☒ | 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 | 85-2533565 | |
(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | |
400 Perimeter Center Terrace Suite 151 Atlanta, Georgia | 30346 | |
(Address of Principal Executive Offices) | (Zip Code) |
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 and one redeemable warrant | ALTUU | The Nasdaq Stock Market LLC | ||
Class A common stock, par value $0.0001 per share | ALTU | The Nasdaq Stock Market LLC | ||
Warrants, each whole warrant exercisable for one share of Class A common stock, each at an exercise price of $11.50 per share | ALTUW | The Nasdaq Stock Market LLC |
Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer | ☒ | Smaller reporting company | ☒ | |||
Emerging growth company | ☒ |
Page | ||||||
Item 1. | ||||||
Item 2. | 19 | |||||
Item 3. | ||||||
Item 4. | 23 | |||||
Item 1. | 24 | |||||
Item 1A. | 24 | |||||
Item 2. | 24 | |||||
Item 3. | 25 | |||||
Item 4. | 25 | |||||
Item 5. | 25 | |||||
Item 6. | 25 | |||||
June 30, 2021 (Unaudited) | December 31, 2020 | September 30, 2021 (Unaudited) | December 31, 2020 | |||||||||||||
Assets: | (As Restated | ) | ||||||||||||||
Current Assets | ||||||||||||||||
Cash and cash equivalents | $ | 207,634 | $ | 764,329 | $ | 134,055 | $ | 764,329 | ||||||||
Prepaid expense | 413,676 | 634,511 | 294,133 | 634,511 | ||||||||||||
Total current assets | 621,310 | 1,398,840 | 428,188 | 1,398,840 | ||||||||||||
Investments held in Trust Account | 300,013,157 | 300,000,082 | 300,019,322 | 300,000,082 | ||||||||||||
Total assets | $ | 300,634,467 | $ | 301,398,922 | $ | 300,447,510 | $ | 301,398,922 | ||||||||
Liabilities and Stockholders’ Equity: | ||||||||||||||||
Liabilities and Stockholders’ Deficit: | ||||||||||||||||
Current Liabilities | ||||||||||||||||
Accounts payable | $ | 146,619 | $ | 137,179 | $ | 232,057 | $ | 137,178 | ||||||||
Due to related party | 62,090 | 2,885 | 92,089 | 2,885 | ||||||||||||
Total current liabilities | 208,709 | 140,064 | 324,146 | 140,063 | ||||||||||||
Warrant liability | 20,361,774 | 33,807,463 | 16,033,950 | 33,807,463 | ||||||||||||
Deferred legal fee | 4,594,437 | 0 | ||||||||||||||
Deferred underwriting fee | 10,500,000 | 10,500,000 | 10,500,000 | 10,500,000 | ||||||||||||
Total liabilities | 31,070,483 | 44,447,527 | 31,452,533 | 44,447,526 | ||||||||||||
Commitments and Contingencies | 0 | 0 | ||||||||||||||
Class A common stock subject to possible redemption, 30,000,000 and 30,000,000 shares subject to possible redemption at redemption value at September 30, 2021 and December 31, 2020, respectively | 300,000,000 | 300,000,000 | ||||||||||||||
Stockholders’ deficit: | ||||||||||||||||
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, 280,000,000 shares authorized | 0— | 0— | ||||||||||||||
Class B common stock, $0.0001 par value, 20,000,000 shares authorized, 7,500,000 and 7,500,000 shares issued and outstanding at September 30, 2021 and December 31, 2020, respectively | 750 | 750 | ||||||||||||||
Additional paid-in capital | 0— | 0— | ||||||||||||||
Accumulated deficit | (31,005,773 | ) | (43,049,354 | ) | ||||||||||||
Commitments and Contingencies | 0 | 0 | ||||||||||||||
Class A common stock subject to possible redemption, 26,456,398 and 25,195,139 shares subject to possible redemption at redemption value at June 30, 2021 and December 31, 2020, respectively | 264,563,980 | 251,951,390 | ||||||||||||||
Stockholders’ equity: | ||||||||||||||||
Preferred stock, $0.0001 par value; 1,000,000 shares authorized; 0shares issued and outstanding | 0— | 0— | ||||||||||||||
