What changed in this filing

/stocks — the workspaceLOADING

Item 2. Management’s Discussion and Analysis

2025-08-14 compared with 2025-05-15 · 190 added, 153 removed, 2 unchanged (99% of the section changed)

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

in this report (the “Quarterly Report”) to “we,” “us” or the “Company” refer to Tavia

Acquisition Corp.

References to our “management” or our “management team” refer to our officers and directors,

references to the “Sponsor” refer to Tavia Sponsor PTE.

LTD., and references to “EBC” refers to EarlyBirdCapital,

The following discussion and analysis of the Company’s financial condition and results of operations should be read in conjunction

with the financial statements and the notes thereto contained elsewhere in this Quarterly Report.

Certain information contained in the

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

Note Regarding Forward-Looking Statements

Quarterly Report includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933

and Section 21E of the Exchange Act that are not historical facts and involve risks and uncertainties that could cause actual results

to differ materially from those expected and projected.

All statements, other than statements of historical fact included in this Quarterly

Report including, without limitation, statements in this “Management’s Discussion and Analysis of Financial Condition and

Results of Operations” regarding our ability to complete an initial business combination (a “Business Combination”),

the Company’s financial position, business strategy and the plans and objectives of management for future operations, are forward-looking

Words such as “expect,” “believe,” “anticipate,” “intend,” “estimate,”

“seek” and variations and similar words and expressions are intended to identify such forward-looking statements.

Such forward-looking

statements relate to future events or future performance, but reflect management’s current beliefs, based on information currently

A number of factors could cause actual events, performance or results to differ materially from the events, performance and

results discussed in the forward-looking statements.

For information identifying important factors that could cause actual results to

differ materially from those anticipated in the forward-looking statements, please refer to the Risk Factors section of the Company’s

Annual Report on Form 10-K filed with the U.S.

Management’s Discussion and Analysis

of Financial Condition and Results of Operations

References in this report

(the “Quarterly Report”) to “we,” “us” or the “Company” refer to Tavia Acquisition Corp.

References to our “management” or our “management team” refer to our officers and directors, references to the

“Sponsor” refer to Tavia Sponsor PTE.

LTD., and references to “EBC” refers to EarlyBirdCapital, Inc.

The following

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

statements and the notes thereto contained elsewhere in this Quarterly Report.

Certain information contained in the discussion and analysis

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

Special Note Regarding Forward-Looking Statements

This Quarterly Report includes

“forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of

the Exchange Act that are not historical facts and involve risks and uncertainties that could cause actual results to differ materially

from those expected and projected.

All statements, other than statements of historical fact included in this Quarterly Report including,

without limitation, statements in this “Management’s Discussion and Analysis of Financial Condition and Results of Operations”

regarding our ability to complete an initial business combination (a “Business Combination”), the Company’s financial

position, business strategy and the plans and objectives of management for future operations, are forward-looking statements.

as “expect,” “believe,” “anticipate,” “intend,” “estimate,” “seek”

and variations and similar words and expressions are intended to identify such forward-looking statements.

Such forward-looking statements

relate to future events or future performance, but reflect management’s current beliefs, based on information currently available.

A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed

in the forward-looking statements.

For information identifying important factors that could cause actual results to differ materially

from those anticipated in the forward-looking statements, please refer to the Risk Factors section of the Company’s Annual Report

on Form 10-K for the year ended December 31, 2024 filed with the U.S.

Securities and Exchange Commission (the “SEC”).

The Company’s securities

filings can be accessed on the EDGAR section of the SEC’s website at www.sec.gov.

Except as expressly required by applicable securities

law, the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new

information, future events or otherwise.

are a blank check company incorporated in the Cayman Islands on March 7, 2024 formed for the purpose of effecting a merger, share

exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses.

effectuate our Business Combination using cash derived from the proceeds of the Initial Public Offering and the sale of the Private Placement

Units, our shares, debt or a combination of cash, shares and debt.

expect to continue to incur significant costs in the pursuit of our acquisition plans.

We cannot assure you that our plans to complete

a Business Combination will be successful.

of Operations

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

Our only activities from March 7, 2024 (inception)

through March 31, 2025 were organizational activities and those necessary to prepare for the Initial Public Offering, described below.

