflected in the following table:

Statement of Operations for the period from June 20, 2019 (inception) to December 31, 2019 (audited)

  

As Previously Reported

  

Adjustment

  

As Restated

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,128,362

 

  

 

(7,617,397

)

  

 

4,510,965

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.01

 

  

$

0.16

 

  

$

0.17

 

Weighted average shares outstanding, Common Stock

  

 

3,394,029

 

  

 

(246,439

)

  

 

3,147,590

 

Basic and diluted net loss per share, Common Stock

  

$

0.33

 

  

$

(0.16

)

  

$

0.17

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the three months ended March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,353,237

 

  

 

(648,315

)

  

 

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.04

 

  

$

(0.02

)

  

$

0.02

 

Weighted average shares outstanding, Common Stock

  

 

4,018,703

 

  

 

(648,315

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.04

)

  

$

0.06

 

  

$

0.02

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the six months ended June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,356,037

 

  

 

645,515

 

  

 

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.04

 

  

$

(0.02

)

  

$

0.02

 

Weighted average shares outstanding, Common Stock

  

 

4,015,904

 

  

 

(645,516

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.06

)

  

$

0.08

 

  

$

0.02

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the nine months ended September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,353,612

 

  

 

647,940

 

  

 

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.05

 

  

$

(0.05

)

  

$

—

 

Weighted average shares outstanding, Common Stock

  

 

4,018,328

 

  

 

(647,940

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.14

)

  

$

0.14

 

  

$

—

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the year ended December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,345,490

 

  

 

656,062

 

  

 

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.05

 

  

$

(0.16

)

  

$

(0.11

)

Weighted average shares outstanding, Common Stock

  

 

4,026,450

 

  

 

(656,026

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.60

)

  

$

0.49

 

  

$

(0.11

)
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the period from June 20, 2019 (inception) to December 31, 2019 (audited)

  

As Previously Reported

  

Adjustment

  

As Restated

Statement of Operations for the three months ended March 31, 2021 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,133,696

 

  

 

867,856

 

  

 

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

(0.02

)

  

$

(0.03

)

  

$

(0.05

)

Weighted average shares outstanding, Common Stock

  

 

4,238,244

 

  

 

(867,856

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.15

)

  

$

0.10

 

  

$

(0.05

)
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the three months ended June 30, 2021 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,066,613

 

  

 

934,939

 

  

 

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

—

 

  

$

(0.03

)

  

$

(0.03

)

Weighted average shares outstanding, Common Stock

  

 

4,305,327

 

  

 

(934,939

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.10

)

  

$

0.07

 

  

$

(0.03

)
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the six months ended June 30, 2021 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,099,969

 

  

 

(901,583

)

  

 

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

—

 

  

$

(0.08

)

  

$

(0.08

)

Weighted average shares outstanding, Common Stock

  

 

4,271,971

 

  

 

(901,583

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.31

)

  

$

0.23

 

  

$

(0.08

)

NOTE 2 — RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS

Amendment 1

The Company previously accounted for its outstanding Private Warrants as components of equity instead of as derivative liabilities. The warrant agreement governing the Private Warrants includes a provision that provides for potential changes to the settlement amounts dependent upon the characteristics of the holder of the warrant.

On April 12, 2021, the Acting Director of the Division of Corporation Finance and Acting Chief Accountant of the Securities and Exchange Commission together issued a statement regarding the accounting and reporting considerations for warrants issued by special purpose acquisition companies entitled “Staff Statement on Accounting and Reporting Considerations for Warrants Issued by Special Purpose Acquisition Companies (“SPACs”)” (the “SEC Statement”). The SEC Statement advises, among other things, that certain adjustments generally present in SPAC warrants preclude such warrants from being accounted for as equity, which terms are similar to those contained in the warrant agreement.

In further consideration of the SEC Statement, the Company’s management further evaluated the Private Warrants under Accounting Standards Codification (“ASC”) Subtopic 815-40, Contracts in Entity’s Own Equity. ASC Section 815-40-15 addresses equity versus liability treatment and classification of equity-linked financial instruments, including warrants, and states that a warrant may be classified as a component of equity only if, among other things, the warrant is indexed to the issuer’s common stock. Under ASC Section 815-40-15, a warrant is not indexed to the issuer’s common stock if the terms of the warrant require an adjustment to the exercise price upon a

specified event and that event is not an input to the fair value of the warrant. Based on management’s evaluation, the Company’s audit committee, in consultation with management, concluded that the Company’s Private Warrants are not indexed to the Company’s common stock in the manner contemplated by ASC Section 815-40-15 because the holder of the instrument is not an input into the pricing of a fixed-for-fixed option on equity shares.

