Rithm Acquisition Corp. Reports Financial Results for Period Ending March 31, 2025

Rithm Acquisition Corp. has reported its financial results for the period ending March 31, 2025, following its Initial Public Offering (IPO) on February 28, 2025. The company generated gross proceeds of $230 million from the sale of 23 million units, which included a full exercise of the underwriters' over-allotment option. In addition, Rithm raised $6.6 million from the sale of 660,000 private placement units to its sponsor. The total offering costs amounted to approximately $13.3 million, which included underwriting fees and other expenses.

For the three months ended March 31, 2025, Rithm reported a net income of $633,951, primarily driven by $810,111 in interest income from cash held in its Trust Account. This was offset by general and administrative expenses of $176,160. The company’s financial performance reflects a significant increase in net income compared to the period from its inception on November 21, 2024, through March 31, 2025, where it reported a net income of $680,183. The increase in income is attributed to the interest earned on the cash held in the Trust Account, which is expected to be utilized for future business combinations.

Rithm Acquisition Corp. has not yet commenced any operational activities, as its focus remains on identifying a target company for a business combination. As of March 31, 2025, the company held $230.8 million in its Trust Account, which is restricted to investments in U.S. government securities or money market funds. The company also reported cash of $1,034,225 available for operational expenses. The management has indicated that they do not foresee the need for additional funding to meet operational expenditures prior to completing a business combination.

In terms of organizational structure, Rithm has 660,000 Class A ordinary shares and 5,750,000 Class B ordinary shares outstanding. The company’s management team has broad discretion regarding the application of the net proceeds from the IPO and private placement, primarily aimed at consummating a business combination. The company must complete a business combination with an aggregate fair market value of at least 80% of the net assets held in the Trust Account within a specified period, or it will be required to liquidate.

Looking ahead, Rithm Acquisition Corp. is actively pursuing potential business combinations and is focused on identifying suitable targets. The company has acknowledged the inherent risks associated with emerging growth companies and the uncertainties involved in completing a business combination. As it continues to navigate this process, Rithm remains committed to maximizing shareholder value while adhering to regulatory requirements and maintaining operational transparency.