UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For
the quarterly period ended
OR
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from ________ to ________
Commission
file number:
(Exact
name of registrant as specified in its charter)
(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification Number) | |
|
||
(Address of principal executive offices) |
(Zip Code) |
Registrant’s
telephone number, including area code: +1
Indicate
by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required
to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Indicate
by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant
to Rule 405
Indicate
by check mark whether the registrant is a large accelerated filer, an accelerated
Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Smaller reporting company | ||||||
If
an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for
complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange
Act.
Indicate
by check mark whether the registrant is a shell company (as defined
Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class: | Trading Symbol(s) |
Name of Each Exchange on Which Registered: | ||
The Stock Market LLC | ||||
The Stock Market LLC | ||||
The Stock Market LLC |
Securities registered pursuant to Section 12(g) of the Act: None
As
of May 20,
BLUE WHALE ACQUISITION CORP I
Quarterly Report on Form 10-Q
Table of Contents
i
Item 1. Financial Statements
BLUE WHALE ACQUISITION CORP I
CONDENSED BALANCE SHEETS
March 31, 2022 | December 31, 2021 | |||||||
(Unaudited) | ||||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash | $ | $ | ||||||
Prepaid Expenses - current | ||||||||
Total Current Assets | ||||||||
FPA | ||||||||
Prepaid Expenses – non-current | ||||||||
Cash held in Trust Account | ||||||||
TOTAL ASSETS | $ | $ | ||||||
LIABILITIES, CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION AND SHAREHOLDERS’ DEFICIT | ||||||||
Current liabilities | ||||||||
Accrued Expenses | $ | $ | ||||||
Promissory Note Payable | ||||||||
Accounts Payable – related party | ||||||||
Total Current Liabilities | ||||||||
Convertible Note – related party | ||||||||
Warrant Liability | ||||||||
Deferred underwriting fee payable | ||||||||
Total Liabilities | ||||||||
Commitments and Contingencies (Note 6) | ||||||||
Class A Ordinary Shares Subject to Possible Redemption, shares at redemption value at March 31, 2022 and December 31, 2021, respectively | ||||||||
Shareholders’ Deficit | ||||||||
Preferred shares, $ par value; shares authorized; outstanding | ||||||||
Class A ordinary shares, $ par value; shares authorized; issued and outstanding (excluding 22,940,811 shares subject to redemption) at March 31, 2022 and December 31, 2021, respectively | ||||||||
Class F ordinary shares, $ par value; shares authorized, shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively | ||||||||
Class G ordinary shares, $ par value; shares authorized, shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively | ||||||||
Additional paid-in capital | ||||||||
Accumulated Deficit | ( | ) | ( | ) | ||||
Total Shareholders’ Deficit | ( | ) | ( | ) | ||||
TOTAL LIABILITIES, CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION AND SHAREHOLDERS’ DEFICIT | $ | $ |
The accompanying notes are an integral part of these unaudited condensed financial statements.
1
BLUE WHALE ACQUISITION CORP I
CONDENSED STATEMENTS OF OPERATIONS
(UNAUDITED)
For
the Three Months Ended March 31, 2022 | For
the period from March 10, 2021 (inception) through March 31, 2021 | |||||||
Formation costs and other operating expenses | $ | $ | ||||||
Loss from operations | ( | ) | ( | ) | ||||
Other income (expense): | ||||||||
Change in FV of warrant liability | ||||||||
Change in FV of FPA | ( | ) | ||||||
Other income (expense), net | ||||||||
Net income (loss) | $ | $ | ( | ) | ||||
Weighted average shares outstanding of Class A redeemable ordinary shares | ||||||||
Basic and diluted net income (loss) per share, Class A ordinary shares | $ | $ | ( | ) | ||||
Weighted average shares outstanding, Class F ordinary shares non-redeemable shares | ||||||||
Basic and diluted net income per share, Class F ordinary shares, non-redeemable shares | $ | $ | ( | ) |
The accompanying notes are an integral part of these unaudited condensed financial statements.
2
BLUE WHALE ACQUISITION CORP I
CONDENSED
STATEMENTS OF
FOR
THE THREE MONTHS ENDED MARCH 31, 2022 AND FOR THE PERIOD FROM MARCH 10, 2021 (INCEPTION) THROUGH
(UNAUDITED)
Class F | Class G | Additional | Accumulated | Total | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Deficit | ||||||||||||||||||||||
Balance—January 1, 2022 | $ | $ | $ | $ | ( | ) | $ | ( | ) | |||||||||||||||||||
Net income | — | — | ||||||||||||||||||||||||||
Balance—March 31, 2022 (unaudited) | $ | $ | $ | $ | ( | ) | $ | ( | ) |
Class F | Class G | Additional | Accumulated | Total | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Equity | ||||||||||||||||||||||
Balance—March 10, 2021 (inception) | $ | $ | $ | $ | $ | |||||||||||||||||||||||
Issuance of Class F ordinary shares to Sponsor | — | |||||||||||||||||||||||||||
Issuance of Class G ordinary shares to Sponsor | ||||||||||||||||||||||||||||
Net loss | — | — | ( | ) | ( | ) | ||||||||||||||||||||||
Balance—March 31, 2021 (unaudited) | $ | $ | $ | $ | ( | ) | $ |
The
accompanying notes are an integral part of these unaudited condensed financial statements.
3
BLUE WHALE ACQUISITION CORP I
CONDENSED STATEMENTS OF CASH FLOWS
FOR
THE THREE MONTHS ENDED MARCH 31, 2022 AND
FOR THE PERIOD FROM MARCH 10, 2021 (INCEPTION) THROUGH MARCH 31, 2021
(UNAUDITED)
For
the Three Months Ended March 31, 2022 | For
the period March 10, 2021 (inception) through March 31, 2021 | |||||||
Cash Flows from Operating Activities: | ||||||||
Net income (loss) | $ | $ | ( | ) | ||||
Adjustments to reconcile net income to net cash used in operating activities: | ||||||||
Change in fair value of Warrant Liability | ( | ) | ||||||
Change in fair value of FPA | ||||||||
Changes in operating assets and liabilities: | ||||||||
Prepaid expenses | ||||||||
Accrued expenses | ||||||||
Accounts payable – related party | ||||||||
Net cash used in operating activities | $ | ( | ) | $ | ||||
Cash Flows from Financing Activities: | ||||||||
Proceeds from convertible note – related party | ||||||||
Net cash provided by financing activities | $ | $ | ||||||
Net Change in Cash | ||||||||
Cash – Beginning of period | ||||||||
Cash – End of period | $ | $ | ||||||
Non-cash investing and financing activities: | ||||||||
Deferred offering costs included in accrued offering costs | $ | $ | ||||||
Deferred offering costs paid by Sponsor in exchange for issuance of founder shares | $ | $ |
The accompanying notes are an integral part of these unaudited condensed financial statements.
