Iris Acquisition Corp II

What they do

Iris Acquisition Corp II is a blank check company incorporated in the Cayman Islands on July 8, 2025, formed to effect a merger, amalgamation, share exchange, asset acquisition, share purchase, recapitalization, or similar business combination with one or more businesses. It has a generalist investment approach, targeting high-quality, small to mid-market companies that could benefit from a public listing. As of the latest reports, the company has not selected any specific business combination target and has had no substantive discussions with potential targets.

Revenue drivers

• Trust Account Interest Income — The company generates non-operating income from interest earned on cash held in the Trust Account. For the six months ended June 30, 2026, interest income on cash held in the Trust Account was $2,442,950.
• Initial Public Offering Proceeds — The company raised gross proceeds of $168,500,000 from its IPO on February 4, 2026, which are held in the Trust Account and will be used to fund the initial business combination.
• Private Placement Units — The company sold 438,000 Private Placement Units at $10.00 per unit, generating gross proceeds of $4,380,000, with the proceeds also available for the business combination.

Recent performance

For the three months ended June 30, 2026, the company reported net income of $1,263,575, consisting of general and administrative costs of $259,423, offset by interest income on Trust Account cash of $1,523,388 and interest expense on a short-term loan of $390. For the six months ended June 30, 2026, net income was $2,037,510, with general and administrative costs of $403,535, interest income of $2,442,950, and interest expense of $1,905. As of June 30, 2026, total assets were $171.8 million, total liabilities were $7.5 million, and shareholder equity was negative $6.7 million. The company has no revenue and has not engaged in operations other than organizational activities and seeking a target.

Strategy

The company intends to use substantially all of the funds held in the Trust Account, including interest earned, to complete its initial business combination. It targets mid-market companies with meaningful revenue, a preference for recurring revenue, profitability or near-term profitability, and an established operating history. Management brings experience from a prior SPAC, Iris Acquisition Corp, which completed a business combination with Liminatus Pharma, Inc. The team, based in Dubai, focuses on growth-oriented and cross-border investments. The company may also use its shares or debt as consideration for the business combination.

Risks

• No target selected — The company has not identified a specific business combination target and may fail to complete a business combination within the required time period.
• Working capital deficit — As of June 30, 2026, shareholder equity was negative $6.7 million, indicating a working capital deficit that could affect liquidity.
• Dependence on Trust Account — The company's ability to complete a business combination relies on the cash in the Trust Account, and redemptions by public shareholders could reduce the amount available.
• No operating history — The company has no revenue and only limited activities since inception, making it difficult to evaluate its prospects.

Outlook

Management expects to continue incurring significant costs in pursuit of acquisition plans and expects to complete a business combination using proceeds from the IPO and private placement. There is no assurance that the plans will be successful. The company may seek to extend the Combination Period by amending its charter, which would require public shareholder approval and could result in further redemptions.