v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting

Note 10 — Segment Reporting

 

ASB ASC Topic 280, “Segment Reporting,” establishes standards for companies to report in their financial statements information about operating segments, products, services, geographic areas, and major customers Operating segments are defined as components of an enterprise for which separate financial information is available that is regularly evaluated by NewHold’s chief operating decision maker (“CODM”), or group, in deciding how to allocate resources and assess performance.

 

NewHold’s CODM has been identified as the Chief Financial Officer, who reviews the operating results for NewHold as a whole to make decisions about allocating resources and assessing financial performance. Accordingly, management has determined that NewHold only has one reporting segment. The CODM assesses performance for the single segment and decides how to allocate resources based on net income or loss that also is reported on the unaudited condensed statements of operations as net income or loss. The measure of segment assets is reported on the unaudited condensed balance sheets as total assets. When evaluating NewHold’s performance and making key decisions regarding resource allocation, the CODM reviews several key metrics, which include the following:

 

    June 30,     December 31,  
    2026     2025  
Cash and cash equivalents   $ 364,000     $ 1,198,000  
Prepaid expenses   $ 176,000     $ 136,000  
Investments held in Trust Account   $ 212,934,000     $ 209,220,000  

 

As a Special Purpose Acquisition Company, NewHold’s investment opportunities are limited in that the funds in the Trust Account are to be invested only in U.S. government treasury bills with a maturity of one hundred eighty-five (185) days or less or in money market funds that meet certain conditions under Rule 2a-7 under the Investment Company Act of 1940 and that invest only in direct U.S. government obligations and may at any time be held as cash or cash items, including in demand deposit accounts at a bank. Funds remain in the Trust Account until the earlier of (i) the consummation of the initial Business Combination or (ii) the distribution of the Trust Account proceeds as described in Notes 1 and 3. These investment limitations, create a narrow range of returns that can be achieved and maintain compliance. The CODM uses the investment asset information above as well as investment income information below to maintain a fair return for shareholders within these investment parameters.

 

    Three months
ended
June 30,		     Three months
ended
June 30,		  
    2026     2025  
General and administrative expenses   $ (5,216,000 )   $ (269,000 )
Other income (primarily income earned on the Trust Account)   $ 1,871,000     $ 2,157,000  

  

    Six months
ended
June 30,		     Six months
ended
June 30,		  
    2026     2025  
General and administrative expenses   $ (6,367,000 )   $ (536,000 )
Other income (primarily income earned on the Trust Account)   $ 3,726,000     $ 2,817,000  

  

As a Special Purpose Acquisition Company, NewHold is a limited life entity formed to consummate a business combination within a defined period of time, currently 24 months, the “Completion Window.” As a Special Purpose Acquisition Company, NewHold’s formation and initial activities include: (i) raising money to effectuate a Business Combination and (ii) developing a financial budget of operating expenses during the limited life of the entity. The predictable expenses “PE”), included in the budget prepared, include those costs of maintaining a listing as a public company including, legal expenses, accounting and auditing expenses, listing, stock transfer and reporting expenses (such as services of an ‘Edgar’ provider to put its filings with the Securities and Exchange Commission in suitable format for filing), Sponsor and management costs, as well as travel and other expenses of seeking and securing a business combination partner). In addition to these PE’s, once it finds a suitable business combination partner, NewHold incurs various diligence, legal and other expenses that are unique to the business combination opportunity and are (i) less predictable expenses (“LPE”) and (ii) substantial in amount. The CODM uses the metrics above to measure and monitor the PE’s incurred during its limited life in order to ensure that it has sufficient resources and liquidity to operate during the Completion Window. In addition to monitoring these operating expense metrics, the CODM makes arrangements for the LPE’s with service providers and others in a manner that defers payment as long as possible or consists of fees payable upon a successful business combination. The CODM also uses the information on PE’s and LPE’s to determine whether additional financing in the form of permitted Working Capital Loans from related parties or other financing is necessary or appropriate.

 

Other income is generated primarily by investment income from assets in the Trust Account. As discussed further above, as a Special Purpose Acquisition Company, NewHold’s investment opportunities are limited in that the funds in the Trust Account are to be invested only in U.S. government treasury bills with a maturity of one hundred eighty-five (185) days or less or in money market funds that meet certain conditions under Rule 2a-7 under the Investment Company Act of 1940 and that invest only in direct U.S. government obligations and may at any time be held as cash or cash items, including in demand deposit accounts at a bank. These investment limitations, create a narrow range of returns that can be achieved and maintain compliance. As such, the CODM uses the investment asset information and investment income information above to maintain a fair return for shareholders within these investment parameters.