two (TWOA) Sells Sponsor Economics to Hennessy Team
by Nicholas Alan Clayton on 2023-03-23 at 7:22am

two (NYSE:TWOA) announced in an 8-K this morning that it has transferred the majority of its sponsor interest to a new team led by SPAC veteran Thomas Hennessy.

The new sponsor entity HC Proptech Partners III is to purchase 4,854,375 promote shares (90.9%) for undisclosed cash consideration and all current SPAC officers are expected to resign.

The handover is expected to occur by March 29, which is also the redemption deadline for the SPAC’s currently scheduled vote to extend its deadline to January 1, 2024. The incoming team will in the meantime seek to sign non-redemption agreements with two’s Class A shareholders with the goal of maintaining at least $50 million in cash in the trust account.

Should the parties fail to secure such agreements, or if other complications prevent the transaction from being consummated by March 29, such as the provision of a D&O insurance policy, then two will cancel its extension vote and opt to liquidate instead.

With the takeover complete and the extension secured, the SPAC is to be renamed PropTech Investment Corporation III, thus effectively joining Hennessy’s earlier series of SPACs. PropTech I completed a combination with Porch.com (NASDAQ:PRCH) in December 2020 and PropTech II closed with Appreciate (NASDAQ:SFR) in November 2022.

The two team, led by Eventbrite (NYSE:EB) co-founder Kevin Hartz, now appears to be checking out of the current SPAC cycle. But, the team’s previous vehicle, one, completed a merger with 3D-printing company Markforged (NYSE:MKFG) in July 2021.

 

Recent Posts
by Nicholas Alan Clayton on 2024-02-20 at 1:31pm

Deals and Funding Power & Digital (NASDAQ:XPDB) has secured a $10 million investment from Rice Investment Group into its combination with HVAC technology firm Montana under undisclosed terms. two (NYSE:TWOA) has secured a $15 million PIPE at $10 per share for its combination with LatAm Logistic Properties. News and Rumors PR: Adtech firm Banzai International...

by Nicholas Alan Clayton on 2024-02-20 at 10:29am

Acri Capital (NASDAQ:ACAC) has entered into a definitive agreement to combine with electronics manufacturer Foxx for $50 million in share compensation. Texas-based Foxx provides communication terminals and IoT services to the telecom sector as well as consumer electronics for retail buyers. The combined company is expected to trade on the Nasdaq once the deal is...

by Nicholas Alan Clayton on 2024-02-20 at 7:39am

At the SPAC of Dawn SPAC filings have had a relatively slow start out of the gate from the long weekend, but this week should end with some fireworks with six completion votes yet to come and a lunar landing to boot. Three of these votes have been postponed at least once already, so the...

by Kristi Marvin on 2024-02-17 at 11:45am

Terms Tracker for the Week Ending February 16, 2024 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. Filings were on the quieter side ahead of the three-day weekend, with the following week also usually heavily booked with spring break vacations. As a...

by Nicholas Alan Clayton on 2024-02-16 at 1:36pm

It may be a photo finish for top SPAC underwriter in 2024 if SPACInsider‘s readers are correct. In this week’s Let’s Settle This poll, respondents were split with equal numbers predicting Cantor or EF Hutton to price the most SPAC IPOs by year’s end. A roughly equal number of respondents predicted six other underwriters could...

logo

Copyright © 2023 SPACInsider, Inc. All Rights Reserved