Aura Fat Projects Acquisition Corp, a shell company formed to pursue a business combination, reported its financial results for the period ending August 31, 2024. The company has not generated any operating revenues since its inception on December 6, 2021, and continues to incur significant costs in pursuit of acquisition plans.

As of August 31, 2024, the company held cash of $151,901, a decrease from $233,088 as of November 30, 2023. Total current assets also fell to $279,766 from $364,021 during the same period. The Trust Account, which is critical for funding future business combinations, saw a substantial decline in cash and marketable securities, dropping to $3,134,182 from $30,604,459. Total assets decreased to $3,413,948 from $30,968,480, while total liabilities increased to $6,987,881 from $5,954,825, resulting in an accumulated deficit of $(6,708,415) compared to $(5,591,104) previously.

For the three months ended August 31, 2024, the company reported a net loss of $(119,529), a significant decline from a net income of $553,286 in the same period of the previous year. For the nine months ended August 31, 2024, net income was $323,669, down from $2,358,955 in the prior year. Operating costs for the three months ended August 31, 2024, were $370,232, reduced from $465,378 in the same period of 2023. Total other income also decreased significantly, from $1,018,664 in the three months ended August 31, 2023, to $250,703 in the current period.

The company has made efforts to extend its business combination deadline, which was originally set for July 18, 2023. Following shareholder approval, the deadline has been extended to July 18, 2025. The company has also engaged in significant shareholder redemptions, with 8,708,304 Class A ordinary shares redeemed for $92,514,424 on July 17, 2023, and an additional 2,522,186 shares redeemed for $26,268,373 on July 19, 2024.

In terms of strategic developments, Aura Fat Projects entered into a definitive Business Combination Agreement with Allrites Holdings Pte Ltd. on May 7, 2023. The agreement includes provisions for potential additional share issuances based on Allrites' recurring revenue performance. The company is currently evaluating its capital needs and may require additional funding to meet its operational and acquisition objectives.

About Aura Fat Projects Acquisition Corp

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