Silverbox Corp V - 10-Q Summary (Q1 2026)
Business Context and Reporting Period
Silverbox Corp V is a Cayman Islands exempted company and a blank check entity (SPAC) incorporated on May 29, 2025. The company was formed to effect a business combination with one or more target businesses. As of March 31, 2026, the company had not commenced any operations and had not selected a specific target. The reporting period covers the three months ended March 31, 2026. The company completed its Initial Public Offering (IPO) on December 4, 2025, raising gross proceeds of $276,000,000.
Key Financial Metrics
| Metric | Value (Q1 2026) |
|---|---|
| Net Income | $577,337 |
| Operating Costs | $1,460,227 |
| Interest Income (Trust Account) | $2,389,714 |
| Change in Fair Value of Warrant Liabilities | ($352,150) |
| Cash (Outside Trust) | $665,875 |
| Cash and Investments in Trust Account | $279,158,598 |
| Total Assets | $279,971,444 |
| Total Liabilities | $21,900,242 |
| Shareholders' Deficit | ($21,087,396) |
| Class A Shares Subject to Redemption | 27,600,000 shares ($10.11/share) |
| Net Cash Used in Operating Activities | ($147,017) |
Material Changes vs. Prior Period
- Trust Account Growth: The Trust Account balance increased from $276,768,884 (Dec 31, 2025) to $279,158,598 (Mar 31, 2026), primarily due to $2,389,714 in interest earned on U.S. Treasury bills.
- Warrant Liability Increase: Derivative liabilities (warrants) increased by $352,150 to $3,928,418 due to changes in fair value inputs (implied share price and volatility).
- Deferred Legal Fees: Deferred legal fees increased significantly from $81,595 to $1,282,591, reflecting accrued costs payable upon business combination.
- Operating Cash Flow: The company utilized $147,017 in net cash for operating activities, despite reporting net income, due to the non-cash nature of interest income and warrant valuation changes.
Outlook, Risks, and Contingencies
- Going Concern: The filing states that the company's liquidity condition raises substantial doubt about its ability to continue as a going concern for one year from the issuance date. Management plans to address this through a business combination, but there is no assurance of success.
- Completion Window: The company has 24 months from the IPO closing (December 4, 2025) to complete a business combination. If not completed, the company will liquidate and redeem public shares.
- Deferred Obligations: Significant contingent liabilities include a deferred underwriting fee of $8,280,000 and an advisory fee payable to Santander of $8,280,000, both payable only upon the closing of a business combination.
- Geopolitical Risks: The company notes risks related to global instability (Russia-Ukraine, Israel-Hamas, Iran conflicts) which could impact capital markets and the ability to find a target.
- Working Capital Loans: The Sponsor may provide working capital loans up to $2,500,000, which may be convertible into units of the post-combination entity.
Investor Verification Checklist
- Trust Account Composition: Verify that the $279.16M in the Trust Account remains invested in U.S. government securities or money market funds as required.
- Warrant Valuation: Review the Level 3 fair value inputs (volatility, implied share price) used to value the $3.93M warrant liability.
- Deferred Fees: Confirm the status of the $1.28M deferred legal fee and the $8.28M advisory fee payable to Santander.
- Liquidity Runway: Assess the $665,875 cash balance outside the Trust Account against monthly operating costs to determine the runway before a business combination or additional financing is required.
- Redemption Rights: Understand the terms under which public shareholders can redeem shares, including the $10.11 per share redemption value as of March 31, 2026.