Class A common stock, $0.0001 par value, 280,000,000 shares authorized, 3,543,602 and 4,804,861 shares issued and outstanding (excluding 26,456,398 and 25,195,139 shares subject to possible redemption) at June 30, 2021 and December 31, 2020, respectively | 354 | 481 | ||||||||||||||
Class B common stock, $0.0001 par value, 20,000,000 shares authorized, 7,500,000 and 7,500,000 shares issued and outstanding at June 30, 2021 and December 31, 2020, respectively | 750 | 750 | ||||||||||||||
Additional paid-in capital | — | 12,116,008 | ||||||||||||||
Retained earnings (Accumulated deficit) | 4,998,900 | (7,117,234 | ) | |||||||||||||
Total stockholders’ deficit | (31,005,023 | ) | (43,048,604 | ) | ||||||||||||
Total stockholders’ equity | 5,000,004 | 5,000,005 | ||||||||||||||
Total liabilities and stockholders’ deficit | $ | 300,447,510 | $ | 301,398,922 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 300,634,467 | $ | 301,398,922 | ||||||||||||
For the three months ended | For the period from August 12, 2020 (inception) through | For the nine months ended | ||||||||||||||||||
For the Three Months Ended June 30, 2021 | For the Six Months Ended June 30, 2021 | September 30, 2021 | September 30, 2020 | September 30, 2021 | ||||||||||||||||
Formation and operating costs | $ | 379,837 | $ | 846,195 | $ | 4,903,000 | $ | 6,108 | $ | 5,749,195 | ||||||||||
Loss from operations | (379,837 | ) | (846,195 | ) | (4,903,000 | ) | (6,108 | ) | (5,749,195 | ) | ||||||||||
Other income | ||||||||||||||||||||
Interest Income | 8 | 20 | 3 | 0 | 23 | |||||||||||||||
Interest income earned on Trust | 6,828 | 13,075 | 6,165 | 0 | 19,240 | |||||||||||||||
Unrealized gain on change in fair value of warrants | 19,441,877 | 13,445,689 | 4,327,824 | 0 | 17,773,513 | |||||||||||||||
Total other income | 19,448,713 | 13,458,784 | 4,333,992 | 0 | 17,792,776 | |||||||||||||||
Net income | $ | 19,068,876 | $ | 12,612,589 | ||||||||||||||||
Net income (loss) | $ | (569,008 | ) | $ | (6,108 | ) | $ | 12,043,581 | ||||||||||||
Basic and diluted weighted average shares outstanding, Class A common stock | 30,000,000 | 30,000,000 | 30,000,000 | 0 | 30,000,000 | |||||||||||||||
Basic and diluted net income per share, Class A common stock | $ | 0.00 | $ | 0.00 | ||||||||||||||||
Basic and diluted net income (loss) per share, Class A common stock | $ | (0.02 | ) | $ | 0 | $ | 0.32 | |||||||||||||
Basic and diluted weighted average shares outstanding, common stock | 7,500,000 | 7,500,000 | ||||||||||||||||||
Basic and diluted weighted average shares outstanding, Class B common stock | 7,500,000 | 6,250,000 | 7,500,000 | |||||||||||||||||
Basic and diluted net income per share, Class B common stock | $ | 2.54 | $ | 1.68 | ||||||||||||||||
Basic and diluted net income (loss) per share, Class B common stock | $ | (0.02 | ) | $ | (0.00 | ) | $ | 0.32 | ||||||||||||
Class A | Class B | Additional Paid-In Capital | Retained Earnings | Total Stockholders’ Equity | ||||||||||||||||||||||||
Common Stock | Common Stock | |||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||||||||||
Balance as of December 31, 2020 | 4,804,861 | $ | 481 | 7,500,000 | $ | 750 | $ | 12,116,008 | $ | (7,117,234 | ) | $ | 5,000,005 | |||||||||||||||
Change in value of Class A common stock subject to possible redemption | 645,629 | 64 | — | — | 6,456,226 | — | 6,456,290 | |||||||||||||||||||||
Net loss | — | — | — | — | — | (6,456,287 | ) | (6,456,287 | ) | |||||||||||||||||||
Balance as of March 31, 2021 (unaudited) | 5,450,490 | $ | 545 | 7,500,000 | $ | 750 | $ | 18,572,234 | $ | (13,573,521 | ) | $ | 5,000,008 | |||||||||||||||
