Net Income (Loss) per Share
The Company complies with accounting and disclosure requirements of FASB ASC 260, Earnings Per Share. In order to determine the net income (loss) attributable to both the redeemable shares and non-redeemable shares, the Company first considered the undistributed income (loss) allocable to both the redeemable shares and non-redeemable shares and the undistributed income (loss) is calculated using the total net loss less interest income in trust account less any dividends paid. We then allocated the undistributed inc ome (loss) ratably based on the weighted average number of shares outstanding between the redeemable and non-redeemable shares. Any remeasurement of the accretion to redemption value of the ordinary shares subject to possible redemption was considered to be dividends paid to the public shareholders. As of March 31, 2022 and March 31, 2021, the Company did not have any dilutive securities and other contracts that could, potentially, be exercised or converted into ordinary shares and then share in the earnings of the Company. As a result, diluted loss per share is the same as basic loss per share for the period presented.
The net income (loss) per share presented in the condensed statement of operations is based on the following:
| For The Period From | |||||
January 6, 2021 | ||||||
For The Three Months | (Inception) To March 31, | |||||
| Ended March 31, 2022 |
| 2021 | |||
Net loss less interest income in trust account | $ | (150,809) | $ | (4,013) | ||
| For The Three Months Ended March 31, |
| For The Period From January 6, 2021 (Inception) To March 31, | |||||||||
2022 | 2021 | |||||||||||
| Redeemable shares |
| Non-redeemable shares |
| Redeemable shares |
| Non-redeemable shares | |||||
Basic and diluted net income/(loss) per share: |
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Numerators: |
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Allocation of net income/(loss) | $ | (116,198) | $ | (34,611) | $ | — | $ | (4,013) | ||||
Denominators: |
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Weighted-average shares outstanding |
| 5,467,000 |
| 1,628,425 |
| — |
| 1,250,000 | ||||
Basic and diluted net income/(loss) per share | (0.02) | (0.02) | $ | — | $ | — | ||||||
The number of weighted-average shares outstanding for the period from January 6, 2021 (Inception) to March 31, 2021 excludes an aggregate of up to 187,500 shares of non-redeemable shares that are subject to forfeiture if the over-allotment option is not exercised by the underwriters.
In connection with the closing of the underwriters’ partial exercise of their over-allotment option on June 28, 2021, 116,750 founder shares were no longer subject to forfeiture. These shares were excluded from the calculation of weighted average shares outstanding until they were no longer subject to forfeiture.
The above information was disclosed in a filing to the SEC. To see the filing, click here.
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