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Item 2. Management’s Discussion and Analysis

2026-08-14 compared with 2026-05-14 · 238 added, 94 removed, 17 unchanged (95% of the section changed)

Management’s Discussion and Analysis of Financial Condition and Results of Operations

References to the “Company,” “our,” “us” or “we” refer to Cantor Equity Partners VI, Inc.

The following discussion and analysis of the Company’s financial condition and results of operations should be read in conjunction with the unaudited condensed financial statements and the notes thereto contained elsewhere in this Report (as defined below).

Certain information contained in the discussion and analysis set forth below includes forward-looking statements that involve risks and uncertainties.

Management’s Discussion and Analysis of Financial

Condition and Results of Operations

References to the “Company,” “our,”

“us” or “we” refer to Cantor Equity Partners VI, Inc., a Cayman Islands exempted company.

The following discussion

and analysis of the Company’s financial condition and results of operations should be read in conjunction with the unaudited condensed

financial statements and the notes thereto in Part I, Item 1 of this Report (as defined below).

Certain information contained in the discussion

and analysis set forth below includes forward-looking statements that involve risks and uncertainties.

Cautionary Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q (this “Report”) includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”).

We have based these forward-looking statements on our current expectations and projections about future events.

These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about us that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements.

In some cases, you can identify forward-looking statements by terminology such as “may,” “should,” “could,” “would,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “continue,” or the negative of such terms or other similar expressions.

Such statements include, but are not limited to, possible business combinations and the financing thereof, and related matters, as well as all other statements other than statements of historical fact included in this Form 10-Q.

Factors that might cause or contribute to such a discrepancy include, but are not limited to, those described in our other Securities and Exchange Commission (“SEC”) filings.

We are a blank check company incorporated in the Cayman Islands on April 30, 2021 for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses (the “Business Combination”).

Our sponsor is Cantor EP Holdings VI, LLC (the “Sponsor”).

Although we are not limited in our search for target businesses to a particular industry or sector for the purpose of consummating the Business Combination, we are focusing our search on companies operating in the financial services, digital assets, healthcare, real estate services, technology and software industries.

We are an early stage and emerging growth company and, as such, we are subject to all of the risks associated with early stage and emerging growth companies.

Our registration statement for our initial public offering (the “Initial Public Offering”) became effective on January 30, 2026.

On February 6, 2026, we consummated the Initial Public Offering of 11,500,000 Class A ordinary shares, par value $0.0001 per share (“Class A ordinary shares” and such Class A ordinary shares issued in the Initial Public Offering, the “Public Shares”), including 1,500,000 Public Shares issued pursuant to the full exercise of the underwriter’s over-allotment option, at a purchase price of $10.00 per share, generating gross proceeds of $115,000,000.

Simultaneously with the closing of the Initial Public Offering, we consummated the sale of 300,000 Class A ordinary shares (the “Private Placement Shares”) to the Sponsor, at a purchase price of $10.00 per share, in a private placement (the “Private Placement”), generating gross proceeds of $3,000,000.

Following the closing of the Initial Public Offering and the Private Placement on February 6, 2026, an amount of $115,000,000 ($10.00 per share) from the net proceeds of the Initial Public Offering and the Private Placement was placed in a trust account (the “Trust Account”) located in the United States with Continental Stock Transfer & Trust Company (“Continental”) acting as trustee.

The funds in the Trust Account were initially held in an account at J.P.

Morgan Chase Bank, N.A., and on February 9, 2026, were transferred to an account at CF Secured, LLC (“CF Secured”), an affiliate of the Sponsor.

The Trust Account may be invested only in U.S.

government securities, within the meaning set forth in Section 2(a)(16) of the Investment Company Act of 1940, as amended (the “Investment Company Act”), with a maturity of 185 days or less or in any open-ended investment company that holds itself out as a money market fund selected by us meeting the conditions of paragraphs (d)(2), (d)(3) and (d)(4) of Rule 2a-7 of the Investment Company Act, or held as cash or cash items (including in demand deposit accounts) at a bank as determined by us, until the earlier of:

(i) the completion of the Business Combination or (ii) the distribution of the Trust Account, as described below.

We have until February 6, 2028 (24 months from the closing of the Initial Public Offering), or until such earlier liquidation date as our board of directors may approve or such later date as our shareholders may approve pursuant to our amended and restated memorandum and articles of association (the “Combination Period”), to consummate the Business Combination.