We do not expect to generate any operating revenues until after the completion of our initial Business Combination.

We expect to generate

non-operating income in the form of interest income on marketable securities held after the Initial Public Offering.

We expect that we

will 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 in connection with searching for, and completing, a Business Combination.

the three months ended March 31, 2025, we had net income of $974,311, which consisted of interest earned on marketable securities held

in Trust Account of $ 1,215,702, offset by general and administrative costs of $241,391.

the period from March 7, 2024 (Inception) through March 31, 2024, we had net loss of $40,541, which consisted of general and

administrative costs.

and Capital Resources

December 5, 2024, we consummated the Initial Public Offering of 10,000,000 Units at $10.00 per Unit, generating gross proceeds of $100,000,000.

Simultaneously

with the closing of the Initial Public Offering, we consummated the sale of 350,000 Private Placement Units at a price of $10.00 per

Private Placement Unit in a private placement to the Sponsor and EarlyBirdCapital, Inc., the representative of the underwriters in the

Initial Public Offering, generating gross proceeds of $3,500,000.

the closing of the Initial Public Offering on December 5, 2024, an amount of $100,500,000 ($10.05 per Unit) from the net proceeds of

the sale of the Units, and a portion of the net proceeds from the sale of the Private Placement Units, was placed in the trust account.

We incurred $3,305,995 in Initial Public Offering related cost, consisting of $2,300,000 of cash underwriting fee and $1,305,995 of other

offering costs.

December 9, 2024, the underwriters notified us of their exercise of the over-allotment option in full and purchased 1,500,000 additional

units at $10.00 per unit upon the closing of the over-allotment option, generating gross proceeds of $15,000,000.

Simultaneously with

the closing of the over-allotment option on December 11, 2024, the Company consummated the private placement of an aggregate of 37,500

private placement units to the Sponsor and EBC at a price of $10.00 per unit, generating gross proceeds of $375,000.

After giving effect

to the exercise of the over-allotment option, an aggregate of 11,500,000 Units have been issued in the Initial Public Offering and the

over-allotment at an aggregate offering price of $115,000,000, and an aggregate amount of $115,575,000 ($10.05 per unit) from the net

proceeds of the sale of the public units, and a portion of the net proceeds from the sale of the private placement units, was placed

in the Trust Account.

the three months ended March 31, 2025, cash used in operating activities was $248,029.

Net income of $974,311 was a result of interest

earned on marketable securities held in the Trust Account of $1,215,702.

Changes in operating assets and liabilities used $6,638 of cash

for operating activities.

of March 31, 2025, we had marketable securities held in the Trust Account of $117,142,639 (including approximately $1,567,639 of interest

We intend to use substantially all of the funds held in the Trust Account, including any amounts representing interest earned

on the Trust Account, which interest shall be net of taxes payable and excluding deferred underwriting commissions, to complete our Business

We may withdraw interest from the Trust Account to pay taxes, if any.

To the extent that our share capital or debt is used,

in whole or in part, as consideration to complete a Business Combination, the remaining proceeds held in the Trust Account will be used

as working capital to finance the operations of the target business or businesses, make other acquisitions and pursue our growth strategies.

of March 31, 2025, we had cash of $655,630 and working capital deficit of $72,805.

We intend to use the funds held outside the Trust

Account primarily to identify and evaluate target businesses, perform business due diligence on prospective target businesses,

travel to and from the offices, plants or similar locations of prospective target businesses or their representatives or owners,

review corporate documents and material agreements of prospective target businesses, structure, negotiate and complete a Business

order to fund working capital deficiencies or finance transaction costs in connection with a Business Combination, our Sponsor or an

affiliate of our Sponsor or certain of our officers and directors may, but are not obligated to, loan us funds as may be required.

we complete a Business Combination, we may repay such loaned amounts out of the proceeds of the Trust Account released to us.

event that a Business Combination does not close, we may use a portion of the working capital held outside the Trust Account to repay

such loaned amounts, but no proceeds from our Trust Account would be used for such repayment.

do not believe we will need to raise additional funds in order to meet the expenditures required for operating our business for at least

the next 12 months.

However, if our estimate of the costs of identifying a target business, undertaking in-depth due diligence and negotiating

a Business Combination are less than the actual amount necessary to do so, we may have insufficient funds available to operate our business

prior to our initial Business Combination.

