Soulpower Acquisition Corporation Reports Financial Results for Q1 2025 and IPO Completion

Soulpower Acquisition Corporation has released its unaudited financial statements for the first quarter ending March 31, 2025, revealing significant changes in its financial position compared to the previous fiscal period. The company reported total assets of $61,948, a decrease from $100,548 as of December 31, 2024. This decline is primarily attributed to a reduction in cash reserves, which fell from $25,386 to $3,286, and a decrease in prepaid expenses from $18,167 to $1,667. The company's liabilities increased substantially, rising from $166,375 to $307,493, driven by a notable increase in accrued expenses and a loan payable to Sponsor HoldCo, which grew from $123,295 to $225,413.

In terms of operational performance, Soulpower Acquisition Corporation has not yet commenced any revenue-generating activities, as it is a blank check company formed for the purpose of executing a business combination. The company incurred general and administrative costs of approximately $180,000 during the quarter, leading to a net loss of $179,718. This loss reflects the ongoing expenses associated with being a public company and preparing for its initial public offering (IPO). The company has not generated any operating revenues to date, and its financial activities have primarily revolved around organizational efforts and preparations for the IPO.

A significant development for Soulpower Acquisition Corporation was the consummation of its IPO on April 3, 2025, where it sold 25,000,000 units at $10.00 per unit, generating gross proceeds of $250 million. This offering included a partial exercise of the underwriters' over-allotment option, which contributed an additional 3,000,000 units. Alongside the IPO, the company also completed a private placement of 620,000 units, raising an additional $6.2 million. The net proceeds from these offerings have been placed in a trust account, which will be utilized for future business combinations.

As of the end of the reporting period, Soulpower Acquisition Corporation had 8,433,333 Class B ordinary shares outstanding, following a share capitalization that occurred on April 1, 2025. The company has indicated that it will continue to seek potential target businesses for its initial business combination, with the expectation of incurring significant costs in this pursuit. The management has acknowledged the potential challenges posed by current market conditions, including geopolitical tensions and economic volatility, which could impact the company's ability to identify and complete a business combination.

Looking ahead, Soulpower Acquisition Corporation remains focused on leveraging the funds raised through its IPO and private placement to identify and evaluate potential acquisition targets. The company has emphasized the importance of maintaining sufficient liquidity to cover operational costs and transaction expenses as it navigates the business combination process. However, there is no assurance that the company will successfully complete a business combination within the required timeframe, which could lead to the liquidation of the trust account and the return of funds to shareholders.