For three months ended September 30, 2021, we had a net income of $1,768,123, which resulted primarily from a gain on the change in fair value of warrant liabilities of $2,112,000 and interest income of 7,190 partially offset by operating and formation costs of $285,056 and franchise tax expense of $66,011.
For nine months ended September 30, 2021, we had net income of $5,558,941, which resulted primarily from a gain on the change in fair value of warrant liabilities of $6,975,006, interest income of 32,368 and an unrealized gain on investments held in Trust Account of $20,871, offset by expensed offering costs of $736,627, operating and formation costs of $567,759 and franchise tax expense of $164,918.
For the period from August 10, 2020 (inception) through September 30, 2020, we had no net income.
Liquidity and Capital Resources
On January 12, 2021, we consummated an initial public offering of 27,600,000 units generating gross proceeds to the Company of $276,000,000. Simultaneously with the consummation of the initial public offering, we completed the private sale of 8,700,000 warrants to Tastemaker Sponsor, LLC at a purchase price of $1.00 per warrant (the “Private Placement Warrants”), generating gross proceeds of $8,700,000.
For the nine months ended September 30, 2021, net cash used in operating activities was $901,635, which was primarily due to a change in fair value of warrant liabilities of $6,975,006, an unrealized gain on investments held in the Trust Account of $20,871, interest income on investments held in trust $32,343, of changes in working capital of $168,983, offset in part by our net income of $5,558,941 and expensed offering costs related to the initial public offering of $736,627.
For the period from August 10, 2020 (inception) through September 30, 2020, no cash was used in operating activities.
For the nine months ended September 30, 2021, net cash used in investing activities of $278,760,000 was the result of the amount of net proceeds from the initial public offering being deposited to the Trust Account.
Net cash provided by financing activities for the nine months ended September 30, 2021 of $279,970,523 was comprised of $270,480,000 in proceeds from the issuance of units in the initial public offering net of underwriter’s discount paid, $8,700,000 in proceeds from the issuance of warrants in a private placement to our Sponsor, and reimbursed offering expenses of $1,352,400, offset in part by payment of $366,877 for offering costs associated with the initial public offering and repayment of the outstanding balance on the promissory note to our Sponsor of $195,000.
Net cash provided by financing activities for the period from August 10, 2020 (inception) through September 30, 2020 was $61,426 was comprised of $195,000 in proceeds on the promissory noted from our Sponsor and $25,000 in proceeds from sale of Class B common stock to Sponsor, offset in part by in part by payment of $158,574 for offering costs associated with the initial public offering.
As of September 30, 2021, we had cash of $327,604 held outside the trust account. We intend to use the funds held outside the trust account primarily to identify and evaluate target businesses, perform business due diligence on prospective target businesses, travel to and from the offices, plants or similar locations of prospective target businesses or their representatives or owners, review corporate documents and material agreements of prospective target businesses, and structure, negotiate and complete a business combination.
In order to fund working capital deficiencies or finance transaction costs in connection with an intended initial business combination, our Sponsor or an affiliate of our Sponsor or certain of our officers and directors may, but are not obligated to, loan us funds as may be required on a
non-interest
basis. If we complete our initial business combination, we would repay such loaned amounts. In the event that our initial business combination does not close, we may use a portion of the working capital held outside the trust account to repay such loaned amounts but no proceeds from our Trust Account would be used for such repayment. Up to $1,500,000 of such loans may be convertible into warrants of the post business combination entity at a price of $1.00 per warrant at the option of the lender. The warrants would be identical to the private placement warrants. The terms of such loans, if any, have not been determined and no written agreements exist with respect to such loans. Prior to the completion of our initial business combination, we do not expect to seek loans from parties other than our Sponsor or an affiliate of our Sponsor as we do not believe third parties will be willing to loan such funds and provide a waiver against any and all rights to seek access to funds in our trust account.