Spring Valley Acquisition Corp. II Reports Financial Results, Extends Deadline for Business Combination

Spring Valley Acquisition Corp. II, classified as a shell company, reported its financial results for the period ending September 30, 2024. The company had 9,880,095 Class A ordinary shares outstanding, with a significant portion held by the Spring Valley Acquisition Sponsor II, LLC. As of September 30, 2024, the company’s cash balance was $727,713, a decrease from $1,240,671 at the end of 2023. Investments held in the Trust Account also declined to $166.3 million from $249.3 million, contributing to a total asset reduction from $250.6 million to $167.1 million over the same period.

Total current liabilities surged to $1.5 million, compared to $174,062 at the end of 2023, while total liabilities decreased to $4.3 million from $8.2 million. The accumulated deficit improved to $(3.6 million) from $(6.9 million), indicating a reduction in losses. The total shareholders’ deficit also narrowed from $(6.9 million) to $(3.6 million).

For the three months ended September 30, 2024, the company reported net income of $1.96 million, down from $2.96 million in the same period of 2023. Income from investments held in the Trust Account decreased to $2.13 million from $3.16 million year-over-year. For the nine-month period, net income was $5.87 million, compared to $7.96 million in 2023, with a similar decline in income from investments.

The company redeemed 8,362,234 Class A ordinary shares for approximately $90.7 million at a redemption price of $10.85 per share. This redemption was part of a broader strategy to manage shareholder interests, allowing public shareholders to redeem shares regardless of their vote on proposed business combinations. The company extended its deadline to complete a business combination to October 17, 2025, following an extraordinary general meeting held on January 10, 2024.

In terms of liquidity, the company reported a working capital deficit of approximately $800,000 as of September 30, 2024. Management expressed substantial doubt about the company’s ability to continue as a going concern for one year after the issuance of the financial statements, primarily due to liquidity concerns and the potential for mandatory liquidation if a business combination does not occur.

The company has not commenced any operations since its incorporation on January 19, 2021, and all activities have focused on efforts to complete an initial business combination. The financial results reflect ongoing challenges in achieving this goal while managing shareholder expectations and maintaining liquidity.