GigCapital7 Reports Financial Results for Q3 2024, Focuses on Completing Initial Business Combination

GigCapital7 Corp., incorporated on May 8, 2024, and classified as a shell company, reported its financial performance for the three months ending September 30, 2024, in its recent 10-Q filing. The company has not generated any revenue during this period, reflecting its status as a newly formed entity focused on completing its initial business combination. The loss from operations was $(213,755), while the net income for the quarter was $610,950, primarily driven by interest income of $989,729 from cash and marketable securities held in the Trust Account.

As of September 30, 2024, GigCapital7 had total assets of $203.4 million, with $200.9 million held in a Trust Account, which consists of cash and marketable securities. The company reported total current liabilities of $556,216 and total liabilities of $779,356, resulting in shareholders' equity of $1.7 million. The company’s cash position at the end of the quarter was $2.0 million, which is earmarked for operational expenses and potential acquisition activities.

The company completed a public offering on August 30, 2024, selling 20 million public units at $10.00 each, generating gross proceeds of $200 million. After accounting for transaction costs of approximately $1.3 million, the net proceeds placed in the Trust Account amounted to $200 million. Additionally, GigCapital7 raised $3.25 million through a private placement of Class B ordinary shares and $58,060 from the sale of private placement warrants.

In terms of share structure, as of September 30, 2024, there were 20 million Class A ordinary shares issued and outstanding, subject to possible redemption, and 15.3 million Class B ordinary shares, which decreased to 13.3 million following the forfeiture of 2 million shares on October 25, 2024. The company has also issued 23.7 million warrants, which are exercisable at $11.50 per share.

GigCapital7 has not engaged in any operations or generated revenues to date and does not anticipate doing so until after completing its initial business combination. The company has established a timeline of 21 months from the closing date of the offering to finalize this business combination, failing which it will cease operations and redeem public shares. The company has also entered into an administrative services agreement, committing to pay $30,000 monthly for services until a business combination or liquidation occurs.