Quarterly report pursuant to sections 13 or 15(d)

Investments Held in Trust

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Investments Held in Trust
3 Months Ended
Mar. 31, 2012
Investments Held In Trust [Abstract]  
Investments Held In Trust [Text Block]

Note 5 — Investments Held in Trust

 

Substantially all of the net proceeds from the Offering are intended to be generally applied toward the Business Combination. Management agreed to place the net proceeds from the Offering into the Trust Account until the earlier of (i) the completion of a Business Combination and (ii) liquidation of the Company. The placing of funds in the Trust Account may not protect those funds from third party claims against the Company. Although the Company will seek to have all vendors, prospective target businesses or other entities it engages execute agreements with the Company waiving any right in or to any monies held in the Trust Account, there is no guarantee that they will execute such agreements.

 

A total of $50,250,000, which includes $47,275,000 of the net proceeds from the Public Offering and $2,975,000 from the private placement, was placed in the Trust Account.

 

As of March 31, 2012, investment securities in the Company’s Trust Account consist of $50,258,937 in U.S. government treasury bills (the “T-Bills”) with a maturity of May 31, 2012 and $362 of cash. The carrying amount, excluding accrued interest income, gross unrealized holding losses and fair value of held-to-maturity securities at March 31, 2012 are as follows:

Gross Gross
Amortized Unrecognized Unrecognized
Cost Gains Losses Fair Value
Cash $ 362 $ $ $ 362
Held-to-Maturity:
United States Treasury Securities 50,258,575 1,099 50,257,476
Total Investments Held in Trust $ 50,258,937 $ $ 1,099 $ 50,257,838

 

The Company has earned $7,280 in interest income since the closing of the Offering, all of which is reinvested, along with the proceeds, in three-month T-Bills with a maturity date of May 31, 2012.