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 |
(State or other jurisdiction of incorporation) |
(Commission File Number) |
(I.R.S. Employer Identification No.) |
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(Address of Principal Executive Offices) |
(Zip Code) |
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered | ||
Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer |
☒ | Smaller reporting company | ||||
Emerging growth company |
Page No. |
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1 |
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Item 1. |
1 |
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1 |
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2 |
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3 |
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4 |
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5 |
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6 |
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Item 2. |
16 |
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Item 3. |
19 |
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Item 4. |
19 |
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20 |
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Item 1. |
20 |
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Item 1A. |
20 |
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Item 2. |
20 |
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Item 3. |
21 |
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Item 4. |
21 |
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Item 5. |
21 |
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Item 6. |
21 |
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ASSETS |
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Cash and cash equivalents |
$ | |||
Prepaid expenses |
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Total current assets |
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Marketable securities held in Trust Account |
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Other assets |
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Total assets |
$ | |||
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LIABILITIES, COMMON STOCK SUBJECT TO POSSIBLE REDEMPTION, AND STOCKHOLDERS’ DEFICIT |
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Current liabilities: |
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Accounts payable |
$ |
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Franchise tax payable |
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Accrued expenses |
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Due to related party |
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Total current liabilities |
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Deferred underwriting fees payable |
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Class K Founder Shares derivative liabilities |
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Total liabilities |
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Commitments and Contingencies (Note 5) |
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Class A c ommon stock subject to possible redemption, |
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Stockholders’ Deficit |
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Preferred stock, $ |
— | |||
Class A common stock, $ (excluding |
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Class B common stock, $ |
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Additional paid-in capital |
— | |||
Accumulated deficit |
( |
) | ||
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Total stockholders’ deficit |
( |
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Total Liabilities, Common Stock Subject to Possible Redemption, and Stockholders’ Deficit |
$ |
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Three Months Ended June 30, |
Inception-to-Date June 30, |
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2021 (UNAUDITED) |
2021 (AUDITED) |
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Formation and operating costs |
$ | — | $ | |||||
General and administrative expenses |
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Franchise tax expense |
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Loss from operations |
( |
) | ( |
) | ||||
Financing expenses on derivative classified instrument |
— | ( |
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Gain on marketable securities (net), dividends and interest, held in Trust Account |
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Change in fair value of derivative liabilities |
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Loss before income tax expense |
( |
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) | ||||
Net Loss |
$ |
( |
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$ |
( |
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Weighted average shares outstanding of Class A common stock subject to possible redemption, basic and diluted |
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Basic and diluted net loss per share, Class A common stock subject to possible redemption |
$ |
( |
) |
$ |
( |
) | ||
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Weighted average shares outstanding of Class A non-redeemable common stock, basic and diluted |
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Basic and diluted net loss per share, Class A non-redeemable common stock |
$ |
( |
) |
$ |
( |
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Weighted average shares outstanding Class B non-redeemable common stock, basic and diluted |
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Basic and diluted net loss per common stock, Class B |
$ |
( |
) |
$ |
( |
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Common Stock Subject to Possible Redemption |
Common Stock |
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Class A |
Class A |
Class B |
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Shares |
Amount |
Shares |
Amount |
Shares |
Amount |
Additional Paid-In Capital |
Accumulated Deficit |
Total Stockholders’ Deficit |
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Balance as of January 15, 2021 |
$ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||
Issuance of common stock to Sponsor |
— | — | — | — | — | |||||||||||||||||||||||||||||||
Sale of Public Shares, net of $ |
— | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Sale of Private Placement Shares |
— | — | — | — | — | |||||||||||||||||||||||||||||||