If we are unable to complete the Business Combination by the end of the Combination Period, we will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but not more than ten business days thereafter, redeem the Public Shares, at a per share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to us to pay taxes, divided by the number of then outstanding Public Shares, which redemption will completely extinguish public shareholders’ rights as shareholders (including the right to receive further liquidating distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of our remaining shareholders and our board of directors, liquidate and dissolve, subject, in each case, to our obligations under Cayman Islands law to provide for claims of creditors and the requirements of other applicable law.

On January 24, 2024, the SEC adopted the new rules and regulations for special purpose acquisition companies (“SPACs”), which became effective on July 1, 2024 (the “2024 SPAC Rules”).

The 2024 SPAC Rules require, among other matters, (i) additional disclosures relating to SPAC business combination transactions;

(ii) additional disclosures relating to dilution and to conflicts of interest involving sponsors and their affiliates in both SPAC initial public offerings and business combination transactions;

(iii) additional disclosures regarding projections included in SEC filings in connection with proposed business combination transactions;

and (iv) the requirement that both the SPAC and its target company be co-registrants for business combination registration statements.

In addition, the SEC’s adopting release provided guidance describing circumstances in which a SPAC could become subject to regulation under the Investment Company Act, including its duration, asset composition, business purpose, and the activities of the SPAC and its management team in furtherance of such goals.

The 2024 SPAC Rules may materially affect our ability to negotiate and complete the Business Combination and may increase the costs and time related thereto.

In March 2024, the SEC adopted final rules relating to The Enhancement and Standardization of Climate-Related Disclosures for Investors , that would require registrants to provide climate-related disclosures in registration statements and certain periodic reports.

The final rules set forth requirements for disclosure of material climate-related risks, mitigation activities, targets and goals, and governance.

The rules also require disclosure of certain greenhouse gas emissions metrics and attestation of emissions disclosures.

Subsequent to the issuance of the final rules, in April 2024, the SEC has released an order staying the final rules pending judicial review of all of the petitions challenging the rules and in March 2025, the SEC voted to end its defense of the rules.

We are continuing to monitor the developments pertaining to the rules.

However, if these reporting requirements are implemented following the completion of judicial review, they may significantly increase the complexity of our periodic reporting as a U.S.

This Quarterly Report on Form 10-Q for the

quarterly period ended June 30, 2026 (this “Report”) includes forward-looking statements within the meaning of Section 27A

of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934,

as amended (the “Exchange Act”).

We have based these forward-looking statements on our current expectations and projections

about future events.

These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about us that

may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels

of activity, performance or achievements expressed or implied by such forward-looking statements.

When used in this Report, words such

as “may,” “should,” “could,” “would,” “expect,” “plan,” “anticipate,”

“believe,” “estimate,” “continue,” or the negative of such terms or other similar expressions, identify

forward-looking statements.

Such statements include, but are not limited to, possible business combinations and the financing thereof,

and related matters, as well as all other statements other than statements of historical fact included in this Report.

Factors that might

cause or contribute to such a discrepancy include, but are not limited to, those described in our other United States Securities and Exchange

Commission (“SEC”) filings.

We are a blank check company incorporated in the

Cayman Islands on April 30, 2021 for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization

or similar business combination with one or more businesses (the “Business Combination”).

Our sponsor is Cantor EP Holdings

VI, LLC (the “Sponsor”).

Although we are not limited in our search for

target businesses to a particular industry or sector for the purpose of consummating the Business Combination, we are focusing our search

on companies operating in the financial services, digital assets, healthcare, real estate services, technology and software industries.

We are an early stage and emerging growth company and, as such, we are subject to all of the risks associated with early stage and emerging

growth companies.

Our registration statement for our initial public

offering (the “Initial Public Offering”) became effective on January 30, 2026.

On February 6, 2026, we consummated the Initial

Public Offering of 11,500,000 Class A ordinary shares, par value $0.0001 per share (“Class A ordinary shares” and such Class

A ordinary shares issued in the Initial Public Offering, the “Public Shares”), including 1,500,000 Public Shares issued pursuant

to the full exercise of the underwriter’s over-allotment option, at a purchase price of $10.00 per share, generating gross proceeds

of $115,000,000.

Simultaneously with the closing of the Initial

Public Offering, we consummated the sale of 300,000 Class A ordinary shares (the “Private Placement Shares”) to the Sponsor,

at a purchase price of $10.00 per share, in a private placement (the “Private Placement”), generating gross proceeds of $3,000,000.