As a result of the above, the Company should have classified the Private Warrants as derivative liabilities in its previously issued financial statements. Under this accounting treatment, the Company is required to measure the fair value of the Private Warrants at the end of each reporting period and recognize changes in the fair value from the prior period in the Company’s operating results for the current period.

The Company’s accounting for the Private Warrants as components of equity instead of as derivative liabilities did not have any effect on the Company’s previously reported cash or investments held in the Trust Account.

The table below summarizes the effects of the restatement on the financial statements for all periods being restated. The restatement did not result in a change to net income or cash flows for the three months ended March 31, 2020 and the three and six months ended June 30, 2020 as there was no change in the fair value of the Warrants.

 

As
Previously
Reported in
Form 10-K

  

Adjustments

  

As
Restated in
Form 10-K
Amendment 1

Balance sheet as of November 7, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Warrant Liability

  

$

—

 

  

$

3,037,500

 

  

$

3,037,500

 

Common Stock Subject to Possible Redemption

  

 

115,562,660

 

  

 

(3,037,500

)

  

 

112,525,160

 

Common Stock

  

 

401

 

  

 

31

 

  

 

432

 

Additional Paid-in Capital

  

 

5,000,221

 

  

 

19,915

 

  

 

5,020,136

 

Accumulated Deficit

  

 

(621

)

  

 

(19,946

)

  

 

(20,567

)
   

 

  

 

  

 

  

 

  

 

  

 

Balance sheet as of December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Warrant Liability

  

$

—

 

  

$

1,975,155

 

  

$

1,975,155

 

Common Stock Subject to Possible Redemption

  

 

125,680,303

 

  

 

(1,975,155

)

  

 

123,705,148

 

Common Stock

  

 

382

 

  

 

20

 

  

 

402

 

Additional Paid-in Capital

  

 

4,898,117

 

  

 

(1,204,671

)

  

 

3,693,446

 

Retained Earnings

  

 

101,502

 

  

 

1,204,651

 

  

 

1,306,153

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance sheet as of March 31, 2020

  

 

  

 

  

 

  

 

  

 

  

 

Warrant Liability

  

$

—

 

  

$

1,975,155

 

  

$

1,975,155

 

Common Stock Subject to Possible Redemption

  

 

126,056,624

 

  

 

(1,975,155

)

  

 

124,081,469

 

Common Stock

  

 

382

 

  

 

20

 

  

 

402

 

Additional Paid-in Capital

  

 

4,521,796

 

  

 

(1,204,671

)

  

 

3,317,125

 

Retained Earnings

  

 

477,832

 

  

 

1,204,651

 

  

 

1,682,483

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance sheet as of June 30, 2020

  

 

  

 

  

 

  

 

  

 

  

 

Warrant Liability

  

$

—

 

  

$

1,975,155

 

  

$

1,975,155

 

Common Stock Subject to Possible Redemption

  

 

125,957,664

 

  

 

(1,975,155

)

  

 

123,982,509

 

Common Stock

  

 

383

 

  

 

20

 

  

 

403

 

Additional Paid-in Capital

  

 

4,620,755

 

  

 

(1,204,671

)

  

 

3,416,084

 

Retained Earnings

  

 

378,866

 

  

 

1,204,651

 

  

 

1,583,517

 
 

As
Previously
Reported in
Form 10-K

  

Adjustments

  

As
Restated in
Form 10-K
Amendment 1

Balance sheet as of September 30, 2020

  

 

  

 

  

 

  

 

  

 

  

 

Warrant Liability

  

$

—

 

  

$

2,172,671

 

  

$

2,172,671

 

Common Stock Subject to Possible Redemption

  

 

125,871,358

 

  

 

(2,172,671

)

  

 

123,698,687

 

Common Stock

  

 

383

 

  

 

22

 

  

 

405

 

Additional Paid-in Capital

  

