SIDDHI ACQUISITION CORP FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2026
Siddhi Acquisition Corp. filed its Form 10-Q for the quarter ended June 30, 2026, reporting a net loss of $1.4 million for the three months ended June 30, 2026, compared to a net loss of $1.1 million for the same period in 2025. As of June 30, 2026, the company had cash and cash equivalents of $14.4 million, compared to $15.4 million as of December 31, 2025. The company’s condensed balance sheet as of June 30, 2026, showed total assets of $15.4 million and total liabilities of $1.4 million. The company’s management’s discussion and analysis of financial condition and results of operations highlights the company’s focus on identifying and acquiring a target business, and notes that the company has not yet identified a target business to acquire.
Overview
The report provides an overview of a blank check company, formed in the Cayman Islands on July 5, 2024, with the purpose of effecting a merger, amalgamation, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses. The company intends to use the proceeds from its initial public offering (IPO) and the sale of private placement units to fund its business combination plans. However, the company cannot provide assurance that its plans to complete a business combination will be successful.
Results of Operations
The company has not engaged in any operations or generated any revenues to date. Its activities have been limited to organizational activities, preparing for the IPO, and identifying a target company for a business combination. The company does not expect to generate any operating revenues until after the completion of its business combination.
For the three months ended June 30, 2026, the company had a net income of $2,499,699, which consisted of interest earned on investments held in the Trust Account of $2,680,967, partially offset by general and administrative costs of $181,268. For the three months ended June 30, 2025, the company had a net loss of $5,605,852, which consisted of advisory, general, and administrative costs of $8,473,343, offset by interest earned on investments held in the Trust Account of $2,867,491.
For the six months ended June 30, 2026, the company had a net income of $4,739,167, which consisted of interest earned on investments held in the Trust Account of $5,138,821, partially offset by general and administrative costs of $399,654. For the six months ended June 30, 2025, the company had a net loss of $5,649,702, which consisted of advisory, general, and administrative costs of $8,517,193, offset by interest earned on investments held in the Trust Account of $2,867,491.
The company has placed a total of $277,380,000 in the Trust Account following the IPO, the full exercise of the over-allotment option, and the sale of the Private Units. The company incurred $9,056,885 in offering costs, consisting of a $250,000 cash underwriting fee, $8,280,000 in deferred underwriting fees, and $526,885 in other offering costs.
Cash Flows and Liquidity
For the six months ended June 30, 2026, net cash used in operating activities was $421,664. For the six months ended June 30, 2025, cash used in operating activities was $383,876.
As of June 30, 2026, the company had investments held in the Trust Account of $291,120,263 (including approximately $13,740,263 of interest income) consisting of U.S. Treasury Bills with a maturity of 185 days or less. The company had cash of $168,230 outside the Trust Account, which it intends to use for identifying and evaluating target businesses, performing due diligence, and completing a business combination.
The company may withdraw interest from the Trust Account to pay taxes, if any. It intends to use substantially all of the funds held in the Trust Account, including any amounts representing interest earned on the Trust Account (less income taxes payable), to complete its business combination.
Going Concern Considerations
In connection with the company’s assessment of going concern considerations, management has determined that the potential liquidity shortfall and the mandatory liquidation raise substantial doubt about the company’s ability to continue as a going concern. The unaudited condensed financial statements do not include any adjustments relating to the recovery of the recorded assets or the classification of the liabilities that might be necessary should the company be required to liquidate after January 2, 2027.
Contractual Obligations
The company does not have any long-term debt, capital lease obligations, operating lease obligations, or long-term liabilities, other than an agreement to pay a monthly technology, software, computer, systems, administrative support, secretarial services, and infrastructure fee of $15,000 to Siddhi Capital Holdings until the earlier of an initial business combination or the company’s liquidation.
The underwriter was entitled to a cash underwriting fee of $250,000, which was paid to Santander US Capital Markets LLC upon the closing of the IPO.
Critical Accounting Policies
The company has identified the following critical accounting policies:
Class A Ordinary Shares Subject to Possible Redemption: The company accounts for its ordinary shares subject to possible conversion in accordance with the guidance in Accounting Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from Equity.”
Net Income (Loss) Per Ordinary Share: The company applies the two-class method in calculating earnings per share, with income and losses shared pro rata to the shares. Net income (loss) per ordinary share is computed by dividing net income (loss) by the weighted average number of ordinary shares outstanding for the period.
Recent Accounting Standards: Management does not believe that any recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on the company’s unaudited condensed financial statements.
