Alchemy Investments Reports Increased Losses and Focuses on Business Combination

Alchemy Investments Acquisition Corp 1 has reported its financial results for the second quarter of 2026, revealing a net loss of $307,668, compared to a loss of $220,257 in the same period of the previous year. For the first half of 2026, the company recorded a net loss of $639,568, an increase from the $521,753 loss reported in the first half of 2025. The company's operating costs for the second quarter were $334,806, slightly higher than the $321,051 incurred in the same quarter of 2025. The increase in losses is attributed to higher operating expenses, despite a gain on investments held in the Trust Account of $79,626 for the quarter, down from $126,034 a year earlier.

As of June 30, 2026, Alchemy Investments reported total assets of $9,188,083, up from $8,892,310 at the end of 2025. The increase was primarily driven by a rise in investments held in the Trust Account, which grew to $9,103,236 from $8,813,038. However, the company also saw a significant increase in current liabilities, which rose to $4,448,662 from $3,513,322, largely due to higher accrued expenses and a promissory note from a related party that increased to $2,186,000.

The company has not yet completed a business combination, which is its primary objective. It has until September 9, 2026, to finalize a deal, having received extensions from shareholders to allow for additional time. The company is currently in the process of identifying a target for its initial business combination. The management has indicated that the cash held outside of the Trust Account, amounting to $18,995, is insufficient to sustain operations for the next year, raising concerns about the company's ability to continue as a going concern.

In terms of strategic developments, Alchemy Investments entered into a business combination agreement on August 22, 2025, with Cartiga, LLC. This agreement is expected to lead to a merger that will allow the company to operate under a new name, Cartiga Holdings, Inc. The proposed transaction is structured to allow the combined entity to maintain a partnership classification for tax purposes, which is anticipated to be beneficial for its stakeholders. The company is also working on enhancing its internal controls and procedures to address previously identified weaknesses in its financial reporting processes.

Looking ahead, Alchemy Investments remains focused on completing its business combination by the extended deadline. The management is optimistic about identifying a suitable target and successfully executing the merger, which is crucial for the company's future operations and financial stability. However, the ongoing geopolitical risks and market conditions may impact the company's ability to finalize a transaction within the stipulated timeframe.