Brilliant Acquisition becomes the latest SPAC to announce a delay in filing a 10-K annual report with the SEC while it reviews the regulator’s statements last week on accounting for warrants.
The SEC said warrants in many cases must now be accounted for as liabilities on the balance sheet, evidently triggering a wave of phone calls to accounting offices.
“The company’s conclusion as to the proper accounting treatment of its warrants (and corrective disclosures, if any) must be approved by its auditor, Marcum before the company can obtain Marcum’s consent to file its annual report on Form-10K for the fiscal year ending 2020,” Brilliant Acquisition said in a statement.
Nasdaq listing rules require the SPAC to file an annual report by June 14. Read more.
