NEW BEGINNINGS ACQUISITION CORP.
November 3, 2020
|November 3, 2020||Adjustments||As Adjusted|
|Current asset - cash||$||1,617,885||$||-||$||1,617,885|
|Total current assets||1,617,885||-||1,617,885|
|Cash held in trust account||101,000,000||15,000,000||(a)||116,150,000|
|Liabilities and Stockholders’ Equity|
|Deferred underwriting discount||3,500,000||525,000||(d)||4,025,000|
|Commitments and Contingencies|
|Common stock subject to possible redemption, 9,318,602 and 10,766,622 shares at redemption value, respectively||94,117,880||14,625,000||(e)||108,742,880|
|Preferred stock, $0.0001 par value; 1,000,000 shares authorized; none issued and outstanding||-||-||-|
|Common stock, $0.0001 par value; 100,000,000 shares authorized; 4,056,398 and 4,153,378 shares issued and outstanding (excluding 9,318,602 and 10,766,622 shares subject to possible redemption, respectively)||406||150||(a)||416|
|Additional paid-in capital||5,000,060||14,999,850||(a)||5,000,050|
|Total Stockholders’ Equity||5,000,005||-||5,000,005|
|Total Liabilities and Stockholders’ Equity||$||102,617,885||$||15,150,000||$||117,767,885|
The accompany notes are an integral part of the financial statement.
NOTE 1 – CLOSING OF OVER-ALLOTMENT OPTION AND ADDITIONAL PRIVATE PLACEMENT
The accompanying unaudited Pro Forma Balance Sheet presents the Balance Sheet of New Beginnings Acquisition Corp. (the “Company”) as of November 3, 2020, adjusted for the closing of the underwriters’ over-allotment option and related transactions which occurred on November 9, 2020 and November 12, 2020 as described below.
The Company consummated its initial public offering (the “IPO”) of 10,000,000 units (the “Units”). Each Unit consists of one share of common stock, $0.0001 par value per share and one warrant to purchase one share of common stock. Each warrant entitles the holder to purchase one share of common stock at a price of $11.50 per share, subject to adjustment. The Units were sold at a price of $10.00 per Unit, generating gross proceeds to the Company of $100,000,000. The Company granted the underwriters in the IPO (the “Underwriters”) a 45-day option to purchase up to 1,500,000 additional Units to cover over-allotments, if any. On November 9, 2020, the Underwriters partially exercised the over-allotment option to purchase 1,000,000 Units (the “Over-Allotment Units”), and on November 12, 2020, the Underwriters fully exercised the over-allotment option to purchase the remaining 500,000 Over-Allotment Units, generating an aggregate of gross proceeds of $15,000,000, and incurred $300,000 in deferred underwriting fees.
Simultaneously with the closing of the exercise of the overallotment option, the Company completed the private sale (the “Private Placement”) of an aggregate of 45,000 private units (the “Private Units”) to New Beginnings Sponsor, LLC, a Delaware limited liability company (the “Sponsor”), at a purchase price of $10 per Private Units, generating gross proceeds of $450,000.
Upon closing of the IPO, the Private Placement, and the sale of the Over-Allotment Units, a total of $116,150,000 ($10.10 per Unit) was placed in a U.S.-based trust account, with Continental Stock Transfer & Trust Company acting as trustee.
Pro forma adjustments to reflect the exercise of the Underwriters’ over-allotment option and the sale of the Private Units described above are as follows:
|Pro Forma Entries||Debit||Credit|
|(a)||Cash held in trust account||$||15,000,000|
|Additional paid-in capital||$||14,999,850|
|To record sale of 1,500,000 Overallotment Units at $10.00 per Unit|
|(b)||Cash held in trust account||$||450,000|
|Additional paid-in capital||$||449,995|
|To record sale of 45,000 Private Units at $10.00 per Private Unit|
|(c)||Additional paid-in capital||$||300,000|
|Cash held in trust account||$||300,000|
|To record payment of cash underwriting fee|
|(d)||Additional paid-in capital||$||525,000|
|Deferred underwriting discount||$||525,000|
|To record additional deferred underwriting fee on overallotment option|
|Additional paid-in capital||$||14,624,855|
|Common stock subject to possible redemption||$||14,625,000|
|To record common stock out of permanent equity into mezzanine redeemable stock|