Spring Valley Acquisition Corp. II Reports Q2 2025 Financial Results with Net Loss and Merger Plans

Spring Valley Acquisition Corp. II has reported its financial results for the second quarter of 2025, revealing a net loss of approximately $26,668 for the three months ending June 30, 2025, compared to a net income of $1,931,483 for the same period in 2024. For the first half of 2025, the company recorded a net loss of $502,968, a significant decline from the $3,910,581 net income reported in the first half of 2024. The decrease in profitability is attributed to a substantial drop in income from investments held in the Trust Account, which fell to $536,801 in 2025 from $4,316,478 in 2024, alongside a rise in general and administrative expenses.

The company’s total assets as of June 30, 2025, stood at $26,295,879, a slight increase from $26,110,797 at the end of 2024. Current assets decreased significantly, primarily due to a reduction in cash, which fell to $157,647 from $495,352. The Trust Account, which holds funds from the company’s initial public offering, increased to $26,090,885 from $25,554,084, reflecting ongoing investment activities. However, total liabilities rose to $2,276,818 from $1,708,768, driven by an increase in accounts payable and the establishment of a derivative liability related to non-redemption agreements.

Strategically, Spring Valley Acquisition Corp. II has made significant moves towards completing a business combination. On July 30, 2025, the company entered into a merger agreement with Eagle Energy Metals Corp., which will result in Eagle Energy becoming a wholly owned subsidiary of Spring Valley. This merger is part of the company’s ongoing efforts to fulfill its mandate as a blank check company, which has yet to commence operations since its inception in January 2021. The company has extended its deadline to complete a business combination to October 17, 2025, allowing more time to finalize this transaction.

Operationally, the company has seen a reduction in its employee headcount, with no specific figures disclosed in the filing. The company continues to rely on its sponsor for financial support, having received $1,500,000 in contributions under a promissory note to bolster its Trust Account. The company’s liquidity remains a concern, with a working capital deficit of approximately $1.3 million as of June 30, 2025, raising doubts about its ability to continue as a going concern without successfully completing a business combination.

Looking ahead, management has expressed uncertainty regarding its ability to meet its working capital needs and complete a business combination within the extended timeframe. The company is actively pursuing financing options and remains focused on finalizing the merger with Eagle Energy, which is expected to enhance its operational capabilities and market position. However, the ongoing geopolitical tensions and economic conditions may pose risks to the successful execution of these plans.