Cartica Acquisition Corp Issues Promissory Note as Extension is Approved

Cartica Acquisition Corp (NASDAQ:CITEU) recently made an announcement regarding the issuance of a promissory note as part of an approved extension. On January 3, 2025, the company finalized an agreement to extend its termination date from January 7, 2025, to October 7, 2025. Following this development, a promissory note, termed the Extension Note, in the principal amount of up to $121,328.64, was issued to Cartica Acquisition Partners, LLC, the company’s sponsor. The Sponsor is a Delaware limited liability company associated with the company.

To facilitate the extension, Cartica Acquisition Corp will make monthly deposits of $40,442.88 into its Trust Account starting from January 8, 2025, and continuing on the 7th day of each subsequent month until April 7, 2025. These funds will be reserved for the benefit of Class A ordinary shares that were not redeemed as part of the approved Extension. The proceeds from the Extension Note will be deposited in the Trust Account for the first three months of the extension period.

The Extension Note, which does not accrue interest, will become due in full either upon the completion of the company’s initial business combination or upon the liquidation of the company. The issuance of this note falls under the exemption from registration specified in Section 4(a)(2) of the Securities Act of 1933.

Regarding financial matters, the Company revealed that trading of its securities faced delisting from The Nasdaq Stock Market due to non-compliance with Rule IM-5101-2, which requires completion of business combinations within 36 months of an initial public offering registration statement. Consequently, trading of Cartica Acquisition Corp’s securities on the OTC market is anticipated after delisting from Nasdaq. However, the ongoing business combination with Nidar Infrastructure Limited and Yotta Data and Cloud Limited remains unaffected by this change.

Despite the trading alteration, the company is set to remain a reporting entity under the Securities Exchange Act of 1934. Additionally, a planned extension of the business combination deadline received shareholder approval during an extraordinary general meeting held on January 3, 2025.

As a result of the decisions made, 901,326 Public Shares were redeemed by holders, leading to funds being withdrawn from the Trust Account for payment. Following these redemptions, the current count of Class A ordinary shares stands at 1,348,096.

The Charter Amendment associated with the extension has been filed with the Cayman Islands Registrar of Companies, effective as of January 3, 2025. For interested parties, further details can be found in the attached exhibits to the filing.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Cartica Acquisition’s 8K filing here.

Cartica Acquisition Company Profile

Cartica Acquisition Corp does not have any significant operations. The company focuses on effecting a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses or entities. It intends to identify and complete a business combination in the technology sector.