Following the closing of the Initial Public Offering

and the Private Placement on February 6, 2026, an amount of $115,000,000 ($10.00 per share) from the net proceeds of the Initial Public

Offering and the Private Placement was placed in a trust account (the “Trust Account”) located in the United States with Continental

Stock Transfer & Trust Company (“Continental”) acting as trustee.

The funds in the Trust Account were initially held in

an account at J.P.

Morgan Chase Bank, N.A., and on February 9, 2026, were transferred to an account at CF Secured, LLC (“CF Secured”),

an affiliate of the Sponsor.

The Trust Account may be (a) invested only in U.S.

government securities, within the meaning set forth in

Section 2(a)(16) of the Investment Company Act of 1940, as amended (the “Investment Company Act”), with a maturity of 185

days or less or in any open-ended investment company that holds itself out as a money market fund selected by us meeting the conditions

of paragraphs (d)(1), (d)(2), (d)(3) and (d)(4) of Rule 2a-7 of the Investment Company Act, (b) held as uninvested cash, or (c) held in

a non-interest or interest bearing demand deposit account at a U.S.

chartered commercial bank, until the earlier of:

(i) the completion

of the Business Combination or (ii) the distribution of the Trust Account, as described below.

We have until February 6, 2028 (24 months from

the closing of the Initial Public Offering), or until such earlier liquidation date as our board of directors may approve or such later

date as our shareholders may approve pursuant to our amended and restated memorandum and articles of association (the “Combination

Period”), to consummate the Business Combination.

If we are unable to complete the Business Combination by the end of the Combination

Period, we will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but not

more than ten business days thereafter, redeem the Public Shares, at a per share price, payable in cash, equal to the aggregate amount

then on deposit in the Trust Account including interest earned on the funds held in the Trust Account and not previously released to us

to pay taxes, divided by the number of then outstanding Public Shares, which redemption will completely extinguish holders of the Public

Shares’ rights as shareholders (including the right to receive further liquidating distributions, if any), subject to applicable

law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of our remaining shareholders

and our board of directors, liquidate and dissolve, subject, in each case, to our obligations under Cayman Islands law to provide for

claims of creditors and the requirements of other applicable law.

In March 2024, the SEC adopted final rules relating

to The Enhancement and Standardization of Climate-Related Disclosures for Investors , that would require registrants to provide

climate-related disclosures in registration statements and certain periodic reports (the “2024 Climate Rules”).

The 2024 Climate

Rules set forth requirements for disclosure of material climate-related risks, mitigation activities, targets and goals, and governance.

The 2024 Climate Rules also require disclosure of certain greenhouse gas emissions metrics and attestation of emissions disclosures.

to the issuance of the 2024 Climate Rules, in April 2024, the SEC released an order staying the 2024 Climate Rules pending judicial review

of all of the petitions challenging the 2024 Climate Rules and in March 2025, the SEC voted to end its defense of the 2024 Climate Rules.

In May 2026, the SEC issued a proposal for stakeholder comment to fully rescind the 2024 Climate Rules.

We are continuing to monitor the

developments pertaining to the 2024 Climate Rules.

However, if these reporting requirements are implemented, they may significantly increase

the complexity of our periodic reporting as a U.S.

public company.

Liquidity and Capital Resources

As of March 31, 2026 and December 31, 2025, we had approximately $50,000 and $0, respectively, of cash in our operating account.

As of March 31, 2026 and December 31, 2025, we had working capital of approximately $170,000 and a working capital deficit of approximately $201,000, respectively.

As of March 31, 2026 and December 31, 2025, approximately $544,000 and $0, respectively, of the amount earned on funds held in the Trust Account was available to pay taxes, if any.

Our liquidity needs through March 31, 2026 have been satisfied through a contribution of $25,000 from the Sponsor in exchange for the issuance of the Class B ordinary shares, a loan of approximately $125,000 from the Sponsor pursuant to a promissory note (the “Pre-IPO Note”), the proceeds from the consummation of the Private Placement with the Sponsor not held in the Trust Account and the Sponsor Loan (as defined below).

As of June 30, 2026 and December 31, 2025, we

had $25,000 and $0, respectively, of cash in our operating account.

As of June 30, 2026 and December 31, 2025, we had working capital

of approximately $42,000 and a working capital deficit of approximately $201,000, respectively.

