Spark I Acquisition Corp appoints new auditor

In a recent change to its financial oversight, Spark I Acquisition Corp (market capitalization: $176.7 million), a blank check company currently trading near its 52-week low at $10.51, has switched its certifying accountant from Marcum LLP to CBIZ (NYSE:CBZ) CPAs P.C. This transition occurred following the acquisition of Marcum's attest business by CBIZ on November 1, 2024, which included the transfer of partners and staff responsible for attestation services.

The company's Audit Committee approved the change on Monday, leading to the formal engagement of CBIZ as its new independent registered public accounting firm. Marcum's reports on the company's financial statements for the fiscal years ending December 31, 2023, and December 31, 2024, did not contain any adverse opinion or disclaimer and were not qualified or modified, except for an explanatory paragraph regarding the company's ability to continue as a going concern. According to InvestingPro data, the company's current ratio of 0.36 indicates potential liquidity challenges, with short-term obligations exceeding liquid assets.

Throughout the fiscal years in question and up to Marcum's dismissal on Monday, there were no reported disagreements or reportable events between Spark I Acquisition Corp and Marcum related to accounting principles, financial statement disclosure, or auditing scope or procedure.

Before appointing CBIZ, Spark I Acquisition Corp did not consult with the firm on any accounting principles or auditing matters that would have affected their financial statements. Moreover, there were no disagreements or reportable events involving CBIZ prior to this engagement.

Marcum has been provided with a copy of this report and has been requested to furnish a letter to the SEC stating whether it agrees with the details of the change as described. The letter from Marcum, dated today, confirms their agreement and is included as an exhibit to this SEC filing.

This change in the company's auditing firm is detailed in the Form 8-K filed with the U.S. Securities and Exchange Commission by Spark I Acquisition Corp.

The information in this article is based on a press release statement. Despite these challenges, InvestingPro analysis shows the company maintains a GREAT financial health score of 3.02, suggesting resilience in its overall financial position. Investors can access detailed financial health metrics and 7 additional exclusive ProTips for Spark I Acquisition Corp through an InvestingPro subscription.

In other recent news, Spark I Acquisition Corp has entered into a financial agreement with its Sponsor, SPAC Fund LLC, by issuing a promissory note valued at up to $1.9 million. As of now, Spark has drawn $840,000 from this facility. This note, dated January 28, 2025, is unsecured, carries no interest, and is repayable upon the successful completion of the Company's initial business combination. If a business combination is not achieved, the outstanding amount will be forgiven. The Sponsor has the option to convert up to $1.5 million of the note into warrants at $1.00 per warrant upon consummation of a business combination. These warrants would be identical to those issued in a private placement concurrent with Spark's initial public offering. The establishment of the note is part of Spark's strategic efforts to secure additional working capital as it evaluates potential business combinations. This financial maneuver is disclosed in Spark's recent 8-K filing and is exempt under Section 4(a)(2) of the Securities Act of 1933.

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