 

4,707,061

 

  

 

(1,007,157

)

  

 

3,699,904

 

Retained Earnings

  

 

292,558

 

  

 

1,007,135

 

  

 

1,299,693

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance sheet as of December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Warrant Liability

  

$

—

 

  

$

3,950,311

 

  

$

3,950,311

 

Common Stock Subject to Possible Redemption

  

 

125,781,370

 

  

 

(3,950,311

)

  

 

121,831,059

 

Common Stock

  

 

384

 

  

 

40

 

  

 

424

 

Additional Paid-in Capital

  

 

4,797,048

 

  

 

770,465

 

  

 

5,567,513

 

Retained Earnings (Accumulated Deficit)

  

 

202,578

 

  

 

(770,505

)

  

 

(567,927

)
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the Period from June 20, 2019 (inception) Through December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in fair value of warrant liability

  

$

—

 

  

$

1,224,597

 

  

$

1,224,597

 

Transaction costs allocable to warrant liability

  

 

—

 

  

 

(19,946

)

  

 

(19,946

)

Net income

  

 

101,502

 

  

 

1,204,651

 

  

 

1,306,153

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,446,534

 

  

 

(318,172

)

  

 

12,128,362

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

 

0.01

 

  

 

—

 

  

 

0.01

 

Weighted average shares outstanding, Common Stock

  

 

3,305,465

 

  

 

88,564

 

  

 

3,394,029

 

Basic and diluted net loss per share, Common Stock

  

 

0.03

 

  

 

0.30

 

  

 

0.33

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the Three Months Ended March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,550,477

 

  

 

(197,240

)

  

 

12,353,237

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

 

0.04

 

  

 

—

 

  

 

0.04

 

Weighted average shares outstanding, Common Stock

  

 

3,821,463

 

  

 

197,240

 

  

 

4,018,703

 

Basic and diluted net loss per share, Common Stock

  

 

(0.04

)

  

 

—

 

  

 

(0.04

)
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the Six Months Ended June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,553,036

 

  

 

(196,999

)

  

 

12,356,037

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

 

0.04

 

  

 

—

 

  

 

0.04

 

Weighted average shares outstanding, Common Stock

  

 

3,818,918

 

  

 

196,986

 

  

 

4,015,904

 

Basic and diluted net loss per share, Common Stock

  

 

(0.07

)

  

 

0.01

 

  

 

(0.06

)
 

As
Previously
Reported in
Form 10-K

  

Adjustments

  

As
Restated in
Form 10-K
Amendment 1

Statement of Operations for the Nine Months Ended September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in fair value of warrant liability

  

$

—

 

  

$

(197,516

)

  

$

197,516

 

Net income (loss)

  

 

191,056

 

  

 

(197,516

)

  

 

(6,460

)

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,550,512

 

  

 

(196,900

)

  

 

12,353,612

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

 

0.05

 

  

 

—

 

  

 

0.05

 

Weighted average shares outstanding, Common Stock

  

 

3,821,429

 

  

 

196,899

 

  

 

4,018,328

 

Basic and diluted net loss per share, Common Stock

  

 

(0.10

)

  

 

(0.04

)

  

 

(0.14

)
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Operations for the Year Ended
December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in fair value of warrant liability

  

$

—

 

  

$

(1,975,156

)

  

$

(1,975,156

)

Net income (loss)

  

 

101,076

 

  

 

(1,975,156

)

  

 

(1,874,080

)

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,547,286

 

  

 

(201,796

)

  

 

12,345,490

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

 

0.05

 

  

 

—

 

  

 

0.05

 

Weighted average shares outstanding, Common Stock

  

 

3,824,645

 

  

 

201,805

 

  

 

4,026,450

 

Basic and diluted net loss per share, Common Stock

  

 

(0.12

)

  

 

(0.48

)

  

 

(0.60

)
   

 

  

 

  

 

  

 

  

 

  

 

Cash Flow Statement for the Year Ended
December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Net income

  

$

101,502

 

  

$

1,204,651

 

  

$

1,306,153

 

Change in fair value of warrant liability

  

 

—

 

  

 

(1,224,597

)

  

 

(1,224,597

)

Transaction costs associated with Initial Public Offering

  

 

—

 

  

 

19,946

 

  

 

