v3.26.1
Fair Value Measurements
6 Months Ended
Jun. 30, 2026
Fair Value Measurements [Abstract]  
FAIR VALUE MEASUREMENTS

NOTE 10 — FAIR VALUE MEASUREMENTS

 

The fair value of the 8,625,000 Public Warrants and 6,100,000 Private Placement Warrants is $2,232,334 and $1,578,810, respectively. The Public Warrants and Private Placement Warrants are measured under Level 3 in the fair value hierarchy as of June 22, 2026. The fair value of the Public Warrants and Private Warrants was determined using Black-Scholes Model.

 

The Public Warrants and Private Warrants have been classified within shareholders’ deficit and will not require remeasurement after issuance.

 

The market assumptions used to determine fair value as follows:

 

    As of
June 22,
2026
 
Term     5 years  
Dividends   $ 0.00  
Risk Free Rate     4.29 %
Stock price   $ 10.05  
Probability of an initial Business Combination     29.82 %
Volatility     4.43 %

 

The stock price is based on the initial redemption value of $10.05 of the Public Shares offering. The expected term of the warrant is based on the actual term of the warrant in the event of a successful Business Combination. The probability of an initial Business Combination is based on historical data from SPACs that have successfully completed an Initial Public Offering and then gone on to complete a Business Combination. The volatility is based on historical volatility of comparable publicly traded SPACs. The risk-free rate is based on the rate of a U.S. treasury security with a comparable maturity date as the expected term of the warrant.