Cartica Acquisition Corp (NASDAQ:CITEU) Amends Promissory Note for Working Capital Increase

Cartica Acquisition Corp (NASDAQ:CITEU) recently made an important disclosure regarding an amendment to its promissory note. As reported in the Form 8-K document filed with the Securities and Exchange Commission (SEC) on December 20, 2024, Cartica Acquisition Corp, a Cayman Islands exempted company, had previously issued a Working Capital Note to Cartica Acquisition Partners, LLC. This note allowed the Sponsor to lend the Company funds for working capital expenses.

The initial principal sum of the Working Capital Note was set at $300,000, which was later increased in several steps. First, on February 16, 2024, the principal sum was raised to $750,000. Subsequently, on April 4, 2024, it was further increased to $1,250,000. Another increase was made on June 24, 2024, raising the principal sum to $1,750,000.

The most recent amendment, dated December 20, 2024, known as the Fourth Amendment, raised the principal sum to $2,750,000. The Working Capital Note, as amended, does not accrue any interest and is to be repaid in full either upon the consummation of the Company’s initial business combination or upon its liquidation.

The Working Capital Note and its subsequent amendments were issued under the exemption from registration provided in Section 4(a)(2) of the Securities Act of 1933. A full copy of the Fourth Amendment can be found in the Current Report on Form 8-K as Exhibit 10.1, which accompanies the disclosure.

This information was disclosed as part of the securities filing under Item 1.01, detailing the entry into a material definitive agreement. Additionally, it falls under Item 2.03, which pertains to the creation of a direct financial obligation or an obligation under an off-balance-sheet arrangement. The financial statements and exhibits related to this transaction can be found under Item 9.01 of the report.

Overall, this amendment to the Working Capital Note signifies a significant increase in the financial support provided to Cartica Acquisition Corp, allowing for enhanced operational capabilities in the future.

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.