4
BLUE WHALE ACQUISITION CORP I
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
NOTE
1. DESCRIPTION OF ORGANIZATION AND BUSINESS
Blue
Whale Acquisition Corp I (the “Company”) is a blank check company incorporated in the Cayman Islands on March
As
of March 31, 2022, the Company had not yet commenced any operations. All activity for the period March 10, 2021 (inception)
through
The
registration statement for the Company’s Initial Public Offering was declared effective on August 3, 2021. On August 6,
2021 the Company consummated the Initial Public Offering of
On
August 16, 2021, Goldman Sachs & Co. LLC and BofA Securities (the “underwriters”) partially exercised the over-allotment
option granted to them by the Company and purchased an additional
Following
the closing of the Initial Public Offering on August 6, 2021, an amount of $
Transaction
costs amounted to $
The
Company’s management has broad discretion with respect to the specific application of the net proceeds of the Initial Public
Offering and the sale of the Private Placement Warrants, although substantially all of the net proceeds are intended to be applied
generally toward consummating a Business Combination. Nasdaq rules provide that the Business Combination must be with one or more
target businesses that together have a fair market value equal to at least
5
The
Company will provide its holders of the outstanding Public Shares (the “public shareholders”) with the opportunity
to redeem all or a portion of their Public Shares upon the completion of a Business Combination either (i) in connection
with a shareholder meeting called to approve the Business Combination or (ii) by means of a tender offer. In connection with
a proposed Business Combination, the Company may seek shareholder approval of a Business Combination at a meeting called for such
purpose at which shareholders may seek to redeem their shares, regardless of whether they vote for or against a Business Combination.
The Company will proceed with a Business Combination only if the Company has net tangible assets of at least $
Notwithstanding
the foregoing, if the Company seeks shareholder approval of a Business Combination and it does not conduct redemptions pursuant
to the tender offer rules, the Company’s Certificate of Incorporation provides that, a public shareholder, together with
any affiliate of such shareholder or any other person with whom such shareholder is acting in concert or as a “group”
(as defined under Section 13 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), will be
restricted from seeking redemption rights with respect to
The
public shareholders will be entitled to redeem their shares for a pro rata portion of the amount then in the Trust Account (initially
$
If
a shareholder vote is not required and the Company does not decide to hold a shareholder vote for business or other legal reasons,
the Company will, pursuant to its Certificate of Incorporation, offer such redemption pursuant to the tender offer rules of the
Securities and Exchange Commission (the “SEC”), and file tender offer documents containing substantially the same
information as would be included in a proxy statement with the SEC prior to completing a Business Combination.
The
Company’s Sponsor has agreed (a) to vote its Founder Shares (as defined in
The
Company will have until August 6, 2023 to consummate a Business Combination (the “Combination Period”). If the
Company is unable to complete a Business Combination within 24 months from the closing of the Initial Public Offering (the “Combination
Period”), the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as
reasonably possible but no more than ten business days thereafter, redeem the public shares, at a
6 The
Sponsor has agreed to waive its rights to liquidating distributions from the
In
order to protect the amounts held in the trust, the Sponsor has agreed that it will be liable to the Company if and to the extent
any claims by a third party for services rendered or products sold to the Company, or a prospective target business with which
the Company has entered into a written letter of intent, confidentiality or similar agreement or Business Combination agreement,
reduce the amount of funds in the Trust Account to below the lesser of (i) $10.00 per Public Share and (ii) the actual amount
per Public Share held in the Trust Account as of the day of liquidation of the Trust Account, if less than $
Risks
and Uncertainties In
February 2022, the Russian Federation and Belarus commenced military operations in Ukraine. As a result of this action, various
nations, including the United States, have instituted economic sanctions against the Russian Federation and Belarus. The impact
of this action and related sanctions on the global economy are not determinable as of the date of these financial statements and the
specific impact on the Company’s financial condition, results of operations, and cash flows is also not determinable as
of the date of these financial statements. Management
is currently evaluating the impact of the COVID-19 pandemic on the
7 NOTE
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis
of Presentation The
accompanying balance sheet is presented in conformity with accounting principles generally accepted in the United States of America
(“GAAP”) and pursuant to the rules and regulations of the
Liquidity,
Capital Resources
As
of March 31,
Emerging
Growth Company The
Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act, as modified by the
Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and it may take advantage of certain exemptions from
various reporting requirements that are applicable to other public companies that are not emerging growth companies including,
but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements
of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in its periodic
reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation
and shareholder approval of any golden parachute payments not previously approved.
Further,
Section 102(b)(1) of 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 Securities Act registration statement 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 Use
of Estimates The
preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the reporting period.
Making
estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect
of a condition, situation or set of circumstances that existed at the date of the financial statements, which management considered
in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual
results could differ significantly from those estimates.
8 Cash
The
Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents.
The Company had $
Cash
held in Trust Account At
March 31, 2022 and December 31, 2021, all of the assets held in the Trust Account were held in non-interest bearing cash accounts. Income
Taxes The
Company complies with the accounting and reporting requirements of ASC Topic 740, “Income Taxes,” which requires an
asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities
are computed for differences between the financial statements and tax bases of assets and liabilities that will result in future
taxable or deductible amounts, based on enacted tax laws and rates applicable to the periods in which the differences are expected
to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected
to be realized. ASC
Topic 740 prescribes a recognition threshold and a measurement attribute for the There
is currently no taxation imposed on income by the Government of the Cayman Islands. In accordance with Cayman income tax regulations,
income taxes are not levied on the Company. Consequently, income taxes are not reflected in the Company’s financial statements.
The Company’s management does not expect that the total amount of unrecognized tax benefits will materially change over
the next twelve months.