Accretion of Class A Common Stock to redemption value |
— | — | — | — | — | ( |
) | ( |
) | ( |
) | |||||||||||||||||||||||||
Net loss |
— | — | — | — | — | — | — | ( |
) | ( |
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Balance as of March 31, 2021 (unaudited) |
$ |
$ |
$ |
$ |
— |
$ |
( |
) |
$ |
( |
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Net loss |
— | — | — | — | — | — | — | ( |
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) | |||||||||||||||||||||||||
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Balance as of June 30, 2021 (audited) |
$ |
$ |
$ |
$ |
— |
$ |
( |
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$ |
( |
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Cash Flows from Operating Activities: |
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Net loss |
$ | ( |
) | |
Adjustments to reconcile net loss to net cash used in operating activities: |
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Financing expenses on derivative classified instrument |
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Change in fair value of derivative liabilities |
( |
) | ||
Gain on marketable securities (net), dividends and interest, held in Trust Account |
( |
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Changes in operating assets and liabilities: |
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Prepaid expenses and other assets |
( |
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Accounts payable and accrued expenses |
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Net cash used in operating activities |
( |
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Cash Flows from Investing Activities: |
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Investment of cash into Trust Account |
( |
) | ||
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Net cash used in investing activities |
( |
) | ||
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Cash Flows from Financing Activities: |
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Proceeds from issuance of Class B an Class K common stock to Sponsord |
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Advances from related party |
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Proceeds from sale of Public Shares, net of transaction costs paid |
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Proceeds from sale of Private Placement Shares |
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Net cash provided by financing activities |
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Net increase in cash |
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Cash—beginning of period |
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Cash—end of period |
$ |
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Supplemental disclosure of noncash investing and financing activities: |
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Deferred underwriting fees payable |
$ | |||
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• | 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. Example 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. |
For the three months ended June 30, 2021 (UNAUDITED) |
For the period from January 19, 2021 (inception) through June 30, 2021 (AUDITED) |
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Net loss |
$ |
( |
) |
$ |
( |
) | ||
Accretion of temporary equity to redemption value |
( |
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( |
) | ||||
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Net loss including accretion of temporary equity to redemption value |
$ |
( |
) |
$ |
( |
) | ||
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For the three months ended June 30, 2021 (UNAUDITED) |
For the period from January 19, 2021 (inception) through June 30, 2021 (AUDITED) |
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Class A-t |
Class A-p |
Class B |
Class A-t |
Class A-p |
Class B |
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Basic and diluted net income (loss) per share |
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Numerator |
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Allocation of net loss including accretion of temporary equity |
( |
) |
( |
) |
( |
) |
( |
) |
( |
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( |
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Accretion of temporary equity to redemption value |
— |
— |
— |
— |
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Allocation of n et i ncome (loss) |
( |
) |
( |
) |
( |
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( |
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) |
( |
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Denominator |
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Weighted-average shares outstanding |
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Basic and diluted net income (loss) per share |
$ |
( |
) |
$ |
( |
) |
$ |
( |
) |
$ |
( |
) |
$ |
( |
) |
$ |
( |
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Description |
Level |
June 30, 2021 |
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Assets: |
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Marketable securities held in Trust Account |
1 | $ | ||||||
Liabilities: |
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Derivative liability – Class K Founder Shares |
3 | $ |
Input |
January 22, 2021 |
June 30, 2021 |
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Risk-free interest rate |
% | % | ||||||
Term to business combination |
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Expected volatility |
% | % | ||||||
Stock Price |
$ | $ | ||||||
Dividend yield |
% | % |
Class K Founder Shares Derivative Liability |
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Fair value, January 22, 2021 |
$ | |||
Change in fair value of Class K Founder Shares liability |
( |
) | ||
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Fair value, March 31, 2021 (unaudited) |
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Change in fair value of Class K Founder Shares liability |
( |
) | ||
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Fair value, June 30, 2021 (audited) |
$ |
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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. |
(1) | Previously filed as an exhibit to our Current Report on Form 8-K filed on March 9, 2021 and incorporated by reference herein. |
KHOSLA VENTURES ACQUISITION CO. | ||||||
Date: September 13, 2021 | By: | /s/ Peter Buckland | ||||
Name: | Peter Buckland | |||||
Title: | Chief Financial Officer |