v3.26.1
Fair Value Measurements
 12 Months Ended
Mar. 31, 2026
Fair Value Measurements [Abstract]  
FAIR VALUE MEASUREMENTS

NOTE 9. FAIR VALUE MEASUREMENTS

 

The following tables present information about the Company’s financial liabilities that are measured at fair value on a recurring basis as of March 31, 2026 and 2025 and indicate the fair value hierarchy of the valuation inputs the Company utilized to determine such fair value:

 

Description   Amount at
Fair Value		     Level 1     Level 2     Level 3  
March 31, 2026                        
Assets                        
Investments held in Trust Account:                        
Money Market investments   $ 3,450,760     $ 3,450,760     $      -     $ -  
Liabilities                                
Warrant liability - Private Warrants   $ 11,237     $ -     $ -     $ 11,237  

 

Description   Amount at
Fair Value		     Level 1     Level 2     Level 3  
March 31, 2025                        
Assets                        
Investments held in Trust Account:                        
Money Market investments   $ 3,380,327     $ 3,380,327     $      -     $ -  
Liabilities                                
Warrant liability - Private Warrants   $ 18,330     $ -     $ -     $ 18,330  

 

The Company utilizes the Black-Scholes method to value the Private Warrants at each reporting period, with changes in fair value recognized in the statement of operations. The estimated fair value of the warrant liability is determined using Level 3 inputs. Inherent in a binomial options pricing model are assumptions related to expected share-price volatility, expected life, risk-free interest rate and dividend yield. The Company estimates the volatility of its common stock using the implied volatility of the comparable companies that matches the expected remaining life of the warrants. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected remaining life of the warrants. The expected life of the Private Warrants is assumed to be equivalent to their remaining contractual term. The dividend rate is based on the historical rate, which the Company anticipates remaining at zero. 

 

The following table provides the significant inputs to the Black-Scholes method for the fair value of the Private Warrants:

 

    As of
August 2021
(Initial
Measurement)		     As of
March 31,
2026		     As of
March 31,
2025		  
Unit price   $ 10.00     $ 10.00     $ 10.00  
Common stock price   $ 9.44     $ 10.03     $ 10.54  
Dividend yield     - %     - %     - %
Term to Business Combination (years)     1.00       1.00       1.00  
Volatility     16.0 %     2.72 %     6.44 %
Risk-free rate     0.88 %     4.04 %     4.01 %
Fair value   $ 0.58     $ 0.014     $ 0.02  

 

The following table provides a summary of the changes in the fair value of the Company’s Level 3 financial instruments that are measured at fair value on a recurring basis:

 

Fair value as of January 15, 2021 (inception)   $ -  
Initial measurement as of August 2, 2021     414,352  
Additional warrants issued in over-allotment     47,850  
Fair value as of August 2, 2021     462,202  
Change in valuation inputs or other assumptions     (199,225 )
Fair value as of December 31, 2021     262,977  
Change in valuation inputs or other assumptions     (119,535 )
Fair value as of March 31, 2022   $ 143,442  
Change in valuation inputs or other assumptions     (119,535 )
Fair value as of March 31, 2023   $ 23,907  
Change in valuation inputs or other assumptions     7,172  
Fair value as of March 31, 2024   $ 31,079  
Change in valuation inputs or other assumptions     (12,749 )
Fair value as of March 31, 2025   $ 18,330  
Change in valuation inputs or other assumptions     (7,093 )
Fair value as of March 31, 2026   $ 11,237  

 

Transfers to/from Levels 1, 2, and 3 are recognized at the end of the reporting period in which a change in valuation technique or methodology occurs. There were no transfers in or out of Level 3 from other levels in the fair value hierarchy for the period from April 1, 2025, through March 31, 2026.

 

The Company recognized a gain of $7,093 and $12,749 related to a change in fair value of warrant liability in the accompanying of Statements Operations for the years ended March 31, 2026 and 2025, respectively.