The
Company accounts for its Class A ordinary shares subject to possible redemption in accordance with the guidance in Accounting
Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from Equity.” Class A ordinary
shares subject to mandatory redemption are classified as a liability instrument and are 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 the Company’s control) are classified
as temporary equity. At all other times, ordinary shares are classified as shareholders’ equity. The Company’s ordinary
shares feature certain redemption rights that are considered to be outside of the Company’s control and subject to occurrence
of uncertain future events. Accordingly, at March 31, 2022 and December 31, 2021, Class A ordinary shares subject
to possible redemption are presented as temporary equity, outside of the shareholders’ equity section of the Company’s
balance sheet. As
of March 31, 2022 and December 31, 2021, the ordinary share reflected on the balance sheet are reconciled in the following table: 9 Offering
Costs Offering
costs consist of legal, accounting, underwriting fees and other costs incurred through the balance sheet date that are directly
related to the Initial Public Offering. Offering costs amounting to $ The
transfer of the Founder Shares (see Note 5) is in the scope of FASB ASC Topic 718, “Compensation-Stock Compensation”
(“ASC 718”). Under ASC 718, share-based compensation associated with equity-classified awards is measured at fair
value upon the grant date. The Founders Shares were granted subject to a performance condition (i.e., the occurrence of a Business
Combination). Share-based compensation would be recognized at the date a Business Combination is considered probable (i.e., upon
occurrence of a Business Combination) in an amount equal to the number of Founders Shares that ultimately vest multiplied by the
grant date fair value per share (unless subsequently modified) less the amount initially received for the purchase of the Founders
Shares. As of December 31, 2021, the Company determined that a Business Combination is not considered probable, and, therefore,
no share-based compensation expense has been recognized. The
fair value at the grant date of the shares transferred to the Company’s directors was $ or
$ per share. Upon consummation of an initial business combination, the Company will recognize $ in
compensation expense. Basic
income per ordinary share is computed by dividing net income applicable to ordinary shareholders by the weighted average number
of ordinary shares outstanding during the period. Consistent with FASB 480, ordinary shares subject to possible redemption, as
well as their pro rata share of undistributed trust earnings consistent with the two-class method, have been excluded from the
calculation of income per ordinary share for the three months ended March 31, 2022 and for the period from March 10, 2021 (inception)
to March 31, 2021. Such shares, if redeemed, only participate in their pro rata share of trust earnings. Diluted income per share
includes the incremental number of ordinary shares to be issued to settle warrants, as calculated using the treasury method. For
the three months ended March 31, 2022 and the period from March 10, 2021 (inception) to March 31, 2021, the Company did not have
any dilutive warrants, securities or other contracts that could potentially, be exercised or converted into ordinary shares. As
a result, diluted income per ordinary share is the same as basic income per ordinary share for all periods presented. A
reconciliation of net income per ordinary share is as follows: For
the Concentration
of Credit Risk Financial
instruments that potentially subject the Company to concentration of credit risk consist of a cash account in a financial institution
which, at times may exceed the Federal Depository Insurance Corporation coverage limit of $ 10 Fair
Value of Financial Instruments The
fair value of the Company’s assets and liabilities, which qualify as financial instruments under ASC Topic 820, “Fair
Value Measurement,” approximates the carrying amounts represented in the accompanying balance sheet, primarily due to their
short-term nature.
Derivative
Financial Instruments The
Company evaluates its financial instruments to determine if such instruments are derivatives or contain features that qualify
as embedded derivatives in accordance with ASC Topic 815, “Derivatives and Recently
Issued Accounting Standards
In
August 2020, FASB issued Accounting Standards Update (“ASU”) 2020-06, Debt — Debt with Conversion and Other
Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU
2020-06”) to simplify accounting for certain financial instruments. ASU 2020- 06 eliminates the current models that require
separation of beneficial conversion and cash conversion features from convertible instruments and simplifies the derivative scope
exception guidance pertaining to equity classification of contracts in an entity’s own equity. The new standard also introduces
additional disclosures for convertible debt and freestanding instruments that are indexed to and settled in an entity’s
own equity. ASU 2020-06 amends the diluted earnings per share guidance, including the requirement to use the if-converted method
for all convertible instruments. ASU 2020-06 is effective for fiscal years beginning after December 15, 2023, including interim
periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact this guidance
will have on its financial statements. Management
does not believe that any other recently issued, but not yet effective, accounting
NOTE
3. INITIAL PUBLIC OFFERING Pursuant
to the Initial Public Offering, the Company sold On
August 16, 2021, the underwriters partially exercised the over-allotment option and purchased an additional
NOTE
4. PRIVATE PLACEMENT Simultaneously
with the initial public offering, the Sponsor purchased an aggregate of
Each
Private Placement Warrant is identical to the warrants offered in the Initial Public Offering, except there will be no redemption
rights or liquidating distributions from the trust account with respect to Private Placement Warrants, which will expire worthless
if we do not consummate a Business Combination within the Combination Period.
11 NOTE
5. RELATED PARTY TRANSACTIONS Founder
Shares On
March 11, 2021, the Company issued an aggregate of On
August 18, 2021, the underwriters partially exercised the over-allotment option resulting in the issuance of an additional The
Sponsor has agreed not to transfer, assign or sell any of its Founder Shares until two years after the completion of a Business
Combination. Promissory
Note - Related Party On
March 11, 2021, the Sponsor agreed to loan the Company an aggregate of up to $ Related
Party Loans In
order to finance transaction costs in connection with a Business Combination, the Company’s Sponsor, an affiliate of the
Sponsor, or the Company’s officers and directors may, but are not obligated to, loan the Company funds as may be required
( On
February 16, 2022, the Company entered into a promissory note with the Sponsor pursuant to which the Sponsor agreed to loan the
Company up to an aggregate principal amount of $ In
addition, our Sponsor, officers and directors, or our respective affiliates will be reimbursed for any out-of-pocket expenses
incurred in connection with activities on our behalf such as identifying potential target businesses and performing due diligence
on suitable Business Combinations. Our audit committee will review on a quarterly basis all payments that were made by us to our
Sponsor, executive officers or directors, or our affiliates. Any such payments prior to an initial Business Combination will be
made using funds held outside the Trust Account. There was $ 12 Administrative
Support Agreement The
Company entered into an agreement whereby, commencing on August 6, 2021,
NOTE
6. COMMITMENTS AND CONTINGENCIES Registration
Rights The
holders of the Founder Shares, Private Placement Warrants and any warrants that may be issued upon conversion of the Working Capital
Loans (and in each case holders of their component securities, as applicable) will be entitled to registration rights pursuant
to a registration rights agreement to be signed prior to or on the effective date of the Initial Public Offering, requiring the
Company to register such securities for resale (in the case of the Founder Shares, only after conversion to our Class A ordinary
shares). The holders of the majority of these securities are entitled to make up to three demands, excluding short form demands,
that the Company register such securities. In Underwriting
Agreement Pursuant
to the Underwriting Agreement, the underwriters were paid a cash underwriting discount of Forward
Purchase Agreement The
Company entered into a forward purchase agreement that will provide for the purchase by it of up to an aggregate of Consistent
with the warrant liability discussed in Note
NOTE
7. CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION
The
Company’s Class A ordinary shares feature certain redemption rights that are considered to be outside of the Company’s
control and subject to the occurrence of future events. The Company is authorized to issue 13 NOTE
8. SHAREHOLDER’S DEFICIT Preferred
Shares—The Company is authorized to issue
Class A
Ordinary shares—The Company is authorized to issue up to shares of Class A, $ par value ordinary
shares. Holders of the Company’s ordinary shares are entitled to one vote for each share. At March 31, 2022 and December
31, 2021, there were Class A ordinary shares issued or outstanding, respectively. Founder
shares—The Company is authorized to issue up to
Shareholders
of record are entitled to one vote for each share held (on an
The
Class F founder shares will automatically convert into Class A ordinary shares on the first business day following the
closing of our initial business combination, at a ratio such that the number of Class A ordinary shares issuable upon conversion
of all Class F founder shares will equal, in the aggregate on an as converted basis,
The
Class G founder shares will convert into Class A ordinary shares after our initial business combination only to the
extent certain triggering events occur prior to the applicable anniversary of our initial business combination including three
triggering events based on our shares trading at
The
Class G ordinary shares were granted subject to a performance condition (i.e., the occurrence of a Business Combination),
as well as various market conditions (i.e., stock price targets after consummation of the Business Combination). The various market
conditions are considered in determining the grant date fair value of these instruments using Monte Carlo simulation. Compensation
expense related to
14 NOTE
9. WARRANT LIABILITIES
The
Company accounts for
Warrants—Public
Warrants may only be exercised for a whole number of shares. No fractional shares will be issued upon exercise of the Public Warrants.