19,946

 

Initial classification of Common Stock subject to possible redemption

  

 

125,578,180

 

  

 

(3,199,752

)

  

 

122,378,428

 

Change in value of Common Stock subject to possible redemption

  

 

102,123

 

  

 

1,224,597

 

  

 

1,326,720

 
   

 

  

 

  

 

  

 

  

 

  

 

Cash Flow Statement for the Nine Months Ended September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Net income (loss)

  

$

191,056

 

  

$

(197,516

)

  

$

(6,460

)

Change in fair value of warrant liability

  

 

—

 

  

 

197,516

 

  

 

197,516

 

Change in value of Common Stock subject to possible redemption

  

 

191,055

 

  

 

(197,516

)

  

 

(6,461

)
   

 

  

 

  

 

  

 

  

 

  

 

Cash Flow Statement for the Year Ended
December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Net income (loss)

  

$

101,076

 

  

$

(1,975,156

)

  

$

(1,874,080

)

Change in fair value of warrant liability

  

 

—

 

  

 

1,975,156

 

  

 

1,975,156

 

Change in value of Common Stock subject to possible redemption

  

 

101,067

 

  

 

(1,975,156

)

  

 

(1,874,089

)

Amendment 2

In connection with the preparation of the Company’s financial statements as of September 30, 2021 and in accordance with SEC guidance on redeemable equity instruments, ASC 480, paragraph 10-S99, redemption provisions not solely within the control of the Company require common stock subject to possible redemption to be classified as temporary equity, which is outside of stockholder’s equity, management determined it should restate its previously reported financial statements. The Company had previously determined the shares of Common Stock subject to possible redemption to be equal to the redemption value of $10.00 per share of Common Stock while also taking into consideration that a redemption cannot result in net tangible assets being less than $5,000,001. Management has also determined that the shares of Common Stock issued in connection with the Initial Public Offering can be redeemed or become redeemable subject to the occurrence of future events considered outside the Company’s control.

Therefore, management has concluded that the redemption value should include all the shares of Common Stock subject to possible redemption, resulting in the shares of Common Stock subject to possible redemption being equal to their redemption value. In accordance with SEC Staff Accounting Bulletin No. 99, “Materiality,” and SEC Staff Accounting Bulletin No. 108, “Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements,” the Company evaluated the changes and has determined that the related impact was material to previously presented financial statements. As a result, management has noted a classification error related to temporary equity and permanent equity. This resulted in an adjustment to the initial carrying value of the shares of Common Stock subject to possible redemption with the offset recorded to additional paid-in capital (to the extent available), accumulated deficit and the shares of Common Stock.

The restatement does not result in any change in the Company’s total assets, liabilities or operating results.

The impact of the restatement on the Company’s financial statements is reflected in the following table:

 

As
Previously
Reported in
Form 10-K
Amendment 1

  

Adjustment

  

As
Restated in
Form 10-K
Amendment 2

Balance Sheet as of November 7, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

112,525,160

 

  

$

7,474,840

 

  

$

120,000,000

 

Common stock

  

$

432

 

  

$

(75

)

  

$

357

 

Additional paid-in capital

  

$

5,020,136

 

  

$

(5,020,136

)

  

$

—

 

Accumulated deficit

  

$

(20,567

)

  

$

(2,454,629

)

  

$

(2,475,196

)

Total stockholders’ equity (deficit)

  

$

5,000,001

 

  

$

(7,474,840

)

  

$

(2,474,839

)

Number of shares subject to redemption

  

 

11,252,516

 

  

 

747,484

 

  

 

12,000,000

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

123,705,148

 

  

$

6,492,214

 

  

$

130,197,362

 

Common stock

  

$

402

 

  

$

(65

)

  

$

337

 

Additional paid-in capital

  

$

3,693,446

 

  

$

(3,693,446

)

  

$

—

 

Accumulated deficit

  

$

1,306,153

 

  

$

(2,798,703

)

  

$

(1,492,550

)

Total stockholders’ equity (deficit)

  

$

5,000,001

 

  

$

(6,492,214

)

  

$

(1,492,513

)

Number of shares subject to redemption

  

 

12,353,237

 

  

 

648,315

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

124,081,469

 

  

$

6,452,799

 

  

$

130,534,268

 

