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.) |
(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 |
ASSETS |
||||
Cash and cash equivalents |
$ | |||
Prepaid expenses |
||||
Total current assets |
||||
Marketable securities held in Trust Account |
||||
Other assets |
||||
Total assets |
$ | |||
LIABILITIES, COMMON STOCK SUBJECT TO POSSIBLE REDEMPTION AND STOCKHOLDERS’ DEFICIT |
||||
Current liabilities: |
||||
Accounts payable |
$ | |||
Franchise tax payable |
||||
Advances from related party |
||||
Total current liabilities |
||||
Deferred underwriting fees payable |
||||
Class K Founder Shares derivative liabilities |
||||
Total liabilities |
||||
Commitments and Contingencies (Note 5) |
||||
Class A common stock subject to possible redemption, |
||||
Stockholders’ Deficit |
||||
Preferred stock, $ |
||||
Class A common stock, $ |
||||
(excluding |
||||
Class B common stock, $ |
||||
Additional paid-in capital |
||||
Accumulated deficit |
( |
) | ||
Total stockholders’ deficit |
( |
) | ||
Total Liabilities, Common Stock subject to Possible Redemption and Stockholders’ Deficit |
$ |
|||
Three Months Ended June 30, |
Inception-to-Date June 30, |
|||||||
2021 |
2021 |
|||||||
Formation costs |
$ | — | $ | |||||
General and administrative expenses |
||||||||
Franchise tax expense |
||||||||
Loss from operations |
( |
) | ( |
) | ||||
Financing expenses on derivative classified instrument |
— | ( |
) | |||||
Gain on marketable securities (net), dividends and interest, held in Trust Account |
||||||||
Change in fair value of derivative liabilities |
( |
) | ||||||
Loss before income tax expense |
( |
) | ( |
) | ||||
Net Loss |
$ |
( |
) |
$ |
( |
) | ||
Weighted average shares outstanding of Class A common stock subject to possible redemption, basic and diluted |
||||||||
Basic and diluted net loss per share, Class A common stock subject to possible redemption |
$ |
( |
) |
$ |
( |
) | ||
Weighted average shares outstanding of Class A non-redeemable common stock, basic and diluted |
||||||||
Basic and diluted net loss per share, Class A non-redeemable common stock |
$ |
( |
) |
$ |
( |
) | ||
Weighted average shares outstanding of Class B non-redeemable common stock, basic and diluted |
||||||||
Basic and diluted net loss per share, Class B non-redeemable common stock |
$ |
( |
) |
$ |
( |
) | ||
Common Stock Subject to Possible Redemption |
Common Stock |
|||||||||||||||||||||||||||||||||||
Class A |
Class A |
Class B |
||||||||||||||||||||||||||||||||||
Shares |
Amount |
Shares |
Amount |
Shares |
Amount |
Additional Paid-In Capital |
Accumulated Deficit |
Total Stockholders’ Equity |
||||||||||||||||||||||||||||
Balance as of January 29, 2021 (Inception) |
$ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||
Issuance of common stock to Sponsor |
— | — | — | — | — | |||||||||||||||||||||||||||||||
Sale of Public Shares, net of $ |
— | — | — | — | — | — | ||||||||||||||||||||||||||||||
Sale of Private Plac e ment Shares |
— | — | — | — | — | |||||||||||||||||||||||||||||||
Accretion of Class A Common Stock to redemption value |
— | — | — | — | — | ( |
) | ( |
) | ( |
) | |||||||||||||||||||||||||
Net loss |
— | — | — | — | — | — | — | ( |
) | ( |
) | |||||||||||||||||||||||||
Balance as of March 31, 2021 |
$ |
$ |
$ |
$ | — | $ |
( |
) |
$ |
( |
) | |||||||||||||||||||||||||
Net loss |
— | — | — | — | — | — | — | ( |
) | ( |
) | |||||||||||||||||||||||||
Balance as of June 30, 2021 |
$ |
$ |
$ |
$ | — | $ |
( |
) |
$ |
( |
) | |||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows from Operating Activities: |
||||
Net loss |
$ | ( |
) | |
Adjustments to reconcile net loss to net cash used in operating activities: |
||||
Financing expenses on derivative classified instrument |
||||
Gain on marketable securities (net), dividends and interest, held in Trust Account |
( |
) | ||