Moreover, we may need to obtain additional financing either to complete our Business Combination

or because we become obligated to redeem a significant number of our public shares upon completion of our Business Combination, in which

case we may issue additional securities or incur debt in connection with such Business Combination.

Sheet Financing Arrangements

have no obligations, assets or liabilities, which would be considered off-balance sheet arrangements as of March 31, 2025.

participate in transactions that create relationships with unconsolidated entities or financial partnerships, often referred to as variable

interest entities, which would have been established for the purpose of facilitating off-balance sheet arrangements.

We have not entered

into any off-balance sheet financing arrangements, established any special purpose entities, guaranteed any debt or commitments of other

entities, or purchased any non-financial assets.

do not have any long-term debt, capital lease obligations, operating lease obligations or long-term liabilities, other than an agreement

to pay an aggregate of $10,000 per month for certain utilities and administrative support services.

We began incurring these fees on

December 3, 2024 and will continue to incur these fees monthly until the earlier of the completion of the Business Combination and our

underwriters were entitled to a cash underwriting discount of $0.20 per Unit, or $2,300,000 in the aggregate, which was paid at the closing

of the Initial Public Offering.

have engaged EarlyBirdCapital, Inc.

(“EBC”) as an advisor in connection with its Business Combination to assist in holding

meetings with the Company shareholders to discuss the potential Business Combination and the target business’ attributes, introduce

the Company to potential investors that are interested in purchasing its securities in connection with its initial Business Combination

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

The Company will pay EBC a cash fee for

such services upon the consummation of its initial Business Combination in an amount equal to 3.5% of the gross proceeds of the Initial

Public Offering.

In addition, the Company will pay EBC a cash fee in an amount equal to 1.0% of the total consideration payable in the

initial Business Combination if it introduces the Company to the target business with whom it completes an initial Business Combination;

provided that the foregoing fee will not be paid prior to the date that is 60 days from the effective date of the Initial Public

Offering, unless FINRA determines that such payment would not be deemed underwriters’ compensation in connection with the Initial

Public Offering pursuant to FINRA Rule 5110.

Accounting Policies

preparation of 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, disclosure

of contingent assets and liabilities at the date of the financial statements, and income and expenses during the periods reported.

results could materially differ from those estimates.

Company’s securities filings can be accessed on the EDGAR section of the SEC’s website at www.sec.gov.

Except as expressly

required by applicable securities law, the Company disclaims any intention or obligation to update or revise any forward-looking statements

whether as a result of new information, future events or otherwise.

We are a blank check company

incorporated in the Cayman Islands on March 7, 2024 formed for the purpose of effecting a merger, share exchange, asset acquisition,

share purchase, reorganization, or similar business combination with one or more businesses.

We intend to effectuate our Business Combination

using cash derived from the proceeds of the Initial Public Offering and the sale of the Private Placement Units, our shares, debt or

a combination of cash, shares and debt.

We expect to continue to

incur significant costs in the pursuit of our acquisition plans.

We cannot assure you that our plans to complete a Business Combination

will be successful.

Results of Operations

We have neither engaged

in any operations nor generated any operating revenues to date.

Our only activities from March 7, 2024 (inception) through June

30, 2025 were organizational activities and those necessary to prepare for the Initial Public Offering, described below.

We do not expect

to generate any operating revenues until after the completion of our Business Combination.

We expect to generate non-operating income

in the form of interest income on marketable securities held after the Initial Public Offering.

We expect that we will 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 in connection with searching for, and completing, a Business Combination.

For the three months ended

June 30, 2025, we had net income of $645,820, which consisted of interest earned on marketable securities held in Trust Account of $1,221,289,

offset by general and administrative costs of $575,469.

For the six months ended

June 30, 2025, we had net income of $1,620,131, which consisted of interest earned on marketable securities held in Trust Account of

$2,436,991, offset by general and administrative costs of $816,860.

For the three months ended

June 30, 2024, we had net loss of $44,679, which consisted of general and administrative costs.

For the period from March

7, 2024 (Inception) through June 30, 2024, we had net loss of $85,220, which consisted of general and administrative costs.

Liquidity and Capital Resources

On December 5, 2024, we

consummated the Initial Public Offering of 10,000,000 Units at $10.00 per Unit, generating gross proceeds of $100,000,000.

