Summary
New Providence Acquisition Corp. (a SPAC, later to become AST SpaceMobile) filed its 10-Q for the quarter ended September 30, 2020. As of this filing, the company was an "emerging growth company" and a "smaller reporting company" and was not yet operating, its primary activity being the search for a business combination. The company held approximately $232 million in its Trust Account, primarily invested in U.S. Treasury Bills, which was earmarked for a future business combination. The company reported a net loss of $55,049 for the three months ended September 30, 2020, and a net income of $740,226 for the nine months ended September 30, 2020. This net income was largely driven by interest income from its Trust Account, as the company had no operating revenues. The primary expenses were formation and operating costs, and the company noted substantial doubt about its ability to continue as a going concern beyond its combination period (March 31, 2021) if a business combination was not consummated.
Financial Highlights
36 data points| Revenue | $2.09M |
| Cost of Revenue | $833K |
| Gross Profit | $1.26M |
| R&D Expenses | $17K |
| Operating Expenses | $6.46M |
| Operating Income | -$153K |
| Net Income | -$5.18M |
| EPS (Basic) | $-0.43 |
| Shares Outstanding (Basic) | 8.76M |
Key Highlights
- 1As of September 30, 2020, the company reported $232,143,216 in marketable securities held in its Trust Account, primarily invested in U.S. Treasury Bills.
- 2The company incurred formation and operating costs of $152,823 for the three months ended September 30, 2020, and $492,011 for the nine months ended September 30, 2020.
- 3Net loss for the three months ended September 30, 2020, was $55,049, offset by interest income from the Trust Account.
- 4Net income for the nine months ended September 30, 2020, was $740,226, largely due to interest income from the Trust Account and a small unrealized gain on marketable securities.
- 5The company had $357,013 in cash outside of the Trust Account for working capital and operational activities.
- 6There were 23,000,000 shares of Class A common stock and 5,750,000 shares of Class B common stock issued and outstanding as of November 12, 2020.
- 7The company acknowledged substantial doubt about its ability to continue as a going concern if a business combination was not completed by its deadline of March 31, 2021.