Change in fair value of derivative liabilities |
( |
) | ||
Changes in operating assets and liabilities: |
||||
Prepaid expenses and other assets |
( |
) | ||
Accounts payable and accrued expenses |
||||
|
|
|||
Net cash used in operating activities |
( |
) | ||
|
|
|||
Cash Flows from Investing Activities: |
||||
Investment of cash into Trust Account |
( |
) | ||
|
|
|||
Net cash used in investing activities |
( |
) | ||
|
|
|||
Cash Flows from Financing Activities: |
||||
Proceeds from issuance of Class B and Class K common stock to Sponsor |
||||
Advances from related party |
||||
Proceeds from sale of Public Shares, net of transaction costs |
||||
Proceeds from sale of Private Placement Shares |
||||
|
|
|||
Net cash provided by financing activities |
||||
|
|
|||
Net increase in cash |
||||
Cash - beginning of period |
||||
|
|
|||
Cash - end of period |
$ | |||
|
|
|||
Supplemental disclosure of noncash investing and financing activities: |
||||
Deferred underwriting fees payable |
$ | |||
|
|
For the three months ended June 30, 2021 (Unaudited) |
Inception-to- date June 30, 2021 (Unaudited) |
|||||||
Net loss |
$ | ( |
) | $ | ( |
) | ||
Accretion of temporary equity to redemption value |
( |
) | ( |
) | ||||
|
|
|
|
|||||
Net loss including accretion of temporary equity to redemption value |
$ | ( |
) | $ | ( |
) | ||
|
|
|
|
For the three months ended June 30, 2021 (Unaudited) |
Inception-to-date |
|||||||||||||||||||||||
Class A-t |
Class A-p |
Class B |
Class A-t |
Class A-p |
Class B |
|||||||||||||||||||
Basic and diluted net loss per share |
||||||||||||||||||||||||
Numerator |
||||||||||||||||||||||||
Allocation of net loss including accretion of temporary equity |
$ | ( |
) | $ | ( |
) | $ | ( |
) | $ | ( |
) | $ | ( |
) | $ | ( |
) | ||||||
Accretion of temporary equity to redemption value |
— | — | — | — | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Allocation of net loss |
$ | ( |
) | $ | ( |
) | $ | ( |
) | $ | ( |
) | $ | ( |
) | $ | ( |
) | ||||||
Denominator |
||||||||||||||||||||||||
Weighted average shares outstanding, basic and diluted |
||||||||||||||||||||||||
Basic and diluted net loss per share |
$ | ( |
$ | ( |
$ | ( |
$ | ( |
$ | ( |
$ | ( |
Description | Level | June 30, 2021 | ||||||
Assets: |
||||||||
Marketable securities held in Trust Account |
1 | $ | ||||||
Liabilities: |
||||||||
Derivative liability – Class K Founder Shares |
3 | $ | ||||||
Input |
January 29, 2021 (Inception) |
June 30, 2021 |
||||||
Risk-free interest rate |
% | % | ||||||
Term to business combination |
||||||||
Expected volatility |
% | % | ||||||
Stock price |
$ | $ | ||||||
Dividend yield |
% | % |
Class K Founder Shares Derivative Liability |
||||
Fair value, January 29, 2021 (inception) |
$ | |||
Change in fair value of Class K Founder Shares liability |
( |
) | ||
|
|
|||
Fair value, March 31, 2021 (unaudited) |
$ | |||
Change in fair value of Class K Founder Shares liability |
||||
|
|
|||
Fair value, June 30, 2021 (unaudited) |
$ | |||
|
|
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 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 |
No. |
Description of Exhibit | |
32.2** | Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes- Oxley Act of 2002 | |
101.INS* | Inline XBRL Instance Document | |
101.CAL* | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |
101.SCH* | Inline XBRL Taxonomy Extension Schema Document | |
101.DEF* | Inline XBRL Taxonomy Extension Definition Linkbase Document | |
101.LAB* | Inline XBRL Taxonomy Extension Labels Linkbase Document | |
101.PRE* | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |
104* | Cover Page Interactive Data file (formatted as inline XBRL) |
* | Filed herewith. |
** | Furnished. |
KHOSLA VENTURES ACQUISITION CO. III | ||||||
Date: October 7, 2021 | By: | /s/ Peter Buckland | ||||
Name: | Peter Buckland | |||||
Title: | Chief Financial Officer |