☒ | 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 |
Delaware | 85-1960216 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||
Units, each consisting of one share of Class A common stock, $0.0001 par value, and one half of one redeemable warrant | NMMCU | Nasdaq Capital Market | ||
Shares of Class A common stock | NMMC | Nasdaq Capital Market | ||
Redeemable warrants included as part of the units | NMMCW | Nasdaq Capital Market |
Large accelerated filer | ☐ | Accelerated filer | ☐ |
Non-accelerated filer | ☒ | Smaller reporting company | ☒ |
Emerging growth company | ☒ |
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March 31, 2021 | December 31, 2020 | June 30, 2021 | December 31, 2020 | |||||||||||||
(Unaudited) | (As Restated) | (Unaudited) | ||||||||||||||
ASSETS | ||||||||||||||||
Current Assets | ||||||||||||||||
Cash | $ | 816,214 | $ | 971,469 | $ | 642,211 | $ | 971,469 | ||||||||
Prepaid expenses | 313,656 | 328,114 | 245,367 | 328,114 | ||||||||||||
Total Current Assets | 1,129,870 | 1,299,583 | 887,578 | 1,299,583 | ||||||||||||
Marketable securities held in Trust Account | 132,255,046 | 132,253,093 | 132,257,022 | 132,253,093 | ||||||||||||
TOTAL ASSETS | $ | 133,384,916 | $ | 133,552,676 | $ | 133,144,600 | $ | 133,552,676 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||
Accounts payable and accrued expenses | 205,237 | 124,265 | 201,267 | 124,265 | ||||||||||||
Total Current Liabilities | 205,237 | 124,265 | 201,267 | 124,265 | ||||||||||||
Deferred underwriting fee payable | 4,628,750 | 4,628,750 | 4,628,750 | 4,628,750 | ||||||||||||
Warrant liabilities – Private Warrants | 4,619,000 | 5,673,000 | 5,430,000 | 5,673,000 | ||||||||||||
Warrant liabilities – Public Warrants | 7,274,000 | 8,927,000 | 8,596,250 | 8,927,000 | ||||||||||||
Total Liabilities | 16,726,987 | 19,353,015 | 18,856,267 | 19,353,015 | ||||||||||||
Commitments and Contingencies | ||||||||||||||||
Commitments and Contingencies (Note 6) | 0 | 0 | ||||||||||||||
Class A common stock subject to possible redemption, 11,165,366 and 10,919,966 shares at redemption value as of March 31, 2021 and December 31, 2020, respectively | 111,657,920 | 109,199,660 | ||||||||||||||
Class A common stock subject to possible redemption, 10,928,252 and 10,919,966 shares at redemption value as of June 30, 2021 and December 31, 2020, respectively | 109,288,323 | 109,199,660 | ||||||||||||||
Stockholders’ Equity | ||||||||||||||||
Preferred Stock, $0.0001 par value; 1,000,000 shares authorized; no shares issued and outstanding | — | — | ||||||||||||||
Class A common stock, $0.0001 par value; 200,000,000 shares authorized; 2,059,634 and 2,305,034 shares issued and outstanding (excluding 11,165,366 and 10,919,966 shares subject to possible redemption) as of March 31, 2021 and December 31, 2020, respectively | 206 | 231 | ||||||||||||||
Class B common stock, $0.0001 par value; 20,000,000 shares authorized; 3,306,250 shares issued and outstanding as of March 31, 2021 and December 31, 2020 | 331 | 331 | ||||||||||||||
Preferred Stock, $0.0001 par value; 1,000,000 shares authorized; 0 shares issued and outstanding | 0 | 0 | ||||||||||||||
Class A common stock, $0.0001 par value; 200,000,000 shares authorized; 2,296,748 and 2,305,034 shares issued and outstanding (excluding 10,928,252 and 10,919,966 shares subject to possible redemption) as of June 30, 2021 and December 31, 2020, respectively | 230 | 231 | ||||||||||||||