The Public Warrants will become exercisable
The
Company will not be obligated to deliver any Class A ordinary shares pursuant to the exercise of a Public Warrant and will
have no obligation to settle such Public Warrant exercise unless a registration statement under the Securities Act covering the
issuance of the Class A ordinary shares issuable upon exercise of the Public Warrants is then effective and a prospectus
relating thereto is current, subject to the Company satisfying its obligations with respect to registration. No Public Warrant
will be exercisable for cash or on a cashless basis, and the Company will not be obligated to issue any shares to holders seeking
to exercise their Public Warrants, unless the issuance of the shares upon such exercise is registered or qualified under the securities
laws of the state of the exercising holder, or an exemption from registration is available.
The
Company has agreed that as soon as practicable, but in no event later than
Redemption
of warrants when the price per Class A ordinary share equals or exceeds $
The
Company will not redeem the warrants as described above unless an effective registration statement under the Securities Act covering
the issuance of the Class A ordinary shares issuable upon exercise of the warrants is then effective and a current prospectus
relating to those Class A ordinary shares is available throughout the 15 Redemption
of warrants when the price per Class A ordinary share equals or exceeds $
If
and when the Public Warrants become redeemable by the Company, the Company may not exercise its redemption right if the issuance
of shares of ordinary shares upon exercise of the warrants is not exempt from registration or qualification under applicable state
blue sky laws or the Company is unable to effect such registration or qualification.
The
exercise price and number of shares of Class A ordinary shares issuable upon exercise of the warrants may be adjusted in
certain circumstances including in the event of a share dividend, or recapitalization, reorganization, merger or consolidation.
Additionally, in no event will the Company be required to net cash settle the Public Warrants. If the Company is unable to complete
a Business Combination within the Combination Period and the Company liquidates the funds held in the Trust Account, holders of
warrants will not receive any of such funds with respect to their warrants, nor will they receive any distribution from the Company’s
assets held outside of the Trust Account with the respect to such warrants. Accordingly, the warrants may expire worthless. If
the Company calls the Public Warrants for redemption, management will have the option to require all holders that wish to exercise
the Public Warrants to do so on a “cashless basis,” as described in the warrant agreement. The exercise price and
number of shares of ordinary shares issuable upon exercise of the Public Warrants may be adjusted in certain circumstances including
in the event of a share dividend, extraordinary dividend or recapitalization, reorganization, merger or consolidation. If the
Company is unable to complete a Business Combination within the Combination Period and the Company liquidates the funds held in
the Trust Account, holders of warrants will not receive any of such funds with respect to their warrants, nor will they receive
any distribution from the Company’s assets held outside of the Trust Account with respect to such warrants. Accordingly,
the warrants may expire worthless.
In
addition, if (x) the Company issues additional shares of Class A ordinary shares or equity- linked securities for capital
raising purposes in connection with the closing of its initial Business Combination at an issue price or effective issue price
of less than $
The
Private Placement Warrants will be identical to the Public Warrants included in the Units being sold in the Initial Public Offering,
except that the Private Placement Warrants will and the shares of ordinary shares issuable upon the exercise of the Private Placement
Warrants will not be transferable, assignable or salable until
16 NOTE
10. FAIR VALUE MEASUREMENT
Fair
value is defined as the price that would
The
following table presents information about the Company’s The
following table presents information about the Company’s assets and liabilities that are measured at fair value on a recurring
basis at December 31, 2021 and indicates the fair value hierarchy of the valuation inputs the Company utilized to determine such
fair value: The
Warrants liabilities and FPA assets were accounted for Level
1 instruments include the Public Warrants. The Company uses inputs such as actual trade data, benchmark yields, quoted market
prices from dealers or brokers, and other similar sources to determine the fair value of its investments. The Public Warrants
for periods where no observable traded price was available are valued using a barrier option simulation. For the 17 Initial
Measurement Warrants The
Warrants were accounted for as liabilities in accordance with ASC 815-40 and are presented within warrant liabilities on our condensed
balance sheets. The warrant liabilities are measured at fair value at inception and on a recurring basis, with changes in fair
value presented within change in fair value of warrant liabilities in the condensed statements of operations. The
Private Warrants were valued using a Modified Black Scholes Option Pricing Model, which is considered to be a Level 3 fair value
measurement. The Modified Black Scholes model’s primary unobservable input utilized in determining the fair value of the
Private Warrants is the expected volatility of the ordinary shares. The expected volatility as of the IPO date was derived from
observable public warrant pricing on comparable ‘blank-check’ companies without an identified target. The expected
volatility as of subsequent valuation dates was implied from the Company’s own public warrant pricing. The
following table presents a summary of the changes in the fair value of the Private Placement Warrants, a Level 3 liability, measured
on a recurring basis. FPA
The
FPAs were valued using a discounted cash flows method, which is considered to be a Level 3 fair value measurement. Under the discounted
cash flow method utilized, the aggregate commitment of $
18 Note
11 – Subsequent Events Management
of the Company evaluated subsequent events and transactions that
19 Item 2.
Management’s Discussion and Analysis of Financial Condition and Results of Operations. References
to “we”, “us”, “our” or the “Company” are to Blue Whale Acquisition Corp I, except
where the context requires otherwise. The following discussion should be read in conjunction with our condensed financial statements
and related notes thereto included elsewhere in this report.