Change in value of Class A common stock subject to possible redemption | (1,906,888 | ) | (191 | ) | — | — | (18,572,234 | ) | (496,455 | ) | (19,068,880 | ) | ||||||||||||||||
Net loss | — | — | — | — | — | 19,068,876 | 19,068,876 | |||||||||||||||||||||
Balance as of June 30, 2021 (unaudited) | 3,543,602 | $ | 354 | 7,500,000 | $ | 750 | $ | 0 | $ | 4,998,900 | $ | 5,000,004 | ||||||||||||||||
Class B | Additional Paid-In Capital | Retained Earnings | Total Stockholders’ Equity | |||||||||||||||||
Common Stock | ||||||||||||||||||||
Shares | Amount | |||||||||||||||||||
Balance as of August 12, 2020, (inception) | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||||
Class B common stock issued to Sponsor | 7,187,500 | 719 | 24,281 | 25,000 | ||||||||||||||||
Net loss | — | — | — | (6,108 | ) | (6,108 | ) | |||||||||||||
Balance as of September 30, 2020 (unaudited) | 7,187,500 | $ | 719 | $ | 24,281 | $ | (6,108 | ) | $ | 18,892 | ||||||||||
Class B | Additional Paid-In Capital | Retained Earnings | Total Stockholders’ Deficit | |||||||||||||||||
Common Stock | ||||||||||||||||||||
Shares | Amount | |||||||||||||||||||
Balance as of December 31, 2020, as restated | 7,500,000 | $ | 750 | $ | 0 | $ | (43,049,354 | ) | $ | (43,048,604 | ) | |||||||||
Net loss | — | — | — | (6,456,287 | ) | (6,456,287 | ) | |||||||||||||
Balance as of March 31, 2021 (unaudited), as restated | 7,500,000 | $ | 750 | $ | 0 | $ | (49,505,641 | ) | $ | (49,504,891 | ) | |||||||||
Net income | — | — | — | 19,068,876 | 19,068,876 | |||||||||||||||
Balance as of June 30, 2021 (unaudited), as restated | 7,500,000 | $ | 750 | $ | 0 | $ | (30,436,765 | ) | $ | (30,436,015 | ) | |||||||||
Net loss | — | — | — | (569,008 | ) | (569,008 | ) | |||||||||||||
Balance as of September 30, 2021 (unaudited) | 7,500,000 | $ | 750 | $ | 0 | $ | (31,005,773 | ) | $ | (31,005,023 | ) | |||||||||
For the Nine Months Ended September 30, | For the period from August 12, 2020 (inception) through September 30, | |||||||||||
For the Six Months Ended June 30, 2021 | 2021 | 2020 | ||||||||||
Cash Flows from Operating Activities: | ||||||||||||
Net income | $ | 12,612,589 | ||||||||||
Adjustments to reconcile net income to net cash used in operating activities: | ||||||||||||
Net income (loss) | $ | 12,043,581 | $ | (6,108 | ) | |||||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||||||||||||
Interest earned on investments held in Trust Account | (13,075 | ) | (19,240 | ) | 0 | |||||||
Unrealized gain on change in fair value of warrant liability | (13,445,689 | ) | (17,773,513 | ) | 0 | |||||||
Changes in current assets and current liabilities: | ||||||||||||
Prepaid assets | 220,835 | 340,379 | 0 | |||||||||
Deferred legal fee | 4,594,437 | 0 | ||||||||||
Due to related party | 59,205 | 89,204 | 0 | |||||||||
Accounts payable | 9,440 | 94,878 | 846 | |||||||||
Net cash used in operating activities | (556,695 | ) | (630,274 | ) | (5,262 | ) | ||||||
Cash Flows from Financing Activities: | ||||||||||||
Proceeds from issuance of Class B Common Stock | 0 | 25,000 | ||||||||||
Proceeds from issuance of promissory note related party | 0 | 275,000 | ||||||||||
Payment of deferred offering costs | 0 | (74,781 | ) | |||||||||
Net cash provided by financing activities | 0 | 225,219 | ||||||||||
Net Change in Cash | (556,695 | ) | (630,274 | ) | 219,957 | |||||||
Cash—Beginning | 764,329 | 764,329 | 0 | |||||||||
Cash—Ending | $ | 207,634 | $ | 134,055 | $ | 219,957 | ||||||
Supplemental Disclosure of Non-cash Financing Activities: | ||||||||||||
