SPACInsider Logo
Future Health ESG Corp. (FHLT) Mutually Terminates PIPE and FPA
Future Health ESG Corp. (FHLT) Mutually Terminates PIPE and FPA
by Marlena Haddad on 2022-10-12 at 5:54pm

Future Health (NASDAQ:FHLT) disclosed in an 8-K this afternoon that it has mutually terminated its PIPE and forward purchase agreement (“FPA”) in connection with its business combination with medical technology company Excelera Health.

Investor Variant Capital previously subscribed to a PIPE, effective as of the deal announcement on June 13, 2022, to purchase an aggregate of 9,090,909 shares of common stock at $11.00 per share in connection to the proposed merger. But, on October 7, the parties agreed to mutually terminate the agreement.

On that same day, Future Health and Hakim also mutually terminated the previously disclosed FPA. As part of the original agreement, Hakim intended to purchase shares of common stock of Future Health in the open market at an aggregate purchase price of $20 million. The purchase was expected to be completed prior to two business days before Future Health’s shareholder meeting to vote on its merger with Excelera  and immediately prior to the business combination, the requisite number of shares at $11.00 per share to satisfy any unfulfilled portion of the $20 million purchase commitment.

Future Health originally brought in $201 million from its current trust to finance the deal, but expected to supplement this with the $100 million PIPE at $11 per share and the $20 million FPA. Although the subscription agreement and FPA are no longer in effect, the SPAC does not expect the termination to impact Excelera’s operations or delay closing of the deal, which does not have a minimum cash at closing condition.

As of now, Future Health is in discussions with investors to secure alternative strategic financing, which management hopes will be less dilutive to its stockholders.

The SPAC announced the $459 million deal with Excelera just a few months ago on June 14, 2022. Newport Beach, California-based Excelera operates a just-launched network of physicians serving Medicare patients through a direct contracting entity (DCE) model aimed at reducing costs.

 

 

Recent Posts
by Kristi Marvin on 2022-11-28 at 8:27pm

Considerations for Creating Shareholder Value in a Volatile Market   Join us for a virtual panel on December 14, 2022 The current trends of rising interest rates and inflationary cost increases, among other things, have imposed downward pressures on publicly traded equity prices, especially for businesses that became publicly traded via a de-SPAC merger. Please...

by Marlena Haddad on 2022-11-28 at 12:02am

  Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.  Latest SPAC News:  Virgin Galactic appoints new top lawyer, Trump Media SPAC rises after investors approve merger deadline extension, and Al Maadeed to be first Qatari to list company on NYSE Virgin Galactic, Preparing for Liftoff,...

by Nicholas Alan Clayton on 2022-11-25 at 2:31pm

PMV Consumer (OTC PINK:PMVC) announced that it is redeeming all non-insider public shares for approximately $10.09 per share, but it will not be dissolving just yet. The SPAC is set to provide written redemption notices to each shareholder and trust proceeds are to be distributed within 30 days of these notices. PMV Consumer will then...

by Marlena Haddad on 2022-11-25 at 11:02am

  Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.  Latest SPAC News: Ex-Marvel chief takes the wheel at Arrival, Paysafe plans reverse stock split, and Dave Inc. to pursue a bank charter Founder of troubled electric van maker Arrival steps aside as CEO The founder...

by Nicholas Alan Clayton on 2022-11-25 at 7:31am

Digital World (NASDAQ:DWAC) announced late Wednesday that its shareholders have approved amending its charter to allow for automatic three-month extensions of its transaction deadline until September 8, 2023. This brings to close a long drama during which Digital World adjourned the vote without concluding business six times at different meetings in September, October and November....

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