Cautionary
Note Regarding Forward-Looking Statements This
Quarterly Report includes “forward-looking statements” within the meaning of Section 27A of the Securities Act,
as amended, 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
Overview
We
are a blank check company incorporated as a Cayman Islands exempted company on March
Our
registration statement for our Initial Public Offering
Following
the closing of the Initial Public Offering on
20 If
we are unable to complete our initial Business Combination within the Combination Period
Liquidity
and Capital Resources On
August 6, 2021 the Company consummated the Initial Public Offering of 20,000,000 units, generating gross proceeds of $200,000,000.
Simultaneously with the closing of the Initial Public Offering, the Company consummated a private placement of 3,000,000 Warrants
at a price of $2.00 per Private Placement Warrant to its Sponsor, generating gross proceeds of $6,000,000. On
August 16, 2021, the underwriters partially exercised the over-allotment option and purchased an additional 2,940,811 Units, generating
an aggregate of gross proceeds of $29,408,110, incurred $588,162 in cash underwriting fees, and forfeited the remainder of the
option, which over-allotment closed on August 18, 2021. Simultaneously with the closing of the exercise of the over-allotment
option, the Company completed the private sale of an aggregate of 294,081 Private Warrants to the Company’s Sponsor, at
a purchase price of $2.00 per Private Warrant, generating gross proceeds of $588,162. Following
the consummation of the Initial Public Offering on August 6, 2021, an amount of $200,000,000 ($10.00 per Unit) from the net proceeds
of the sale of the Units in the Initial Public Offering was placed in the Trust Account. Transaction costs amounted to $13,781,962
consisting of $4,588,162 of underwriting fees, $8,029,284 of deferred underwriting fees and $1,164,516 of other costs. As
of March 31, 2022 and December 31, 2021, we had approximately $229,408,110 cash held in the Trust Account. We intend to use substantially
all of the funds held in the Trust Account and the proceeds from the sale of the forward purchase shares to complete our Business
Combination. To the extent that our shares or debt is used, in whole or in part, as consideration to complete our Business Combination,
the remaining proceeds held in the Trust Account will be used as working capital to finance the operations of the post-Business
Combination entity, make other acquisitions and pursue our growth strategies. As
of March 31, 2022 and December 31, 2021, we had cash of $2,406,907 and $66,156 held outside of the Trust Account, respectively.
We intend to use the funds held outside of the Trust Account primarily to identify and evaluate target businesses, perform business
due diligence on prospective target businesses, travel to and from the offices, properties, or similar locations of prospective
target businesses or their representative or owners, review corporate documents and material agreements of prospective target
businesses, and structure, negotiate and complete a Business Combination. In
order to finance transaction costs in connection with a Business Combination, our Sponsor or an affiliate of our Sponsor, or our
officers and directors may provide us working capital loans (“Working Capital Loans”). On February 16, 2022, the Sponsor
confirmed to the Company that it will provide any such Working Capital Loans for at least the next twelve months. On February
22, 2022, the Company drew down and received cash proceeds of $2.5 million. The outstanding balance under this loan is $2.5 million
as of March 31, 2022. 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.
Up to $2,500,000 of such loans may be convertible into warrants, at a price of $2.00 per warrant, at the option of the lender.
The warrants would be identical to the Private Placement Warrants. Based
on the foregoing, management believes that the Company will have sufficient working capital and borrowing capacity to meet its
needs through the earlier of the consummation of a Business Combination or one year from this filing. Over this time period, we
will be using the funds held outside of the Trust Account for paying existing accounts payable, identifying, and evaluating prospective
Business Combination candidates, 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. 21 Results
of Operations Our
only activities from inception through March 31, 2022, were those related to our formation, the preparation for our Initial Public
Offering and, since the closing of the Initial Public Offering, the search for a prospective initial Business Combination. We
have neither engaged in any operations nor generated any operating revenues to date. We will not generate any operating revenues
until after completion of our initial Business Combination, at the earliest. We incurred expenses as a result of being a public
company (including for legal, financial reporting, accounting and auditing compliance), as well as for expenses in connection
with searching for a prospective initial Business Combination.
For
the three months ended March 31, 2022, we had a net income of
For
the period from March 10, 2021 (inception) through March 31, 2021, we had a net loss of $ Related
Party Transactions Founder
Shares On
March 11, 2021, the Company issued an aggregate of 5,750,000 shares of Class B ordinary shares (the “Founder Shares”)
to the Sponsor for an aggregate purchase price of $25,000. The Founder Shares include an aggregate of up to 750,000 shares subject
to forfeiture by the Sponsor to the extent that the underwriters’ over-allotment is not exercised in full On
August 18, 2021, the underwriters partially exercised the over-allotment option resulting in the issuance of an additional 326,757
Class F ordinary shares and 653,513 Class G ordinary shares to
The
Sponsor has agreed not to transfer, assign or sell any of its Founder Shares until two years after the completion of a Business
Combination. Related
Party Loans On
March 11, 2021, the Sponsor In
order to finance transaction costs in connection with a Business Combination,
In
addition, our Sponsor, officers and directors, or our respective affiliates will be reimbursed for any out-of-pocket expenses
incurred in connection with activities on our behalf such as identifying potential target businesses and performing due diligence
on suitable Business Combinations. Our audit committee will review on a quarterly basis all payments that were made by us to our
Sponsor, executive officers or directors, or our affiliates. Any such payments prior to an initial Business Combination will be
made using funds held outside the Trust Account. There was 22 Contractual
Obligations Administrative
Services Agreement Commencing
on the date that our securities were first listed on Nasdaq through the earlier of consummation of the initial Business Combination
and the liquidation, we agreed to pay our Sponsor $10,000 per month for office space, secretarial and administrative services
provided to us by an affiliate of our Sponsor. There was no balance due to related party at March 31, 2022 and December 31, 2021
Registration
Rights Agreement
The
holders of the Founder Shares, Private Placement Shares, and any shares that may be issued upon conversion of Working Capital
Loans (and any Class
Underwriting
Agreement The
underwriters were paid a cash underwriting discount of 2.00% of the gross proceeds of the Initial Public Offering, or $4,
Forward
Purchase Agreement The
Company entered into a forward purchase agreement with MIC Capital Partners (Public) Parallel Cayman, LP, an affiliate of the
Sponsor, providing for the purchase, in its sole discretion, an aggregate of up to 5,000,000 Units for an aggregate purchase price
of up to $50,000,000, or $10.00 per Unit, in a private placement to close substantially concurrently with the closing of our initial
Business Combination. The forward purchase investor will determine in its sole discretion the specific number of forward purchase
Units it will purchase, if any, pursuant to the forward purchase agreement. Each forward purchase Unit will consist of one Class
Critical
Accounting Estimates This
management’s discussion and analysis of our financial condition and results of operations is based on our financial statements,
which have been prepared in accordance with
23 Derivative
Financial Instruments The
Company accounts for the Warrants and Forward Purchase Agreements (“FPAs”) as either equity-classified or liability-classified
instruments based on an assessment of the specific terms of the Warrants and FPAs and the applicable authoritative guidance in
Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 480, “Distinguishing
Liabilities from Equity” (“ASC 480”), and
Recently
Issued Accounting Standards In
August 2020, FASB issued Accounting Standards Update (“ASU”) 2020-06, Debt — Debt with Conversion and Other
Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU
2020-06”) to simplify accounting for certain financial instruments. ASU 2020- 06 eliminates the current models that require
separation of
Management
does not believe that
Item 3.
