Business Context and Reporting Period
Plum Acquisition Corp. IV (PLMK) is a Cayman Islands exempted corporation and a blank check company formed to effect a business combination. This Form 10-Q covers the quarterly period ended June 30, 2026. The Company is an emerging growth company and a shell company. As of the filing date, the Company had not commenced any operations other than identifying a target for a business combination.
Key Financial Metrics
| Metric | Six Months Ended June 30, 2026 | Six Months Ended June 30, 2025 |
|---|---|---|
| Net Income | $1,776,258 | $2,811,282 |
| General & Administrative Expenses | $1,358,023 | $544,127 |
| Interest Income (Trust Account) | $3,130,806 | $3,355,409 |
| Cash and Cash Equivalents (Operating) | $288,518 | $375,823 |
| Investments Held in Trust Account | $184,416,026 | $181,285,220 |
| Total Liabilities | $8,705,564 | $7,363,935 |
| Working Capital Deficit | ($1,421,716) | N/A |
| Net Cash Used in Operating Activities | ($482,731) | ($539,932) |
Material Changes and Subsequent Events
- Significant Shareholder Redemptions: On July 10, 2026, following a shareholder vote to extend the business combination deadline, holders of 13,540,384 Public Shares exercised their right to redeem shares. This resulted in an aggregate redemption of approximately $145 million at a price of ~$10.71 per share.
- Trust Account Reduction: Following the redemptions, the Trust Account balance was reduced to approximately $39.7 million (down from $184.4 million as of June 30, 2026).
- Extension of Deadline: The Company extended its deadline to consummate a business combination from July 16, 2026, to January 16, 2027, with options for further monthly extensions up to July 16, 2027.
- Share Conversion: On July 9, 2026, the Sponsor and independent directors converted 5,749,999 Class B Ordinary Shares into Class A Ordinary Shares. These converted shares are not entitled to redemption proceeds.
- Amended Business Combination Agreement: On July 6, 2026, the Company amended its agreement with Controlled Thermal Resources Holdings Inc. (CTR) to reduce the merger consideration valuation from $4.5 billion to $3.15 billion and extend the closing deadline to April 30, 2027.
Outlook, Risks, and Management Commentary
- Going Concern: Management has determined that the Company's liquidity condition and the mandatory liquidation requirement if a business combination is not completed by the extended deadline raise substantial doubt about the Company's ability to continue as a going concern for one year from the issuance date.
- Proposed Business Combination: The Company is pursuing a merger with Controlled Thermal Resources Holdings Inc. (CTR). The transaction requires shareholder approval and satisfaction of customary conditions.
- PIPE Financing: Management contemplates raising Private Investment in Public Equity (PIPE) financing to satisfy minimum cash conditions for the merger, believing the recent redemptions will not adversely affect the ability to close if the PIPE is successful.
- Debt and Liquidity: The Company has a working capital deficit of $1.42 million. It holds a promissory note with the Sponsor of $800,000 outstanding as of June 30, 2026. The Company relies on interest income from the Trust Account and potential loans from the Sponsor to fund operations.
Investor Verification Checklist
- Verify the status of the PIPE financing required to close the CTR merger given the $145 million reduction in the Trust Account.
- Confirm the final redemption price and total cash remaining in the Trust Account post-July 10, 2026 redemptions.
- Review the amended Business Combination Agreement terms, specifically the reduced valuation ($3.15B) and earnout structure.
- Assess the liquidity risk given the working capital deficit and the "substantial doubt" going concern disclosure.
- Monitor the extension timeline to ensure the Company meets the new January 16, 2027, deadline or secures further extensions.