Mobile Infrastructure Corp annual report, FY2021

Filing identity and reporting period

Important issuer mismatch: The supplied filing is Fifth Wall Acquisition Corp. III’s Form 10-K, not a filing for Mobile Infrastructure Corp. It covers the fiscal year ended December 31, 2021, from the company’s February 19, 2021 inception. The company was a shell SPAC seeking a business combination, with no operating business or revenue.

Financial results and liquidity

MetricReported amount
RevenueNone; the company had not commenced operations.
Net loss, inception through year-end$1.101 million, including $1.039 million general and administrative expense, $74,000 related-party expense, and $12,561 trust investment income.
Operating cash flow$(1.980) million.
Cash outside trust$737,986 at December 31, 2021.
Working capitalApproximately $1.6 million.
Trust investments$275.013 million, held in U.S. government securities or qualifying money market funds.
Total assets / total liabilities$276.872 million / $9.925 million, including $9.625 million deferred underwriting commissions.
DebtNo working capital loans outstanding at year-end. The approximately $109,000 sponsor note was repaid in May 2021.

Profitability and operating margins are not meaningful for this pre-combination shell company. The filing provides no prior-year comparable operating period.

Capitalization and material changes

The May 2021 IPO sold 27.5 million public shares at $10 each, raising $275 million gross; the sponsor separately bought 907,000 private-placement shares for $9.07 million. Offering costs were approximately $16.1 million, including $9.625 million of deferred underwriting commissions. At year-end, 27.5 million public shares were classified as temporary equity at $10 per share, alongside 907,000 private-placement Class A shares and 6.875 million Class B shares.

In February 2022, the audit committee determined that previously issued post-IPO and quarterly financial statements required restatement, including classification of redeemable Class A shares as temporary equity and, where applicable, revised earnings-per-share allocation between share classes. The filing identifies a material weakness in controls over complex financial-instrument accounting and earnings-per-share presentation. Management reported additional review procedures and remediation efforts, but disclosure controls were not effective at December 31, 2021.

Outlook, risks, and unusual items

  • The company had no identified business-combination target and was reviewing opportunities. Its stated focus included real-estate technology and the broader “Built World,” while retaining flexibility to pursue other sectors.
  • The SPAC had until May 27, 2023 to complete a business combination. If unsuccessful, it was required to redeem public shares from the trust, subject to creditor claims and other terms; the redemption could be below $10 per share.
  • Management believed available working capital and potential sponsor or affiliate borrowing capacity would cover needs through the earlier of a business combination or one year from the filing. Future sponsor loans were not committed.
  • Key risks include sponsor and management conflicts, competing Fifth Wall funds and another Fifth Wall SPAC, substantial shareholder redemptions, financing availability, COVID-19 impacts, and the risk that creditor claims reduce trust funds.
  • The sponsor held approximately 21.7% of voting control as of year-end and agreed to support a proposed business combination if a shareholder vote occurred. Founder shares were acquired for a nominal price and may create dilution and incentives that differ from public shareholders’ interests.
  • The filing reports no legal proceedings or off-balance-sheet arrangements. The audited financial statements received an unqualified opinion, but the auditor did not opine on internal-control effectiveness. The filing also notes that the impact of Russia’s February 2022 military action against Ukraine and related sanctions was undeterminable.

Investor verification points

  1. Confirm the issuer: the supplied document is for Fifth Wall Acquisition Corp. III, not Mobile Infrastructure Corp.
  2. Review subsequent filings for business-combination status, any extension or liquidation, and the actual trust balance and redemption terms.
  3. Check whether the identified material weakness was fully remediated and whether any further restatements, SEC inquiries, or related disputes arose.
  4. Verify sponsor funding capacity and assess potential dilution, conflicts, and the effect of redemptions on any proposed transaction.