Tavia Acquisition Corp. Reports Net Income of $974,311 in Q1 2025

Tavia Acquisition Corp. has reported its financial results for the first quarter of 2025, revealing a net income of $974,311, a significant increase from a net loss of $40,541 during the same period in 2024. The company attributed this positive shift primarily to interest income earned on marketable securities held in its Trust Account, which amounted to $1,215,702. General and administrative costs for the quarter were $241,391, reflecting the company's ongoing operational expenses as it prepares for a future business combination.

In terms of financial position, Tavia Acquisition Corp. reported total assets of $117.9 million as of March 31, 2025, a slight increase from $116.9 million at the end of 2024. The company's cash reserves decreased to $655,630 from $913,659, while marketable securities held in the Trust Account rose to $117.1 million, up from $115.9 million. The company also noted a working capital deficit of $72,805, indicating that its current liabilities exceed its current assets.

The company has not yet engaged in any operational activities beyond its initial public offering (IPO), which took place on December 5, 2024. During this IPO, Tavia raised $100 million by selling 10 million units at $10 each, followed by an additional $15 million from an over-allotment option. The proceeds from these offerings are primarily intended to fund a future business combination, with management focusing on potential targets in North America and Europe, particularly in sectors related to energy transition, the circular economy, and food technologies.

As of the end of the first quarter, Tavia Acquisition Corp. had 11.5 million ordinary shares subject to possible redemption, valued at approximately $10.19 per share. The company has until June 5, 2026, to complete a business combination, or it will be required to liquidate and redeem its public shares. The management has expressed confidence in its ability to identify and evaluate potential target businesses, although it acknowledges the inherent risks associated with early-stage companies and the current geopolitical and economic uncertainties.

Looking ahead, Tavia Acquisition Corp. plans to utilize its cash reserves and marketable securities to cover operational costs and facilitate the search for a suitable business combination. The company remains committed to maintaining transparency with its shareholders and intends to provide updates as it progresses toward its strategic objectives.