Class B common stock, $0.0001 par value; 20,000,000 shares authorized; 3,306,250 shares issued and outstanding as of June 30, 2021 and December 31, 2020 | 331 | 331 | ||||||||||||||
Additional paid-in capital | 7,104,553 | 9,562,788 | 9,474,126 | 9,562,788 | ||||||||||||
Accumulated deficit | (2,105,081 | ) | (4,563,349 | ) | (4,474,677 | ) | (4,563,349 | ) | ||||||||
Total Stockholders’ Equity | 5,000,009 | 5,000,001 | 5,000,010 | 5,000,001 | ||||||||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 133,384,916 | $ | 133,552,676 | $ | 133,144,600 | $ | 133,552,676 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||
2021 | 2021 | |||||||
Operating costs | $ | 238,322 | $ | 489,007 | ||||
Loss from operations | (238,322 | ) | (489,007 | ) | ||||
Other (expense) income: | ||||||||
Interest earned on marketable securities held in Trust Account | 1,976 | 3,929 | ||||||
Change in fair value of warrants liabilities | (2,133,250 | ) | 573,750 | |||||
Other (expense) income, net | (2,131,274 | ) | 577,679 | |||||
(Loss) Income before income taxes | $ | (2,369,596 | ) | $ | 88,672 | |||
(Provision) Benefit for income taxes | 0 | 0 | ||||||
Net (loss) income | $ | (2,369,596 | ) | $ | 88,672 | |||
Basic and diluted weighted average shares outstanding, Common stock subject to possible redemption | 11,165,366 | 11,043,344 | ||||||
Basic and diluted net income per share, Common Stock subject to possible redemption | $ | 0.00 | $ | 0.00 | ||||
Basic and diluted weighted average shares outstanding, Non-redeemable Common stock | 5,365,884 | 5,487,906 | ||||||
Basic and diluted net income per share, Non-redeemable Common Stock | $ | (0.44 | ) | $ | 0.02 |
Class A Common Stock | Class B Common Stock | Additional Paid-in | Accumulated | Total Stockholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Equity | ||||||||||||||||||||||
Balance – January 1, 2021 | 2,305,034 | $ | 231 | 3,306,250 | $ | 331 | $ | 9,562,788 | $ | (4,563,349 | ) | $ | 5,000,001 | |||||||||||||||
Change in value of common stock subject to possible redemption, Warrants | (245,400 | ) | (25 | ) | 0 | 0 | (2,458,235 | ) | 0 | (2,458,260 | ) | |||||||||||||||||
Net income | — | 0 | — | 0 | 0 | 2,458,268 | 2,458,268 | |||||||||||||||||||||
Balance – March 31, 2021 | 2,059,634 | $ | 206 | 3,306,250 | $ | 331 | $ | 7,104,553 | $ | (2,105,081 | ) | $ | 5,000,009 | |||||||||||||||
Change in value of common stock subject to possible redemption, Warrants | 237,114 | 24 | 0 | 0 | 2,369,573 | 0 | 2,369,597 | |||||||||||||||||||||
Net loss | — | 0 | — | 0 | 0 | (2,369,596 | ) | (2,369,596 | ) | |||||||||||||||||||
Balance – June 30, 2021 | 2,296,748 | $ | 230 | 3,306,250 | $ | 331 | $ | 9,474,126 | $ | (4,474,677 | ) | $ | 5,000,010 |
Cash Flows from Operating Activities: | | |||
Net income | $ | 88,672 | ||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||
Interest expenses (earned) on marketable securities held in Trust Account | (3,929 | ) | ||
Change in fair value of warrants liabilities | (573,750 | ) | ||
Changes in operating assets and liabilities: | | |||
Prepaid expenses | 82,747 | |||
Accounts payable and accrued expenses | 77,002 | |||
Net cash used in operating activities | (329,258 | ) | ||
Net Change in Cash | (329,258 | ) | ||
Cash — Beginning | 971,469 | |||
Cash — Ending | $ | 642,211 | ||
