QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
2 | ||
(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) |
(Address of principal executive offices) |
(Zip Code) |
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered | ||
and one-third of a warrant to acquire one Class A ordinary share |
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Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer |
☒ | Smaller reporting company | ||||
Emerging growth company |
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Item 1. |
Interim Financial Statements. |
June 30, 2021 |
December 31, 2020 |
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(unaudited) | ||||||||
ASSETS |
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Current assets |
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Cash |
$ | $ | ||||||
Prepaid expenses |
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Total Current Assets |
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Cash and marketable securities held in Trust Account |
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TOTAL ASSETS |
$ |
$ |
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LIABILITIES AND SHAREHOLDERS’ EQUITY |
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Current liabilities |
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Accrued expenses |
$ | $ | ||||||
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Total Current Liabilities |
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Warrant liability |
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Deferred underwriting fee payable |
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Total Liabilities |
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Commitments |
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Class A ordinary shares subject to possible redemption |
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Shareholders’ Equity |
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Preference shares, $ |
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Class A ordinary shares, $ |
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Class B ordinary shares, $ |
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Additional paid-in capital |
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Accumulated deficit |
( |
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Total Shareholders’ Equity |
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TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY |
$ |
$ |
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Three Months Ended June 30, 2021 |
Six Months Ended June 30, 2021 |
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Operating and formation costs |
$ | $ | ||||||
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Loss from operations |
( |
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( |
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Other expense: |
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Interest earned on marketable securities held in Trust Account |
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Unrealized loss on marketable securities held in Trust Account |
( |
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Changes in fair value of warrant liability |
( |
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Other expense, net |
( |
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Net loss |
$ |
( |
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$ |
( |
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Basic and diluted weighted average shares outstanding, Class A ordinary shares subject to redemption |
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Basic and diluted net income per share, Class A ordinary shares subject to redemption |
$ |
$ |
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Basic and diluted weighted average shares outstanding, Non-redeemable ordinary shares |
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Basic and diluted net loss per share, Non-redeemable ordinary shares |
$ |
( |
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$ |
( |
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Class A Ordinary Shares |
Class B Ordinary Shares |
Additional Paid-in |
Accumulated |
Total Shareholders’ |
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Shares |
Amount |
Shares |
Amount |
Capital |
Deficit |
Equity |
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Balance — January 1, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
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Change in value of Class A ordinary shares subject to redemption |
— | — | — | |||||||||||||||||||||||||
Net loss |
— | — | — | — | — | ( |
) | ( |
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Balance – March 31, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
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Change in value of Class A ordinary shares subject to redemption |
— | — | — | |||||||||||||||||||||||||
Net loss |
— | — | — | — | — | ( |
) | ( |
) | |||||||||||||||||||
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Balance – June 30, 2021 |
$ |
$ |
$ |
$ |
( |
) |
$ |
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Cash Flows from Operating Activities: |
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Net loss |
$ | ( |
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Adjustments to reconcile net loss to net cash used in operating activities: |
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Interest earned on marketable securities held in Trust Account |
( |
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Changes in fair value of warrant liability |
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Unrealized gain on marketable securities held in Trust Account |
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Changes in operating assets and liabilities: |
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Prepaid expenses and other current assets |
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Accrued expenses |
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Net cash used in operating activities |
( |