Simultaneously with the

closing of the Initial Public Offering, we consummated the sale of 350,000 Private Placement Units at a price of $10.00 per Private Placement

Unit in a private placement to the Sponsor and EarlyBirdCapital, Inc., the representative of the underwriters in the Initial Public Offering,

generating gross proceeds of $3,500,000.

Following the closing of the

Initial Public Offering on December 5, 2024, an amount of $100,500,000 ($10.05 per Unit) from the net proceeds of the sale of the Units,

and a portion of the net proceeds from the sale of the Private Placement Units, was placed in the Trust Account.

We incurred $3,605,995

in Initial Public Offering related cost, consisting of $2,300,000 of cash underwriting fee and $1,305,995 of other offering costs.

On December 9, 2024, the

underwriters notified us of their exercise of the over-allotment option in full and purchased 1,500,000 additional units at $10.00 per

unit upon the closing of the over-allotment option, generating gross proceeds of $15,000,000.

Simultaneously with the closing of the

over-allotment option on December 11, 2024, the Company consummated the private placement of an aggregate of 37,500 private placement

units to the Sponsor and EBC at a price of $10.00 per unit, generating gross proceeds of $375,000.

After giving effect to the exercise

of the over-allotment option, an aggregate of 11,500,000 Units have been issued in the Initial Public Offering and the over-allotment

at an aggregate offering price of $115,000,000, and an aggregate amount of $115,575,000 ($10.05 per unit) from the net proceeds of the

sale of the Public Units, and a portion of the net proceeds from the sale of the private placement units, was placed in the Trust Account.

For the six months ended

June 30, 2025, cash used in operating activities was $431,833.

Net income of $1,620,131 was a result of interest earned on marketable

securities held in the Trust Account of $2,436,991.

Changes in operating assets and liabilities provided $385,027 of cash for operating

For the period from March

7, 2024 (Inception) through June 30, 2024, cash used in operating activities was $0.

Net loss of $85,220 was a result of payment of formation

costs through issuance of founder shares of $5,000, payment of formation costs through promissory note of $3,027 and payment of operation

costs through promissory note of $61,099.

Changes in operating assets and liabilities provided $16,094 of cash for operating activities.

As of June 30, 2025, we

had marketable securities held in the Trust Account of $118,363,928 (including approximately $2,788,928 of interest income).

to use substantially all of the funds held in the Trust Account, including any amounts representing interest earned on the Trust Account,

which interest shall be net of taxes payable and excluding deferred underwriting commissions, to complete our Business Combination.

may withdraw interest from the Trust Account to pay taxes, if any.

To the extent that our share capital or debt is used, in whole or

in part, as consideration to complete a Business Combination, the remaining proceeds held in the Trust Account will be used as working

capital to finance the operations of the target business or businesses, make other acquisitions and pursue our growth strategies.

As of June 30, 2025, we

had cash of $471,826 and working capital deficit of $648,274.

We intend to use the funds held outside the Trust Account primarily to

identify and evaluate target businesses, perform business due diligence on prospective target businesses, travel to and from the offices,

plants or similar locations of prospective target businesses or their representatives or owners, review corporate documents and material

agreements of prospective target businesses, structure, negotiate and complete a Business Combination.

In order to fund working

capital deficiencies or finance transaction costs in connection with a Business Combination, our Sponsor or an affiliate of our Sponsor

or certain of our officers and directors may, but are not obligated to, loan us funds as may be required.

If we complete a Business Combination,

we may repay such loaned amounts out of the proceeds of the Trust Account released to us.

In the event that a Business Combination does

not close, we may use a portion of the working capital held outside the Trust Account to repay such loaned amounts, but no proceeds from

our Trust Account would be used for such repayment.

We do not believe we will

need to raise additional funds in order to meet the expenditures required for operating our business for at least the next 12 months.

However, if our estimate of the costs of identifying a target business, undertaking in-depth due diligence and negotiating a Business

Combination are less than the actual amount necessary to do so, we may have insufficient funds available to operate our business prior

to our Business Combination.

Moreover, we may need to obtain additional financing either to complete our Business Combination or because

we become obligated to redeem a significant number of our public shares upon completion of our Business Combination, in which case we

may issue additional securities or incur debt in connection with such Business Combination.