Non-Cash investing and financing activities: | | |||
Change in value of Class A common stock subject to possible redemption | $ | 88,663 |
Operating costs | $ | 250,685 | ||
Loss from operations | (250,685 | ) | ||
Other income: | ||||
Interest earned on marketable securities held in Trust Account | 1,953 | |||
Change in fair value of warrants liabilities | 2,707,000 | |||
Net income | $ | 2,458,268 | ||
Basic and diluted weighted average shares outstanding, Common stock subject to possible redemption | 10,919,966 | |||
Basic and diluted net income per share, Common Stock subject to possible redemption | $ | 0.00 | ||
Basic and diluted weighted average shares outstanding, Non-redeemable Common stock | 5,611,284 | |||
Basic and diluted net income per share, Non-redeemable Common Stock | $ | 0.44 |
Class A Common Stock | Class B Common Stock | Additional Paid-in | Accumulated | Total Stockholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Equity | ||||||||||||||||||||||
Balance – January 1, 2021 (As Restated) | 2,305,034 | $ | 231 | 3,306,250 | $ | 331 | $ | 9,562,788 | $ | (4,563,349 | ) | $ | 5,000,001 | |||||||||||||||
Change in value of common stock subject to possible redemption, Warrants | (245,400 | ) | (25 | ) | — | — | (2,458,235 | ) | — | (2,458,260 | ) | |||||||||||||||||
Net income | — | — | — | — | — | 2,458,268 | 2,458,268 | |||||||||||||||||||||
Balance – March 31, 2021 | 2,059,634 | $ | 206 | 3,306,250 | $ | 331 | $ | 7,104,553 | $ | (2,105,081 | ) | $ | 5,000,009 |
Cash Flows from Operating Activities: | | |||
Net income | $ | 2,458,268 | ||
Adjustments to reconcile net income to net cash used in operating activities: | ||||
Interest expenses (earned) on marketable securities held in Trust Account | (1,953 | ) | ||
Change in fair value of warrants liabilities | (2.707,000 | ) | ||
Changes in operating assets and liabilities: | | |||
Prepaid expenses | 14,458 | |||
Accounts payable and accrued expenses | 80,972 | |||
Net cash used in operating activities | (155,255 | ) | ||
Net Change in Cash | (155,255 | ) | ||
Cash — Beginning | 971,469 | |||
Cash — Ending | $ | 816,214 | ||
Non-Cash investing and financing activities: | | |||
Change in value of Class A common stock subject to possible redemption | $ | 2,458,260 |
For the Three Months Ended March 31, 2021 | Three Months Ended June 30, 2021 | Six Months Ended June 30, 2021 | ||||||||||
Common stock subject to possible redemption | ||||||||||||
Numerator: Earnings allocable to Common stock subject to possible redemption | ||||||||||||
Interest earned on marketable securities held in Trust Account | $ | 1,953 | $ | 1,976 | $ | 3,929 | ||||||
Less: Income and franchise taxes | (1,953 | ) | (1,976 | ) | (3,929 | ) | ||||||
Net loss allocable to shares subject to possible redemption | $ | — | $ | 0 | $ | 0 | ||||||
Denominator: Weighted Average Common stock subject to possible redemption | ||||||||||||
Basic and diluted weighted average shares outstanding | 10,919,966 | 11,165,366 | 11,043,344 | |||||||||
Basic and diluted net income per share | $ | 0.00 | $ | 0.00 | $ | 0.00 | ||||||
Non-Redeemable Common Stock | ||||||||||||
Numerator: Net income minus Net Earnings | ||||||||||||
Net income | $ | 2,458,268 | ||||||||||
Net income allocable to Common stock subject to possible redemption | — | |||||||||||
Non-Redeemable net income | $ | 2,458,268 | ||||||||||
