Velos Acquisition I Corp.

What they do

Velos Acquisition I Corp. is a Cayman Islands exempted company incorporated on March 12, 2024, as a blank check company for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, or reorganization with one or more businesses. It has no operations and has not generated any revenue to date. The company is sponsored by M3 Partners, LP, and Brigade Capital Management, LP, and is led by a team that organized several prior SPACs.

Revenue drivers

• Business Combination — The company has no current revenue; its only potential source of value is completing an initial business combination using IPO proceeds.

Recent performance

The company reported net income of $5.8 million for 2025, while operating cash flow was negative $1.5 million. As of June 30, 2026, total assets were $312.5 million and total liabilities were $21.7 million, resulting in negative shareholder equity of $21.4 million. Cash and equivalents were $142,798 as of June 30, 2026.

Strategy

The company intends to complete an initial business combination using cash from its IPO and private placement warrant sale, its shares, debt, or a combination of these. On July 7, 2025, it entered into a Business Combination Agreement with ReserveOne, but the parties mutually terminated the agreement on June 12, 2026. Following the termination, the company entered into securities purchase agreements and non-redemption agreements to secure shareholder approval for an extension of its combination deadline, which was approved at a July 17, 2026 shareholder meeting.

Risks

• Liquidation risk — If the company fails to complete a business combination by the extended deadline, it will be forced to liquidate, returning funds to shareholders.
• Shareholder vote risk — The company may complete a business combination even if a majority of public shareholders do not support it, as founder shareholders participate in any vote.
• No operating history — The company has no operations or revenue, making its success entirely dependent on finding and completing a viable acquisition.
• Trust account depletion — Continued pursuit of a business combination incurs significant costs, which could deplete available cash and trust account funds over time.

Outlook

Management expects to continue incurring significant costs in pursuing acquisition plans, and the company cannot assure that its plans to complete a business combination will be successful. Following the termination of the ReserveOne agreement and approval of an extension, the company has additional time to identify and complete a new initial business combination.