Change in value of Class A common stock subject to possible redemption | $ | 12,612,590 | ||||||||||
Reclassification of capital deficit | $ | 496,455 | ||||||||||
Supplemental disclosure of noncash financing activities | ||||||||||||
Deferred offering costs included in accrued offering costs and expenses | $ | 0 | $ | 345,200 |
Balance Sheet as of December 31, 2020 (as revised in footnote 2 of form 10K/A filed on June 1, 2021) | ||||||||||||
Common Stock subject to possible redemption ($) | $ | 251,951,390 | $ | 48,048,610 | $ | 300,000,000 | ||||||
Common stocks Class A, $0.0001 par value | 481 | (481 | ) | 0 | ||||||||
Common stocks Class B, $0.0001 par value | 750 | 0 | 750 | |||||||||
Additional Paid in Capital | 12,116,008 | (12,116,008 | ) | 0 | ||||||||
Accumulated Deficit | (7,117,234 | ) | (35,932,120 | ) | (43,049,354 | ) | ||||||
Total Stockholders’ Equity (Deficit) | $ | 5,000,005 | $ | (48,048,609 | ) | $ | (43,048,604 | ) | ||||
Number of shares subject to redemption | 25,195,139 | 4,804,861 | 30,000,000 | |||||||||
For the three months ended June 30, 2021 | For the six months ended June 30, 2021 | |||||||
Numerator: Net income allocable to Class A common stock | ||||||||
Amortized Interest income on marketable securities held in trust | $ | 6,828 | $ | 13,075 | ||||
Less: interest available to be withdrawn for payment of taxes | (6,828 | ) | (13,075 | ) | ||||
Net income allocable to Class A common stock | $ | 0 | $ | 0 | ||||
Denominator: Weighted Average Redeemable Class A common stock | ||||||||
Redeemable Class A Common Stock, Basic and Diluted | 30,000,000 | 30,000,000 | ||||||
Basic and Diluted net income per share, Class A common stock | $ | 0.00 | $ | 0.00 | ||||
Non-Redeemable Common Stock | ||||||||
Numerator: Net Income minus Redeemable Net Earnings | ||||||||
Net Income | $ | 19,068,876 | $ | 12,612,589 | ||||
Redeemable Net Earnings | (6,828 | ) | (13,075 | ) | ||||
Non-Redeemable Net Income | $ | 19,062,048 | $ | 12,599,514 | ||||
Denominator: Weighted Average Non-Redeemable Common Stock | ||||||||
Basic and diluted weighted average shares outstanding, common stock | 7,500,000 | 7,500,000 | ||||||
Basic and diluted net income per share, Class B common stock | $ | 2.54 | $ | 1.68 |
For the Three Months Ended September 30, 2021 | For the Nine Months Ended September 30, 2021 | |||||||||||||||
Class A | Class B | Class A | Class B | |||||||||||||
Basic and diluted net income per share: | ||||||||||||||||
Numerator: | ||||||||||||||||
Allocation of net income (loss) | $ | (455,206 | ) | $ | (113,802 | ) | $ | 9,634,865 | $ | 2,408,716 | ||||||
Denominator: | ||||||||||||||||
Weighted-average shares outstanding | 30,000,000 | 7,500,000 | 30,000,000 | 7,500,000 | ||||||||||||
Basic and diluted net income (loss) per share | $ | (0.02 | ) | $ | (0.02 | ) | $ | 0.32 | $ | 0.32 |
For the Period from August 12, 2020 (inception) through September 30, 2020 | ||||||||
Class A | Class B | |||||||
Basic and diluted net income per share: | ||||||||
Numerator: | ||||||||
Allocation of net loss | $ | 0 | $ | (6,108 | ) | |||
Denominator: | ||||||||
Weighted-average shares outstanding | 0 | 6,250,000 | ||||||
Basic and diluted net loss per share | $ | 0 | $ | (0.00 | ) |
Gross proceeds from IPO | $ | 300,000,000 | ||
Less: | ||||
Proceeds allocated to Public Warrants | (19,987,400 | ) | ||
Common stock issuance costs | (15,968,970 | ) | ||
Plus: | ||||
Accretion of carrying value to redemption value | 35,956,370 | |||
Contingently redeemable common stock | $ | 300,000,000 | ||