Quantitative and Qualitative Disclosures About Market Risk We
are a smaller reporting company as defined by Rule
Item 4.
Controls and Procedures
Evaluation
of Disclosure Controls and Procedures
Under
the supervision and with the participation of our management, including our principal executive officer and principal financial officer,
we conducted an evaluation of the effectiveness of our disclosure controls and procedures as of Disclosure
controls and procedures are designed to ensure that information required to be disclosed by us in our Exchange Act reports is recorded,
processed, summarized, and reported within the time periods specified in the SEC’s rules and forms, and that such information is
accumulated and communicated to our management, including our principal executive officer and principal financial officer or persons performing
similar functions, as appropriate to allow timely decisions regarding required disclosure. 24 Based
on this evaluation, our principal executive officer and principal financial officer have concluded that during the period covered by this
report, our disclosure controls and procedures were not effective as of The
Company, with the oversight of its Audit Committee, is actively undertaking remediation efforts to address the material weakness
The
Company is committed to maintaining an effective internal control environment, and although it has made progress in this area, additional
steps need to be taken, as indicated above, and
Changes
in Internal Control over Financial Reporting
There
was no change in our internal control over financial reporting that occurred during the
The
principal financial officer performed additional accounting and financial analyses and other post-closing procedures including consulting
with subject matter experts related to the accounting for certain complex
25 PART
II—OTHER INFORMATION Item 1.
Legal Proceedings None. Item 1A.
Risk Factors Factors
that could cause our actual results to differ materially from those in this Quarterly Report are any of the risks previously disclosed
in our Annual Report on Form 10-K filed with the SEC on April 11, 2022. Any of those factors could result in a significant or
material adverse effect on our results of operations or financial condition. Additional risk factors not presently known to us
or that we currently deem immaterial may also impair our business or results of operations. As of the date of this Quarterly Report,
there have been no material changes to the risk factors disclosed in our Annual Report on Form 10-K filed with the SEC on April
11, 2022, except for the following: Our
search for a Business Combination, and any target business with which we may ultimately consummate a Business Combination, may
be materially adversely affected by the geopolitical conditions resulting from the recent invasion of Ukraine by Russia and subsequent
sanctions against Russia, Belarus and related individuals and entities and the status of debt and equity markets, as well as protectionist
legislation in our target markets. United
States and global markets are experiencing volatility and disruption following the escalation of geopolitical tensions and the
recent invasion of Ukraine by Russia in February 2022. In response to such invasion, the North Atlantic Treaty Organization (“NATO”)
deployed additional military forces to eastern Europe, and the United States, the United Kingdom, the European Union and other
countries have announced various sanctions and restrictive actions against Russia, Belarus and related individuals and entities,
including the removal of certain financial institutions from the Society for Worldwide Interbank Financial Telecommunication (SWIFT)
payment system. Certain countries, including the United States, have also provided and may continue to provide military aid or
other assistance to Ukraine during the ongoing military conflict, increasing geopolitical tensions with Russia. The invasion of
Ukraine by Russia and the resulting measures that have been taken, and could be taken in the future, by NATO, the United States,
the United Kingdom, the European Union and other countries have created global security concerns that could have a lasting impact
on regional and global economies. Although the length and impact of the ongoing military conflict in Ukraine is highly unpredictable,
the conflict could lead to market disruptions, including significant volatility in commodity prices, credit and capital markets,
as well as supply chain interruptions. Additionally, Russian military actions and the resulting sanctions could adversely affect
the global economy and financial markets and lead to instability and lack of liquidity in capital markets. Any
of the abovementioned factors, or any other negative impact on the global economy, capital markets or other geopolitical conditions
resulting from the Russian invasion of Ukraine and subsequent sanctions, could adversely affect our search for a Business Combination
and any target business with which we may ultimately consummate a Business Combination. The extent and duration of the Russian
invasion of Ukraine, resulting sanctions and any related market disruptions are impossible to predict, but could be substantial,
particularly if current or new sanctions continue for an extended period of time or if geopolitical tensions result in expanded
military operations on a global scale. Any such disruptions may also have the effect of heightening many of the other risks described
in the “Risk Factors” section of our Annual Report on Form 10-K. If these disruptions or other matters of global concern
continue for an extensive period of time, our ability to consummate a Business Combination, or the operations of a target business
with which we may ultimately consummate a Business Combination, may be materially adversely affected. In
addition, the recent invasion of Ukraine by Russia, and the impact of sanctions against Russia and the potential for retaliatory
acts from Russia, could result in increased cyber-attacks against U.S. companies.