As of June 30, 2026 and December 31, 2025,

approximately $1,607,000 and $0, respectively, of the amount earned on funds held in the Trust Account was available to pay taxes, if

Our liquidity needs through June 30, 2026 have

been satisfied through a contribution of $25,000 from the Sponsor in exchange for the issuance of the Class B ordinary shares, par value

$0.0001 per share (“Class B ordinary shares”), a loan of approximately $125,000 from the Sponsor pursuant to a promissory

note (the “Pre-IPO Note”), the proceeds from the consummation of the Private Placement with the Sponsor not held in the Trust

Account and the Sponsor Loan (as defined below).

We fully repaid the Pre-IPO Note upon completion of the Initial Public Offering.

In addition, in order to finance transaction costs in connection with a Business Combination, the Sponsor has committed to loan us up to $1,750,000 to fund our expenses relating to investigating and selecting a target business and other working capital requirements (the “Sponsor Loan”), of which no amount has been drawn by us as of both March 31, 2026 and December 31, 2025.

If the Sponsor Loan is insufficient, the Sponsor or an affiliate of the Sponsor, or certain of our officers and directors may, but are not obligated to, provide us additional loans (“Working Capital Loans”).

As of both March 31, 2026 and December 31, 2025, we did not have any borrowings under the Working Capital Loans.

Based on the foregoing, management believes that we will have sufficient working capital and borrowing capacity from the Sponsor to meet our needs through the earlier of the consummation of the Business Combination or one year from the date of this Report.

Over this time period, we will be using these funds for paying existing accounts payable, identifying and evaluating prospective target businesses, performing due diligence on prospective target businesses, paying for travel expenditures, selecting the target business to merge with or acquire, and structuring, negotiating and consummating the Business Combination.

in order to finance transaction costs in connection with a Business Combination, the Sponsor has committed to loan us up to $1,750,000

to fund our expenses relating to investigating and selecting a target business and other working capital requirements (the “Sponsor

Loan”), of which approximately $86,000 and $0 has been drawn by us as of June 30, 2026 and December 31, 2025, respectively.

If the Sponsor Loan is insufficient, the Sponsor

or an affiliate of the Sponsor, or certain of our officers and directors may, but are not obligated to, provide us additional loans (“Working

Capital Loans”).

As of both June 30, 2026 and December 31, 2025, we did not have any borrowings under the Working Capital Loans.

Based on the foregoing, management believes that

we will have sufficient working capital and borrowing capacity from the Sponsor to meet our needs through the earlier of the consummation

of the Business Combination or one year from the date of this Report.

Over this time period, we will be using these funds for paying existing

accounts payable, identifying and evaluating prospective target businesses, performing due diligence on prospective target businesses,

paying for travel expenditures, selecting the target business to merge with or acquire, and structuring, negotiating and consummating

the Business Combination.

Results of Operations

Our entire activity from inception through March 31, 2026 related to our formation, the Initial Public Offering and to our efforts toward locating and completing a suitable Business Combination.

Our entire activity from inception through June

30, 2026 related to our formation, the Initial Public Offering and to our efforts toward locating and completing a suitable Business Combination.

We have neither engaged in any operations nor generated any revenues to date.

We will not generate any operating revenues until after completion of the Business Combination.

We have generated non-operating income in the form of interest income on amounts held in the Trust Account.

We have incurred, and expect to incur, increased expenses as a result of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence expenses.

For the three months ended March 31, 2026, we had net income of approximately $435,000, which consisted of approximately $568,000 of interest income on investments held in the Trust Account, partially offset by approximately $115,000 of general and administrative expenses, and approximately $18,000 of administrative expenses incurred pursuant to the administrative services agreement with the Sponsor.

For the three months ended March 31, 2025, we had no net income or loss.

Factors That May Adversely Affect Our Results of Operations

Our results of operations and our ability to complete the Business Combination may be adversely affected by various factors that could cause economic uncertainty and volatility in the financial markets, many of which are beyond our control.

Our results of operations and our ability to consummate the Business Combination could be impacted by, among other things, downturns in the financial markets or in economic conditions, fluctuations in interest rates, and geopolitical instability, such as the military conflicts in Ukraine and the Middle East.

We cannot at this time predict the likelihood of one or more of the above events, their duration or magnitude or the extent to which they may negatively impact our business and our ability to complete the Business Combination.