Common stock

  

$

402

 

  

$

(65

)

  

$

337

 

Additional paid-in capital

  

$

3,317,125

 

  

$

(3,317,125

)

  

$

—

 

Accumulated deficit

  

$

1,682,483

 

  

$

(3,135,609

)

  

$

(1,453,126

)

Total stockholders’ equity (deficit)

  

$

5,000,010

 

  

$

(6,452,799

)

  

$

(1,452,789

)

Number of shares subject to redemption

  

 

12,358,836

 

  

 

642,716

 

  

 

13,001,552

 
 

As
Previously
Reported in
Form 10-K
Amendment 1

  

Adjustment

  

As
Restated in
Form 10-K
Amendment 2

Balance Sheet as of June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

123,982,509

 

  

$

6,553,480

 

  

$

130,535,989

 

Common stock

  

$

403

 

  

$

(66

)

  

$

337

 

Additional paid-in capital

  

$

3,416,084

 

  

$

(3,416,084

)

  

$

—

 

Accumulated deficit

  

$

1,583,517

 

  

$

(3,137,330

)

  

$

(1,553,813

)

Total stockholders’ equity (deficit)

  

$

5,000,004

 

  

$

(6,553,480

)

  

$

(1,553,476

)

Number of shares subject to redemption

  

 

12,348,817

 

  

 

652,735

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

123,698,687

 

  

$

6,829,335

 

  

$

130,528,022

 

Common stock

  

$

405

 

  

$

(68

)

  

$

337

 

Additional paid-in capital

  

$

3,699,904

 

  

$

(3,699,904

)

  

$

—

 

Accumulated deficit

  

$

1,299,693

 

  

$

(3,129,363

)

  

$

(1,829,670

)

Total stockholders’ equity (deficit)

  

$

5,000,002

 

  

$

(6,829,335

)

  

$

(1,829,333

)

Number of shares subject to redemption

  

 

12,321,300

 

  

 

680,252

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Balance Sheet as of December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Common stock subject to possible redemption

  

$

121,831,059

 

  

$

8,713,900

 

  

$

130,544,959

 

Common stock

  

$

424

 

  

$

(87

)

  

$

337

 

Additional paid-in capital

  

$

5,567,513

 

  

$

(5,567,513

)

  

$

—

 

Accumulated deficit

  

$

(567,927

)

  

$

(3,146,300

)

  

$

(3,714,227

)

Total stockholders’ equity (deficit)

  

$

5,000,010

 

  

$

(8,713,900

)

  

$

(3,713,890

)

Number of shares subject to redemption

  

 

12,133,696

 

  

 

867,856

 

  

 

13,001,552

 
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) for the year ended ended December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Sale of 13,001,552 Units, net of underwriting discount and offering expenses

  

$

126,622,527

 

  

$

(126,622,527

)

  

$

—

 

Initial value of common stock subject to redemption at IPO

  

$

(123,705,148

)

  

$

123,705,148

 

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(3,574,835

)

  

$

(3,574,835

)
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) for the three months ended March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

(376,321

)

  

$

376,321

 

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(336,906

)

  

$

(336,906

)
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) for the three months ended June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

98,960

 

  

$

(98,960

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(1,721

)

  

$

(1,721

)
 

As
Previously
Reported in
Form 10-K
Amendment 1

  

Adjustment

  

As
Restated in
Form 10-K
Amendment 2

Condensed Statement of Changes in Stockholders’ Equity (Deficit) for the three months ended September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

283,822

 

  

$

(283,822

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

7,967

 

  

$

7,967

 
   

 

  

 

  

 

  

 

  

 

  

 

Condensed Statement of Changes in Stockholders’ Equity (Deficit) for the year ended December 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of common stock subject to redemption

  

$

1,867,628

 

  

$

(1,867,628

)

  

$

—

 

Accretion for common stock to redemption amount

  

$

—

 

  

$

(347,597

)

  

$

(347,597

)
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Cash Flows for the Period from June 20, 2019 (inception) to December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Initial classification of Class A common stock subject to possible redemption

  

$

122,378,428

 

  

$

7,637,092

 

  

$

130,015,520

 

Change in value of Class A common stock subject to possible redemption

  

$

1,326,720

 

  

$

(1,144,878

)

  