Net (loss) income | $ | (2,369,596 | ) | $ | 88,672 | |||||||
Non-Redeemable net (loss) income | $ | (2,369,596 | ) | $ | 88,672 | |||||||
Denominator: Weighted Average Non-Redeemable Common Stock | ||||||||||||
Basic and diluted weighted average shares outstanding | 5,611,284 | 5,365,884 | 5,487,906 | |||||||||
Basic and diluted net income per share | $ | 0.44 | $ | (0.44 | ) | $ | 0.02 |
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. Examples 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. |
Description | Level | March 31, 2021 | December 31, 2020 | Level | June 30, 2021 | December 31, 2020 | ||||||||||||||||||
Assets: | ||||||||||||||||||||||||
Marketable securities held in Trust Account | 1 | $ | 132,255,046 | $ | 132,253,093 | 1 | $ | 132,257,022 | $ | 132,253,093 | ||||||||||||||
Liabilities: | ||||||||||||||||||||||||
Warrant Liability – Public Warrants | 1 | $ | 7,274,000 | 8,927,000 | 1 | $ | 8,596,250 | 8,927,000 | ||||||||||||||||
Warrant Liability – Private Placement Warrants | 3 | $ | 4,619,000 | 5,673,000 | 3 | $ | 5,430,000 | 5,673,000 |
Input | March 31, 2021 | June 30, 2021 | ||||||
Common Stock Price | $ | 9.92 | $ | 9.73 | ||||
Expected term (years) | 5.48 | 5.23 | ||||||
Expected Volatility (Private Placement Warrants) derived from Monte Carlo Simulation | 16.00 | % | 21.38 | % | ||||
Estimated probability of successful business combination | 100.00 | % | 90.00 | % | ||||
Exercise Price | $ | 11.50 | $ | 11.50 | ||||
Risk-free rate of interest | 1.03 | % | 0.92 | % |
| Private Placement | Public | Warrant Liabilities | Private Placement | ||||||||||||
Fair value as of January 1, 2021 | $ | 5,673,000 | $ | 8,927,000 | $ | 14,600,000 | $ | 5,673,000 | ||||||||
Change in valuation inputs or other assumptions | (1,054,000 | ) | (1,653,000 | ) | (2,707,000 | ) | ||||||||||
Change in fair value | (1,054,000) | |||||||||||||||
Fair value as of March 31, 2021 | $ | 4,619,000 | $ | 7,274,000 | $ | 11,893,000 | 4,619,000 | |||||||||
Change in fair value | 811,000 | |||||||||||||||
Fair value as of June 30, 2021 | $ | 5,430,000 |
Item 2. |
Item 3. |
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 |
No. | Description of Exhibit | |
Certification of Principal Executive Officer Pursuant to Securities Exchange Act Rules 13a-14(a), as adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | ||
Certification of Principal Financial Officer Pursuant to Securities Exchange Act Rules 13a-14(a), as adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | ||
Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | ||
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* | XBRL Instance Document | |
101.SCH* | XBRL Taxonomy Extension Schema Document | |
101.CAL* | XBRL Taxonomy Extension Calculation Linkbase Document | |
101.DEF* | XBRL Taxonomy Extension Definition Linkbase Document | |
101.LAB* | XBRL Taxonomy Extension Labels Linkbase Document | |
101.PRE* | XBRL Taxonomy Extension Presentation Linkbase Document |
* | Filed herewith. |
NORTH MOUNTAIN MERGER CORP. | ||
Date: | By: | /s/ Charles B. Bernicker |
Name: | Charles B. Bernicker | |
Title: | Chief Executive Officer and Chief Financial Officer | |
(Principal Executive, Financial and Accounting Officer) | ||
Date: | By: | /s/ Nicholas Dermatas |
Name: | Nicholas Dermatas | |
Title: | Chief Financial Officer | |
(Principal Financial and Accounting Officer) |