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Fair Value Measurements
9 Months Ended
Sep. 30, 2024
Fair Value Measurements [Abstract]  
FAIR VALUE MEASUREMENTS

NOTE 9. FAIR VALUE MEASUREMENTS

 

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:

 

Description

  Amount at
Fair Value
   Level 1   Level 2   Level 3 
September 30, 2024                
Assets                
Investments held in Trust Account:                
Money Market investments  $25,381,830   $25,381,830   $
   $
 
Liabilities                    
Warrant liability – Founder Warrants  $188,333   $
   $188,333   $
 
Warrant liability – Private Placement Warrants  $23,067   $
   $23,067   $
 
Warrant liability – Public Warrants  $753,333   $
   $753,333   $
 
December 31, 2023                    
Assets                    
Investments held in Trust Account:                    
Money Market investments  $157,330,245   $157,330,245   $
   $
 
Liabilities                    
Warrant liability – Founder Warrants  $141,250   $
   $141,250   $
 
Warrant liability – Private Placement Warrants  $17,300   $
   $17,300   $
 
Warrant liability – Public Warrants  $565,000   $
   $565,000   $
 

 

The measurement of the Public Warrants as of September 30, 2024 and December 31, 2023 is classified as Level 2 due to limited trading activity under the ticker PLMJW. The quoted price representing the fair value of the Public Warrants was $0.07 and $0.06 per warrant as of September 30, 2024 and December 31, 2023, respectively.

 

In prior periods, the Company utilized a Black-Scholes Option Pricing model for the initial valuation of the Founder Warrants and Private Placement Warrants and the subsequent measurement of the Founder Warrants and Private Placement Warrants. Inherent in pricing models are assumptions related to expected share-price volatility, expected life, risk-free interest rate and dividend yield, which are considered Level 3 inputs. However, since a reasonable and acceptable volatility cannot be inferred from the option pricing model performed for the Founder Warrants and Private Placement Warrants as of September 30, 2024 and December 31, 2023, the fair value of the Founder Warrants and Private Placement Warrants were set equal to the fair value of the Public Warrants. The fair value of the Founder Warrants and Private Placement Warrants was $0.07 and $0.06 per warrant as of September 30, 2024 and December 31, 2023, respectively. As of September 30, 2024 and December 31, 2023, the Founder Warrants and Private Placement Warrants are classified as Level 2 due to the use of an observable market quote for a similar asset using recent trading prices.

 

For the three and nine months ended September 30, 2024 the Company recognized a loss of $120,592 and $241,184 on the changes in the fair value of warrant liabilities in the statements of operations, respectively. For the three and nine months ended September 30, 2023, the Company recognized a loss of $241,183 on changes in the fair value of warrant liabilities in the statements of operations.