Valuence Merger Corp. I Annual Report - How They Did This Year

I’ve put together this guide to help you understand how Valuence Merger Corp. I performed this year. My goal is to turn complex financial filings into plain English so you can decide if this company fits your investment goals.

1. What does this company do?

Valuence Merger Corp. I is a "blank check company." It doesn’t make products or provide services. Instead, it is a shell company that raised $200 million in its January 2022 IPO by selling 20 million units at $10.00 each. Its goal is to find a private company to buy, taking that business public through a merger. The company focuses on high-growth targets in Asia—excluding China, Hong Kong, and Macau—specifically in life sciences, biotech, and sustainable technology.

2. Financial performance and health

Because the company hasn't merged with a business yet, it has no revenue. Its financial health depends entirely on the cash held in its interest-bearing trust account. As of December 31, 2025, that account held about $248.6 million from the original IPO and interest. If the company closed today, shareholders would get about $12.43 per share. Interest from U.S. Treasury securities pays for the company’s administrative costs and the search for a target.

3. Major wins and challenges

The company follows all SEC reporting rules, but it faces two major hurdles:

• Delisting: The company failed to meet Nasdaq’s size requirements and was delisted. Its shares now trade on the Over-the-Counter (OTC) market. This usually means lower trading volume, larger price gaps between buyers and sellers, and more price swings.
• The Clock is Ticking: The company is operating on a month-to-month timeline. If it fails to complete a merger by its final deadline, it must shut down, return the cash to shareholders, and liquidate.

4. Key risks

Investing in a SPAC is very different from buying a standard company. Keep these risks in mind:

• Limited Control: The "Sponsor" (the founders) holds a large block of Class B stock. They have agreed to vote in favor of any merger, meaning they can push a deal through regardless of what retail investors want.
• "Going Concern" Risk: The company’s future depends entirely on finding a merger partner before the deadline. Without a deal, the company has no long-term path forward.
• No Guarantees: There is no promise that the company will find a target or close a deal. If it liquidates, you get your share of the trust, but any money spent on warrants will be lost completely.
• Market Sensitivity: Since there is no underlying business, you can’t use standard metrics like profit to value the stock. The price is driven by speculation, rumors, and market interest in SPACs.

5. Future outlook

The company is still searching for a target. Given the delisting and the tight deadline, this is a high-risk, speculative investment. Until a deal is announced, your investment is essentially a pool of cash waiting for management to find a partner in the Asian tech or life sciences sectors.

Final Thought for Investors: If you are considering this investment, ask yourself if you are comfortable holding a "shell" that relies entirely on management's ability to find a partner under a strict deadline. Because the stock is now traded OTC and lacks an operating business, it is best suited for those who understand the specific mechanics of SPAC liquidations and are prepared for the volatility that comes with a company racing against a deadline.