We will not generate any operating revenues until after

completion of the Business Combination.

We have generated non-operating income in the form of interest income on amounts held in the Trust

We have incurred, and expect to incur, increased expenses as a result of being a public company (for legal, financial reporting,

accounting and auditing compliance), as well as for due diligence expenses.

For the three months ended June 30, 2026, we had

net income of approximately $874,000, which consisted of approximately $1,035,000 of interest income on investments held in the Trust

Account, partially offset by approximately $131,000 of general and administrative expenses, and $30,000 of administrative expenses incurred

pursuant to the administrative services agreement with the Sponsor.

For the three months ended June 30, 2025, we had

a net loss of approximately $1,000, which consisted of approximately $1,000 of general and administrative expenses.

For the six months ended June 30, 2026, we had

net income of approximately $1,309,000, which consisted of approximately $1,603,000 of interest income on investments held in the Trust

Account, partially offset by approximately $245,000 of general and administrative expenses, and approximately $49,000 of administrative

expenses incurred pursuant to the administrative services agreement with the Sponsor.

For the six months ended June 30, 2025, we had

a net loss of approximately $1,000, which consisted of approximately $1,000 of general and administrative expenses.

Factors That May Adversely Affect Our Results of Operations and

Ability to Complete the Business Combination

Our results of operations and our ability to complete

the Business Combination may be adversely affected by various factors that could cause economic uncertainty and volatility in the financial

markets, many of which are beyond our control.

Our results of operations and our ability to consummate the Business Combination could

be impacted by, among other things, downturns in the financial markets or in economic conditions, fluctuations in interest rates, and

geopolitical instability, such as the military conflicts in Ukraine and the Middle East.

We cannot at this time predict the likelihood

of one or more of the above events, their duration or magnitude or the extent to which they may negatively impact our business and our

ability to complete the Business Combination.

Contractual Obligations

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We engaged Cantor Fitzgerald & Co.

(“CF&Co.”), an affiliate of the Sponsor, pursuant to the business combination marketing agreement as an advisor in connection with the Business Combination to assist us in holding meetings with our shareholders to discuss the potential Business Combination and the target business’ attributes, introduce us to potential investors that are interested in purchasing our securities and assist us with our press releases and public filings in connection with the Business Combination.

an affiliate of the Sponsor, pursuant to the business combination marketing agreement, dated February 4, 2026, as an advisor in connection

with the Business Combination to assist us in holding meetings with our shareholders to discuss the potential Business Combination and

the target business’ attributes, introduce us to potential investors that are interested in purchasing our securities and assist

us with our press releases and public filings in connection with the Business Combination.

We will pay CF&Co.

a cash fee of $4,325,000 for such services upon the consummation of the Business Combination.

a cash fee of $4,325,000

for such services upon the consummation of the Business Combination.

Related Party Loans

In order to finance transaction costs in connection with the Business Combination, the Sponsor has committed up to $1,750,000 in the Sponsor Loan to be provided to us to fund expenses relating to investigating and selecting a target business and other working capital requirements, including $10,000 per month for office space, administrative and shared personnel support services that will be paid to the Sponsor.

The Sponsor Loan does not bear interest and is repayable by us to the Sponsor upon consummation of the Business Combination;

provided that, at any time beginning 60 days after the date of the Initial Public Offering, at the Sponsor’s option, all or any portion of the amount outstanding under the Sponsor Loan may be converted into Class A ordinary shares at a conversion price of $10.00 per share.

In order to finance transaction costs in connection

with the Business Combination, the Sponsor has committed up to $1,750,000 in the Sponsor Loan to be provided to us to fund expenses relating

to investigating and selecting a target business and other working capital requirements, including $10,000 per month for office space,

administrative and shared personnel support services that will be paid to the Sponsor, pursuant to the administrative services agreement,

dated February 4, 2026.

The Sponsor Loan does not bear interest and is repayable by us to the Sponsor upon consummation of the Business

provided that, at any time beginning 60 days after the date of the Initial Public Offering, at the Sponsor’s option,

all or any portion of the amount outstanding under the Sponsor Loan may be converted into Class A ordinary shares at a conversion price

of $10.00 per share.

Otherwise, the Sponsor Loan would be repaid only out of funds held outside the Trust Account.

If the Sponsor Loan is insufficient, the Sponsor or an affiliate of the Sponsor, or certain of our officers and directors may, but are not obligated to, provide us Working Capital Loans.