$

181,842

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Cash Flows for the three months ended March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of Class A common stock subject to possible redemption

  

$

376,321

 

  

$

(39,415

)

  

$

336,906

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Cash Flows for the six months ended June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of Class A common stock subject to possible redemption

  

$

277,361

 

  

$

61,266

 

  

$

338,627

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Cash Flows for the nine months ended September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of Class A common stock subject to possible redemption

  

$

(6,461

)

  

$

337,121

 

  

$

330,660

 
   

 

  

 

  

 

  

 

  

 

  

 

Statement of Cash Flows for the period ended December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Change in value of Class A common stock subject to possible redemption

  

$

(1,874,089

)

  

$

2,221,686

 

  

$

347,597

 

In connection with the change in presentation for the common stock subject to redemption, the Company also restated its income (loss) per common share calculated to allocate net income (loss), with all allocated to common stock. This presentation contemplates a Business Combination as the most likely outcome, in which case, both classes of common stock share pro rata in the income (loss) of the Company. There is no impact to the reported amounts for total assets, total liabilities, cash flows, or net income (loss). The impact of this restatement on the Company’s financial statements is reflected in the following table:

 

As
Previously
Reported in
Form 10-K
Amendment 1

  

Adjustment

  

As
Restated in
Form 10-K
Amendment 2

Statement of Operations for the period from June 20, 2019 (inception) to December 31, 2019 (audited)

  

 

  

 

  

 

  

 

  

 

  

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,128,362

 

  

$

(7,617,397

)

  

$

4,510,965

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.01

 

  

$

0.16

 

  

$

0.17

Weighted average shares outstanding, Common Stock

  

 

3,394,029

 

  

 

(246,439

)

  

 

3,147,590

Basic and diluted net income per share, Common Stock

  

$

0.33

 

  

$

(0.16

)

  

$

0.17
   

 

  

 

  

 

  

 

  

 

  

Statement of Operations for the three months ended March 31, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,353,237

 

  

$

648,315

 

  

$

13,001,552

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.04

 

  

$

(0.02

)

  

$

0.02

Weighted average shares outstanding, Common Stock

  

 

4,018,703

 

  

 

(648,315

)

  

 

3,370,388

Basic and diluted net income (loss) per share, Common Stock

  

$

(0.04

)

  

$

0.06

 

  

$

0.02
   

 

  

 

  

 

  

 

  

 

  

Statement of Operations for the six months ended June 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,356,037

 

  

$

645,515

 

  

$

13,001,552

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.04

 

  

$

(0.02

)

  

$

0.02

Weighted average shares outstanding, Common Stock

  

 

4,015,904

 

  

 

(645,516

)

  

 

3,370,388

Basic and diluted net income (loss) per share, Common Stock

  

$

(0.06

)

  

$

0.08

 

  

$

0.02
   

 

  

 

  

 

  

 

  

 

  

Statement of Operations for the nine months ended September 30, 2020 (unaudited)

  

 

  

 

  

 

  

 

  

 

  

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,353,612

 

  

$

647,940

 

  

$

13,001,552

Basic and diluted net income (loss) per share, Common Stock subject to possible redemption

  

$

0.05

 

  

$

(0.05

)

  

$

—

Weighted average shares outstanding, Common Stock

  

 

4,018,328

 

  

 

(647,940

)

  

 

3,370,388

Basic and diluted net loss per share, Common Stock

  

$

(0.14

)

  

$

0.14

 

  

$

—
 

As
Previously
Reported in
Form 10-K
Amendment 1

  

Adjustment

  

As
Restated in
Form 10-K
Amendment 2

Statement of Operations for the year ended December 31, 2020 (audited)

  

 

  

 

  

 

  

 

  

 

  

 

Weighted average shares outstanding, Common Stock subject to possible redemption

  

 

12,345,490

 

  

$

656,062

 

  

$

13,001,552

 

Basic and diluted net income per share, Common Stock subject to possible redemption

  

$

0.05

 

  

$

(0.16

)

  

$

(0.11

)

Weighted average shares outstanding, Common Stock

  

 

4,026,450

 

  

 

(656,026

)

  

 

3,370,388

 

Basic and diluted net loss per share, Common Stock

  

$

(0.60

)

  

$

0.49

 

  

$

(0.11

)