Off-Balance Sheet Financing Arrangements

We have no obligations,

assets or liabilities, which would be considered off-balance sheet arrangements as of June 30, 2025.

We do not participate in transactions

that create relationships with unconsolidated entities or financial partnerships, often referred to as variable interest entities, which

would have been established for the purpose of facilitating off-balance sheet arrangements.

We have not entered into any off-balance

sheet financing arrangements, established any special purpose entities, guaranteed any debt or commitments of other entities, or purchased

any non-financial assets.

Contractual Obligations

We do not have any long-term

debt, capital lease obligations, operating lease obligations or long-term liabilities, other than an agreement to pay an aggregate of

$10,000 per month for certain utilities and administrative support services.

We began incurring these fees on December 3, 2024 and will

continue to incur these fees monthly until the earlier of the completion of the Business Combination and our liquidation.

The underwriters were entitled

to a cash underwriting discount of $0.20 per Unit, or $2,300,000 in the aggregate, which was paid at the closing of the Initial Public

We have engaged EarlyBirdCapital,

(“EBC”) as an advisor in connection with its Business Combination to assist in holding meetings with the Company shareholders

to discuss the potential Business Combination and the target business’ attributes, introduce the Company to potential investors

that are interested in purchasing its securities in connection with its Business Combination and assist with press releases and public

filings in connection with the Business Combination.

The Company will pay EBC a cash fee for such services upon the consummation of its

Business Combination in an amount equal to 3.5% of the gross proceeds of the Initial Public Offering.

In addition, the Company will pay

EBC a cash fee in an amount equal to 1.0% of the total consideration payable in the Business Combination if it introduces the Company

to the target business with whom it completes an Business Combination;

provided that the foregoing fee will not be paid prior to the date

that is 60 days from the effective date of the Initial Public Offering, unless FINRA determines that such payment would not be deemed

underwriters’ compensation in connection with the Initial Public Offering pursuant to FINRA Rule 5110.

Critical Accounting Policies

The preparation of 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, disclosure of contingent assets

and liabilities at the date of the financial statements, and income and expenses during the periods reported.

Actual results could materially

differ from those estimates.

We have identified the following critical accounting policies:

Shares Subject to Redemption

account for our ordinary shares subject to possible conversion in accordance with the guidance in Accounting Standards Codification (“ASC”)

Topic 480 “Distinguishing Liabilities from Equity.” Ordinary shares subject to mandatory redemption are classified as a liability

instrument and measured at fair value.

Conditionally redeemable ordinary shares (including 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, ordinary shares are classified as shareholders’ equity.

shares feature certain redemption rights that are considered to be outside of our control and subject to occurrence of uncertain future

Accordingly, ordinary shares subject to possible redemption are presented at redemption value as temporary equity, outside of

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

Income Per Ordinary Share

income per ordinary share is computed by dividing net income by the weighted average number of ordinary shares outstanding during the

Accretion associated with the redeemable Ordinary shares is excluded from earnings per share as the redemption value approximates

Accounting Standards

does not believe that any other recently issued, but not yet effective, accounting standards, if currently adopted, would have a material

effect on our financial statements.

Quantitative and Qualitative Disclosures About Market Risk

required for smaller reporting companies.

Ordinary Shares Subject to Redemption

We account for our ordinary

shares subject to possible conversion in accordance with the guidance in ASC Topic 480 “Distinguishing Liabilities from Equity.”

Ordinary shares subject to mandatory redemption are classified as a liability instrument and measured at fair value.

Conditionally redeemable

ordinary shares (including 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.

times, ordinary shares are classified as shareholders’ equity.

Our ordinary shares feature certain redemption rights that are considered

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

Accordingly, ordinary shares subject to possible redemption

are presented at redemption value as temporary equity, outside of the shareholders’ (deficit) equity section of our balance sheets.

Net Income Per Ordinary Share

Net income per ordinary

share is computed by dividing net income by the weighted average number of ordinary shares outstanding during the period.

Accretion associated

with the redeemable Ordinary shares is excluded from earnings per share as the redemption value approximates fair value.

Recent Accounting Standards

Management does not believe

that any other recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on our

financial statements.

Quantitative and

Qualitative Disclosures About Market Risk

Not required for smaller reporting companies.

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