As of both March 31, 2026 and December 31, 2025, we had no borrowings under the Sponsor Loan or the Working Capital Loans.

See Note 4—“Related Party Transactions” and Note 5—“Commitments and Contingencies” to our unaudited condensed financial statements in Part I, Item 1 of this Report for information regarding additional contractual obligations.

If the Sponsor Loan

is insufficient, the Sponsor or an affiliate of the Sponsor, or certain of our officers and directors may, but are not obligated to, provide

us with Working Capital Loans.

As of June 30, 2026 and December 31, 2025, we

had approximately $86,000 and $0, respectively, outstanding under the Sponsor Loan.

As of both June 30, 2026 and December 31, 2025, we

had no borrowings under the Working Capital Loans.

See Note 4—“Related Party Transactions”

and Note 5—“Commitments and Contingencies” to our unaudited condensed financial statements in Part I, Item 1 of this

Report for information regarding additional contractual obligations.

Critical Accounting Policies and Estimates

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Use of Estimates

The preparation of our financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, income and expenses, and the disclosure of contingent assets and liabilities, in our financial statements.

These accounting estimates require the use of assumptions about matters, some of which are highly uncertain at the time of estimation.

Management bases its estimates on historical experience and on various other assumptions it believes to be reasonable under the circumstances, the results of which form the basis for making judgments, and we evaluate these estimates on an ongoing basis.

To the extent actual experience differs from the assumptions used, our balance sheets, unaudited condensed statements of operations, unaudited condensed statements of comprehensive income, unaudited condensed statements of shareholders’ equity (deficit) and unaudited condensed statements of cash flows could be materially affected.

We believe that the following accounting policies involve a higher degree of judgment and complexity.

The preparation of our financial statements and

related disclosures in conformity with accounting principles generally accepted in the United States of America requires management to

make estimates and assumptions that affect the reported amounts of assets and liabilities, income and expenses, and the disclosure of

contingent assets and liabilities, in our financial statements.

These accounting estimates require the use of assumptions about matters,

some of which are highly uncertain at the time of estimation.

Management bases its estimates on historical experience and on various other

assumptions it believes to be reasonable under the circumstances, the results of which form the basis for making judgments, and we evaluate

these estimates on an ongoing basis.

To the extent actual experience differs from the assumptions used, our balance sheets, unaudited

condensed statements of operations, unaudited condensed statements of comprehensive income (loss), unaudited condensed statements of shareholders’

equity (deficit) and unaudited condensed statements of cash flows could be materially affected.

We believe that the following accounting

policies involve a higher degree of judgment and complexity.

Emerging Growth Company

Section 102(b)(1) of the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”) exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a registration statement under the Securities Act of 1933, as amended (the “Securities Act”) declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards.

The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable.

We have elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, we, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.

This may make comparison of our unaudited condensed financial statements with another public company, which is neither an emerging growth company nor an emerging growth company that has opted out of using the extended transition period, difficult or impossible because of the potential differences in accounting standard used.

Section 102(b)(1) of the Jumpstart Our

Business Startups Act of 2012 (the “JOBS Act”) exempts emerging growth companies from being required to comply with new

or revised financial accounting standards until private companies (that is, those that do not have an effective registration

statement under the Securities Act or a class of securities registered under the Exchange Act) are required to comply with the new

or revised financial accounting standards.

The JOBS Act provides that a company can elect to opt out of the extended transition

period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable.

We have elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has

different application dates for public or private companies, we, as an emerging growth company, can adopt the new or revised

standard at the time private companies adopt the new or revised standard.

This may make comparison of our unaudited condensed

financial statements in Part I, Item 1 of this Report with another public company, which is neither an emerging growth company nor

an emerging growth company that has opted out of using the extended transition period, difficult or impossible because of the

potential differences in accounting standard used.

Class A Ordinary Shares Subject to Possible Redemption

We account for the Class A ordinary shares subject to possible redemption in accordance with the guidance in Accounting Standards Codification (“ASC”) 480, Distinguishing Liabilities from Equity .

Class A ordinary shares subject to mandatory redemption (if any) are classified as liability instruments and measured at fair value.

Shares of conditionally redeemable Class A ordinary shares (including Class A ordinary shares that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within our control) are classified as temporary equity.

At all other times, Class A ordinary shares are classified as shareholders’ equity.

All of the Public Shares feature certain redemption rights that are considered to be outside of our control and subject to the occurrence of uncertain future events.