September 30, 2021 | Quoted Prices In Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||
June 30, 2021 | Quoted Prices In Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||
Money Market Funds held in Trust Account | $ | 300,013,157 | $ | 300,013,157 | $ | — | $ | — | $ | 300,019,322 | $ | 300,019,322 | $ | — | $ | — | ||||||||||||||||
$ | 300,013,157 | $ | 300,013,157 | $ | — | $ | — | $ | 300,019,322 | $ | 300,019,322 | $ | — | $ | — | |||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Warrant Liability – Public Warrants | $ | 12,715,500 | $ | 12,715,500 | $ | — | $ | — | $ | 10,200,000 | $ | 10,200,000 | $ | — | $ | — | ||||||||||||||||
Warrant Liability – Private Placement Warrants | $ | 7,646,274 | $ | — | $ | — | $ | 7,646,274 | $ | 5,833,950 | $ | — | $ | — | $ | 5,833,950 | ||||||||||||||||
$ | 20,361,774 | $ | 12,715,500 | $ | — | $ | 7,646,274 | $ | 16,033,950 | $ | 10,200,000 | $ | — | $ | 5,833,950 | |||||||||||||||||
December 31, 2020 | Quoted Prices In Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | December 31, 2020 | Quoted Prices In Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Unobservable Inputs (Level 3) | |||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||
Money Market Funds held in Trust Account | $ | 300,000,082 | $ | 300,000,082 | $ | — | $ | — | $ | 300,000,082 | $ | 300,000,082 | $ | — | $ | — | ||||||||||||||||
$ | 300,000,082 | $ | 300,000,082 | $ | — | $ | — | $ | 300,000,082 | $ | 300,000,082 | $ | — | $ | — | |||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Warrant Liability – Public Warrants | $ | 21,995,964 | $ | — | $ | — | $ | 21,995,964 | $ | 21,995,964 | $ | — | $ | — | $ | 21,995,964 | ||||||||||||||||
Warrant Liability – Private Placement Warrants | $ | 11,811,499 | $ | — | $ | — | $ | 11,811,499 | $ | 11,811,499 | $ | — | $ | — | $ | 11,811,499 | ||||||||||||||||
$ | 33,807,463 | $ | — | $ | — | $ | 33,807,463 | $ | 33,807,463 | $ | — | $ | — | $ | 33,807,463 | |||||||||||||||||
Input | June 30, 2021 | September 30, 2021 | ||||||
Expected term (years) | 5.54 | 5.48 | ||||||
Expected volatility | 15.50 | % | 12.9 | % | ||||
Risk-free interest rate | 0.96 | % | 1.06 | % | ||||
Fair value of the common stock price | $ | 9.79 | $ | 9.84 |
Input | December 31, 2020 | |||
Expected term (years) | 5.85 | |||
Expected volatility | 24.2 | % | ||
Risk-free interest rate | 0.48 | % | ||
Fair value of the common stock price | $ | 9.63 |
Input | December 31, 2020 | |||
Expected term (years) | 5.85 | |||
Expected volatility | 24.2 | % | ||
Risk-free interest rate | 0.48 | % | ||
Fair value of the common stock price | $ | 9.63 |
Warrant Liability | ||||||||
Warrant Liability | ||||||||
Fair value as of December 31, 2020 | $ | 33,807,463 | $ | 33,807,463 | ||||
Transfer out of Level 3 to Level 1 | (12,715,500 | ) | (10,200,000 | ) | ||||
Revaluation of warrant liability included in other income within the statement of operations for the six months ended June 30, 2021 | (13,445,689 | ) | ||||||
Revaluation of warrant liability included in other income within the statement of operations for the nine months ended September 30, 2021 | (17,773,513 | ) | ||||||
Fair value as of June 30, 2021 | $ | 7,646,274 | ||||||
Fair value as of September 30, 2021 | $ | 5,833,950 | ||||||
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 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. |
* Filed herewith |
** Furnished herewith |
ALTITUDE ACQUISITION CORP. | ||||||
Date: | By: | /s/ Gary Teplis | ||||
Name: Gary Teplis | ||||||
Title: Chief Executive Officer | ||||||
(Principal Executive Officer) |