ChampionsGate Acquisition Corporation (CHPG) reports its first post-IPO quarter with net income of $682,288 for the three months ended September 30, 2025, driven by $795,474 of interest and dividend income on investments held in its trust account. Formation and operating costs were $113,186 for the quarter and $392,999 for the nine-month period, plus $155,904 of stock compensation year-to-date.
Following its May 29, 2025 IPO, the company sold 7,475,000 units at $10.00 each and completed a $2,300,000 private placement, resulting in $75,123,750 being deposited into a U.S. trust account. As of September 30, 2025, the trust held $76,167,558, while cash outside the trust was $17,351 and working capital showed a deficit of $23,287.
The SPAC has up to 18 months from the IPO closing, with potential extensions to as long as 27 months under specified scenarios, to complete a business combination or redeem public shares and liquidate. Management discloses that these timelines, ongoing costs, and reliance on working capital loans raise substantial doubt about the company’s ability to continue as a going concern. During the period, prior CEO Bala Padmakumar resigned, and Timothy Boon Liat Lim has since been appointed Chairman and CEO.