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Net Change in Cash |
( |
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Cash – Beginning of period |
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Cash – End of period |
$ |
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Non-Cash investing and financing activities: |
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Change in value of Class A ordinary shares subject to possible redemption |
$ |
( |
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Three Months Ended June 30, 2021 |
Six Months Ended June 30, 2021 |
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Class A ordinary Shares subject to possible redemption |
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Numerator: Earnings allocable to Class A ordinary shares subject to possible redemption |
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Interest earned on marketable securities held in Trust Account |
$ | $ | ||||||
Unrealized loss on marketable securities held in Trust Account |
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Less: interest available to be withdrawn for working capital |
( |
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Net income attributable |
$ |
$ |
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Denominator: Weighted Average Class A ordinary shares subject to possible redemption |
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Basic and diluted weighted average shares outstanding, Class A ordinary shares subject to possible redemption |
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Basic and diluted net income per share, Class A ordinary shares subject to possible redemption |
$ |
$ |
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Non-Redeemable Ordinary Shares |
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Numerator: Net Loss minus Net Earnings |
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Net loss |
$ | ( |
) | $ | ( |
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Less: Net income allocable to Class A ordinary shares subject to possible redemption |
( |
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Non-Redeemable Net Loss |
$ |
( |
) |
$ |
( |
) | ||
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Denominator: Weighted Average Non-redeemable ordinary shares |
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Basic and diluted weighted average shares outstanding, Non-redeemable ordinary shares |
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Basic and diluted net loss per share, Non-redeemable ordinary shares |
$ |
( |
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$ |
( |
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• |
Level 1, defined as observable inputs such as quoted prices (unadjusted) for identical instruments in active markets; |
• |
Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable such as quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active; and |
• |
Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions, such as valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. |
• | in whole and not in part; |
• | at a price of $ |
• | upon not less than |
• | if, and only if, the closing price of the Class A ordinary shares equals or exceeds $ sub-divisions, share capitalizations, reorganizations, recapitalizations and the like) for any |
• | in whole and not in part; |
• | at $ |
• | if, and only if, the Reference Value equals or exceeds $10.00 per share (as adjusted for share subdivisions, share dividends, reorganizations, recapitalizations and the like) on the trading day before the Company sends the notice of redemption to the warrant holders; and |
• | if the Reference Value is less than $ |
Level 1: | Quoted prices in active markets for identical assets or liabilities. An active market for an asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. | |||
Level 2: | Observable inputs other than Level 1 inputs. Examples of Level 2 inputs include quoted prices in active markets for similar assets or liabilities and quoted prices for identical assets or liabilities in markets that are not active. | |||
Level 3: | Unobservable inputs based on our assessment of the assumptions that market participants would use in pricing the asset or liability. |
Description |
Level |
June 30, 2021 |
December 31, 2020 |
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Assets: |
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Marketable securities held in Trust Account |
1 | $ | $ | |||||||||
Liabilities: |
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Warrant liability – Public Warrants |
1 | $ | $ | |||||||||
Warrant liability – Private Placement Warrants |
3 |
Private Placement |
Public |
Warrant Liabilities |
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Fair value as of January 1, 2021 |
$ | $ | $ | |||||||||
Change in valuation inputs or other assumptions |
( |
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) | ( |
) | ||||||
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Fair value as of March 31, 2021 |
$ | $ | $ | |||||||||
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Change in valuation inputs or other assumptions |
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Fair value as of June 30, 2021 |
$ | $ | $ | |||||||||
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Item 2. |
Management’s Discussion and Analysis of Financial Condition and Results of Operations |
Item 3. |
Quantitative and Qualitative Disclosures About Market Risk |
Item 4. |
Controls and Procedures |
Item 1. |
Legal Proceedings |
Item 1A. |
Risk Factors |
Item 2. |
Unregistered Sales of Equity Securities and Use of Proceeds. |
Item 3. |
Defaults Upon Senior Securities |
Item 4. |
Mine Safety Disclosures |
Item 5. |
Other Information |
Item 6. |
Exhibits |
* | Filed herewith. | |
** | Furnished. |
CONSONANCE-HFW ACQUISITION CORP. | ||||||
Date: August 6, 2021 | /s/ Gad Soffer | |||||
Name: | Gad Soffer | |||||
Title: | Chief Executive Officer | |||||
(Principal Executive Officer) | ||||||
Date: August 6, 2021 | /s/ Kevin Livingston | |||||
Name: | Kevin Livingston | |||||
Title: | Chief Financial Officer | |||||
(Principal Financial and Accounting Officer) |