Changes
in laws or regulations or how such laws or regulations are interpreted or applied, or a failure to comply with any laws or regulations,
may adversely affect our business, including our ability to negotiate and complete our initial Business Combination, and results
of operations. We
are subject to laws and regulations enacted by national, regional and local governments. In particular, we are required to comply
with certain SEC and other legal requirements, our business combination may be contingent on our ability to comply with certain
laws and regulations and any post-business combination company may be subject to additional laws and regulations. Compliance with,
and monitoring of, applicable laws and regulations may be difficult, time consuming and costly. A failure to comply with applicable
laws or regulations, as interpreted and applied, could have a material adverse effect on our business, including our ability to
negotiate and complete our initial Business Combination, and results of operations. In addition, those laws and regulations and
their interpretation and application may change from time to time, including as a result of changes in economic, political, social
and government policies, and those changes could have a material adverse effect on our business, including our ability to negotiate
and complete our initial Business Combination, and results of operations. On
March 30, 2022, the SEC issued proposed rules that would, among other items, impose additional disclosure requirements in business
combination transactions involving SPACs and private operating companies; amend the financial statement requirements applicable
to business combination transactions involving such companies; update and expand guidance regarding the general use of projections
in SEC filings, as well as when projections are disclosed in connection with proposed business combination transactions; increase
the potential liability of certain participants in proposed business combination transactions; and impact the extent to which
SPACs could become subject to regulation under the Investment Company Act of 1940. These rules, if adopted, whether in the form
proposed or in revised form, may materially adversely affect our business, including our ability to negotiate and complete our
initial business combination and may increase the costs and time related thereto.
26 We have identified material weaknesses in our internal control
over financial reporting. This material weakness could continue to adversely affect our ability to report our results of operations and
financial condition accurately and in a timely manner. In
connection with the preparation of the Company’s financial statements as of December 31, 2021, the Company reevaluated the
classification of the complex financial instruments. After consultation with our independent registered public accounting firm, our
management and our audit committee concluded that the previously issued financial statements as of August 6, 2021 should be restated
to report all Class A ordinary shares subject to possible redemption as temporary equity. This error correction is reflected in our
Form 10Q for the period ended September 30, 2021. As
described elsewhere in this Quarterly Report, we identified a material weakness in our internal control over financial reporting
related to the accounting for the Company’s complex financial instruments. As a result of this material weakness, our
management has concluded that our internal controls over financial reporting were not effective as of March 31, 2022. For a
discussion of management’s consideration of the material weakness identified related to our accounting for complex financial
instruments we issued in connection with our IPO, see Part I, Item 4: Controls and Procedures included in this Quarterly Report. As
described in Item 4. “Controls and Procedures,” we have concluded that our internal controls over financial reporting
was ineffective as of March 31, 2022 because a material weakness existed in our internal control over financial reporting. We have
taken a number of measures to remediate the material weakness described therein; however, if we are unable to remediate our
material weakness in a timely manner or we identify additional material weaknesses, we may be unable to provide required financial
information in a timely or reliable manner and we may incorrectly report financial information. Likewise, if our financial
statements are not filed on a timely basis, we could be subject to sanctions or investigations by the Nasdaq, where our ordinary
shares are listed, the SEC or other regulatory authorities. In such a case, there could result a material adverse effect on our
business results of operations and financial condition and our ability to complete a Business Combination. The existence of material
weaknesses or significant deficiencies in internal control over financial reporting could adversely affect our reputation or
investor perceptions of us, which could have a negative effect on the trading price of our shares. In addition, we may incur
additional costs to remediate the material weakness in our internal control over financial reporting, as described in Item 4.
“Controls and Procedures.” We
can give no assurance that the measures we have taken and plan to take in the future will remediate the material weakness identified or
that any additional material weaknesses or restatements of financial results will not arise in the future due to a failure to implement
and maintain adequate internal control over financial reporting or circumvention of these controls or otherwise. See also our risk factor
"We have identified material weaknesses in our internal control over financial reporting as of December 31, 2021. If we are unable
to develop and maintain an effective system of internal control over financial reporting, we may not be able to accurately report our
financial results in a timely manner, which may adversely affect investor confidence in us and materially and adversely affect our business
and operating results.
We may face litigation
and other risks as a result of the material weakness in our internal control over financial reporting. As
a result of such material weaknesses, the changes in accounting for the warrants and for Class A ordinary shares subject to
redemption, and other matters raised or that may in the future be raised by the SEC, we face potential for litigation or other
disputes which may include, among others, claims invoking the federal and state securities laws, contractual claims or other claims
arising from the material weaknesses in our internal control over financial reporting and the preparation of our financial
statements. As of the date of this Quarterly Report
Item 2.
Unregistered Sales of Equity Securities and Use of Proceeds from Registered Securities
Unregistered
Sales In
March 2021, the Sponsor paid $25,000, or approximately $0.004 per share, to cover certain offering costs in consideration for
5,750,000 Class B ordinary shares, par value $0.0001. Up to 750,000 founder shares were subject to forfeiture by the Sponsor depending
on the extent to which the underwriters’ over-allotment option was exercised. Such shares have been recapitalized into 2,548,979
Class F ordinary shares and 5,097,958 Class G ordinary shares (which we respectively refer to as “Class F founder shares”
and “Class G founder shares,” and collectively refer to as “founder shares”). Pursuant to a re-organization
of the Company’s share capital effective July 5, 2021, the Class B ordinary shares have been canceled and all of
Simultaneously
with the consummation of the Initial Public Offering, we consummated a private placement of 3,000,000 Private Placement Warrants
to our Sponsor at a price of $2.00 per Private Placement Warrant, generating total proceeds of $6,000,000. On August
The
Private Placement Warrants are identical to the warrants sold as part of the Units in the Initial Public Offering except that,
so long as they are held by the Sponsor or its permitted transferees: (1)
27 Of
the gross proceeds received from the Initial Public Offering
We
paid a total of $4,588,162 in underwriting discounts and commissions and $1,
Use
of Proceeds The
registration statement for the Company’s Initial Public Offering was declared effective on August 3, 2021. On August 6,
2021, the Company consummated the Initial Public Offering of 22,940,811 units, including the issuance of 2,940,811 units
as a result of the underwriters’ full exercise of their over-allotment option, at $10.00 per Unit, generating gross
proceeds of $229,408,110. On August 16, 2021, the Underwriters partially exercised the over-allotment option and purchased
an additional 2,940,811 Over-Allotment Units, generating additional gross proceeds of $229,480,110. Each Unit consisted of one
Public Share and one-fourth of one redeemable Warrant. Each whole Public Warrant entitles the holder to purchase one Public Share
for $11.50 per share, subject to adjustment. Simultaneously
with the closing of the Initial Public Offering, the Company consummated a private placement of 3,294,081 Warrants at
a price of $2.00 per Private Placement Warrant to the Sponsor, generating gross proceeds of $6,588,162. In
connection with the Initial Public Offering, we incurred offering costs of $13,781,962 (including deferred underwriting commissions
of approximately $8,029,284). Other incurred offering costs consisted principally of preparation fees related to the Initial Public
Offering. After deducting the underwriting discounts and commissions (excluding the deferred portion, which amount will be payable
upon consummation of the initial Business Combination, if consummated) and the Initial Public Offering expenses, $229,408,110
of the net proceeds from our Initial Public Offering and certain of the proceeds from the private placement of the Private Placement
Warrants (or $10.00 per Unit sold in the Initial Public Offering) was placed in the Trust Account. The net proceeds of the Initial
Public Offering and certain proceeds from the sale of the Private Placement Warrants are held in the Trust Account as described
elsewhere in this Quarterly Report on Form 10-Q. There
has been no material change in the planned use of the proceeds from the Initial Public Offering and Private Placement as is described
in the Company’s final prospectus related to the Initial Public Offering For
a description of the use of the proceeds generated in our Initial Public Offering, see Part I, Item 2 of this Quarterly Report. Item 3.