Accordingly, as of March 31, 2026 and December 31, 2025, 11,500,000 and 0 Class A ordinary shares subject to possible redemption, respectively, are presented as temporary equity outside of the shareholders’ equity (deficit) section of our balance sheets.

We recognize any subsequent changes in redemption value immediately as they occur and adjust the carrying value of redeemable Class A ordinary shares to the redemption value at the end of each reporting period.

Immediately upon the closing of the Initial Public Offering, we recognized the accretion from initial book value to redemption amount value of redeemable Class A ordinary shares.

This method would view the end of the reporting period as if it were also the redemption date for the security.

The change in the carrying value of redeemable Class A ordinary shares also resulted in charges against Additional paid-in capital and Retained earnings (Accumulated deficit).

Net Income Per Ordinary Share

We comply with the accounting and disclosure requirements of ASC 260, Earnings Per Share .

Net income per ordinary share is computed by dividing net income applicable to shareholders by the weighted average number of ordinary shares outstanding for the applicable periods.

We apply the two-class method in calculating earnings per share and allocate net income pro rata to Class A ordinary shares subject to possible redemption, nonredeemable Class A ordinary shares and Class B ordinary shares.

Accretion associated with the redeemable Class A ordinary shares is excluded from earnings per share as the redemption value is not in excess of the fair value.

See Note 2—“Summary of Significant Accounting Policies” to our unaudited condensed financial statements in Part I, Item 1 of this Report for additional information regarding these critical accounting policies and other significant accounting policies.

Off-Balance Sheet Arrangements and Contractual Obligations

As of March 31, 2026, we did not have any off-balance sheet arrangements as defined in Item 303(a)(4)(ii) of Regulation S-K and did not have any commitments or contractual obligations.

Quantitative and Qualitative Disclosures about Market Risk.

We are a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and are not required to provide the information otherwise required under this Item.

We account for the Class A ordinary shares subject

to possible redemption in accordance with the guidance in the Financial Accounting Standards Board’s Accounting Standards Codification

(“ASC”) 480, Distinguishing Liabilities from Equity .

Class A ordinary shares subject to mandatory redemption (if any)

are classified as liability instruments and measured at fair value.

Shares of conditionally redeemable Class A ordinary shares (including

Class A ordinary shares that feature redemption rights that are either within the control of the holder or subject to redemption upon

the occurrence of uncertain events not solely within our control) are classified as temporary equity.

At all other times, Class A ordinary

shares are classified as shareholders’ equity.

All of the Public Shares feature certain redemption rights that are considered to

be outside of our control and subject to the occurrence of uncertain future events.

Accordingly, as of June 30, 2026 and December 31,

2025, 11,500,000 and 0 Class A ordinary shares subject to possible redemption, respectively, are presented as temporary equity outside

of the shareholders’ equity (deficit) section of our balance sheets.

We recognize any subsequent changes in redemption value immediately

as they occur and adjust the carrying value of redeemable Class A ordinary shares to the redemption value at the end of each reporting

Immediately upon the closing of the Initial Public Offering, we recognized the accretion from initial book value to redemption

amount value of redeemable Class A ordinary shares.

This method would view the end of the reporting period as if it were also the redemption

date for the security.

The change in the carrying value of redeemable Class A ordinary shares also resulted in charges against Additional

paid-in capital and Retained earnings (Accumulated deficit).

Net Income (Loss) Per Ordinary Share

We comply with the accounting and disclosure requirements

of ASC 260, Earnings Per Share .

Net income (loss) per ordinary share is computed by dividing net income (loss) applicable to shareholders

by the weighted average number of ordinary shares outstanding for the applicable periods.

We apply the two-class method in calculating

earnings per share and allocate net income (loss) pro rata to Class A ordinary shares subject to possible redemption, nonredeemable Class

A ordinary shares and Class B ordinary shares.

Accretion associated with the redeemable Class A ordinary shares is excluded from earnings

per share as the redemption value is not in excess of the fair value.

See Note 2—“Summary of Significant

Accounting Policies” to our unaudited condensed financial statements in Part I, Item 1 of this Report for additional information

regarding these critical accounting policies and other significant accounting policies.

Quantitative and Qualitative Disclosures

About Market Risk.

We are a smaller reporting company as defined

by Rule 12b-2 of the Exchange Act and are not required to provide the information otherwise required under this Item.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis