SPACInsider Logo
Gores Holdings VIII (GIIX) Re-Strikes Footprint Deal
by Nicholas Alan Clayton on 2022-09-06 at 7:23am

Gores VIII (NASDAQ:GIIX) announced this morning that it has amended its deal with sustainable materials-maker Footprint, bringing in new capital and lowering the target’s valuation.

The parties agreed to lower Footprint’s enterprise value by 37.5% to $1 billion from $1.6 billion while adding a standby equity facility worth up to $300 million and a $280 million facility designated for equipment purchases through 2023. Footprint is to have access to a minimum of $100 million under the standby equity facility but can pull in up to $300 million at its discretion.

Koch Strategic Platforms has also upsized its investment in the transaction’s PIPE, which is now anticipated to deliver $290 million to Footprint prior to the deal’s close. Taken together with the roughly $345 million Gores VIII holds in trust, the transaction is now expected to provide up to $960 million in cash proceeds.

Footprint also provided an update in its press release, noting that it is on pace to rack up $924 million in contracted revenue by the end of 2022, although just how solidified those arrangements are is yet to be seen.

Gores VIII initially announced the deal on December 14 and it is gradually become one of the older pending transactions among experienced SPAC teams. These changes show, however, that the teams have been busy during this time.

With major capital expenditures slated to help it build out its manufacturing capacity, Footprint expects to generate $135 million in revenue in 2022E with the company’s first EBITDA-positive year coming in 2023E when it is projected to generate $23 million from $500 million in revenue.

 

 

Recent Posts
by Kristi Marvin on 2023-01-28 at 1:59pm

Terms Tracker for the Week Ending January 27, 2022 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. We’re coming up on the end of January, the first month of the year, and to-date no new S-1s have been filed. Additionally, the number...

by Marlena Haddad on 2023-01-27 at 11:34am

  Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.  Latest SPAC News: Circle spokesperson denies blaming SEC for failed deal, BuzzFeed CEO says AI-powered content will be part of core business, and FaZe Clan faces possible delisting Circle Spokesperson Denies Blaming SEC for Failed $9 Billion Deal...

by Nicholas Alan Clayton on 2023-01-27 at 10:00am

Health Sciences 2 (NASDAQ:HSAQ) announced that it closed its combination with Orchestra BioMed on January 26. HSAQ ahead of its vote pre-announced redemption figures of 1,597,888 shares equating to 67.7% redemptions, however, that’s still subject to change.  However, today it was noted that Orchestra BioMed is to receive $70 million in gross proceeds including $20...

by Kristi Marvin on 2023-01-27 at 7:33am

Carbon capture technology has long been talked about, and it is finally in operation with LanzaTech among the pioneers. Its plants are turning potential emissions into clothing, household goods and sustainable fuels. SPAC cash is now also an accelerant in this new process as the company announced a $1.7 billion combination with AMCI II last March. This week, we caught up with...

by Nicholas Alan Clayton on 2023-01-27 at 7:30am

In this series we’ll be examining successful SPAC deals from the past both in the terms and circumstances of their de-SPAC processes and how they have weathered the storms that have followed after their public listings with research from SPACInsider contributor Anthony Sozzi. Thirty months does not sound like that long, but it’s been a...

Privacy Policy|Terms Of Use
Copyright © 2022 SPACInsider, Inc. All Rights Reserved