Defaults Upon Senior Securities
None. Item 4.
Mine Safety Disclosures
Not
applicable. Item 5.
Other Information None.
28 Item 6.
Exhibits. The
following exhibits are filed as part of, or incorporated by reference into, this Quarterly Report on
29 SIGNATURES
Pursuant
to the requirements of Section 13 or 15(d) of the Securities Act of 1934, the Registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
/s/
Maxime Franzetti /s/
Russ Pillar 30
Gross
Proceeds
$
Less:
Proceeds
allocated to public warrants
( )
Class
A ordinary shares issuance costs
( )
Add:
Accretion
Class
A ordinary shares subject to possible redemption
$
Three Months Ended
March 31,
2022
For
the period from
March 10, 2021
(inception) through
March 31,
2021
Class
A
Class
F
Class
A
Class
F
Basic
and diluted net income (loss) per common stock
Numerator:
Allocation
of net income (loss), as adjusted
$
$
$
$ ( )
Denominator:
Basic
and diluted weighted average shares outstanding
Basic
and diluted net income (loss) per common stock
$
$
$ ( )
$ ( )
to be issued, in connection with or
in relation to the consummation of the initial business combination, including any forward purchase shares and excluding any Class
● Level
1, defined as observable inputs such as quoted prices (unadjusted) for identical instruments
in active markets;
● Level
● Level
3, defined as unobservable inputs in which little or no market data exists, therefore
requiring an entity to develop its own assumptions, such as valuations derived from valuation
techniques in which one or more significant inputs or significant value drivers are unobservable.
Level
1
Level
2
Level
3
Total
Liabilities:
Warrant
Liabilities:
Public
Warrants
$
$
$
$
Private
Placement Warrants
Total
Warrant Liabilities
$
$
$
$
FPA
$
$
$
$
Level
1
Level
2
Level
3
Total
Liabilities:
Warrant
Liabilities:
Public
Warrants
$
$
$
$
Private
Placement Warrants
Total
Warrant Liabilities
$
$
$
$
FPA
$
$
$
$
Input
March 31,
2022
December 31,
2021
Risk-free
interest rate
%
%
Expected
term (years)
Expected
Volatility
%
%
Exercise
Price
$
$
Share
Price
$
$
Fair
Value as of August 6, 2021
$
Change
in valuation inputs or other assumptions(1)
( )
Fair
Value as of December 31, 2021
$
Change
in valuation inputs or other assumptions(1)
( )
Fair
Value as of March 31, 2022
$
Fair
Value as of August 6, 2021 – Liability
$
Change
in valuation inputs or other assumptions(1)
( )
Fair
Value as of December 31, 2021 – (Asset)
$ ( )
Change
in valuation inputs or other assumptions(1)
Fair
Value as of March 31, 2022
$
●
Implement additional monitoring controls and formalizing the review process of its post-close procedures,
and;
●
Enhance the formality and rigor of review procedures around complex financial instruments including consulting
with subject matter experts
*
**
Date:
Maxime
Franzetti
Chief
Executive Officer and President
(Principal
Executive Officer)
Date:
Chief
Financial Officer
(Principal
Financial and Accounting Officer)
EXHIBIT
31.1
PURSUANT
TO RULE 13a-14 AND 15d-14 UNDER
THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED I,
Maxime Franzetti, certify that: I
have reviewed this Quarterly Report on Form Based
on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered
by this report; Based
on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects
the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; The
registrant Designed
such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure
that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this report is being prepared; [Paragraph
omitted pursuant to SEC Release Nos. 33-8238/34-47986 Evaluated
the effectiveness of the registrant Disclosed
in this report any change in the registrant The
registrant All
significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant Any
fraud, whether or not material, that involves management or other employees who have a significant role in the registrant /s/
Maxime Franzetti
1.
2.
3.
4.
5.
Maxime Franzetti
Chief Executive
Officer
(Principal Executive
Officer)
EXHIBIT
31.2
PURSUANT
TO RULE 13a-14 AND 15d-14 UNDER
THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED I,
Russ Pillar, certify that: I
have reviewed this Quarterly Report on Form Based
on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered
by this report; Based
on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects
the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; The
registrant Designed
such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure
that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this report is being prepared; [Paragraph
omitted pursuant to SEC Release Nos. 33-8238/34-47986 Evaluated
the effectiveness of the registrant Disclosed
in this report any change in the registrant The
registrant All
significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant Any
fraud, whether or not material, that involves management or other employees who have a significant role in the registrant /s/
Russ Pillar
1.
2.
3.
4.
5.
Chief Financial
Officer
(Principal Financial
and Accounting Officer)
EXHIBIT
32.1
CERTIFICATION
PURSUANT TO 18
U.S.C. 1350 (SECTION
906 OF THE SARBANES-OXLEY ACT OF 2002) In
connection with the Quarterly Report of Blue Whale Acquisition Corp I (the the
Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and the
information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the
Company. /s/
Maxime Franzetti
(1)
(2)
Maxime
Franzetti
Chief
Executive Officer
(Principal
Executive Officer)
EXHIBIT 32.2
CERTIFICATION
PURSUANT TO 18
U.S.C. SECTION 1350
SECTION 906
OF THE SARBANES-OXLEY ACT OF 2002 In
connection with the Quarterly Report of Blue Whale Acquisition Corp I (the the
Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and the
information contained in the Report fairly presents, in all material respects, the financial condition and results of operations
of the Company. /s/
Russ Pillar
(1)
(2)
Russ
Pillar
Chief
Financial Officer
(Principal
Financial and Accounting Officer)