One Last SPAC to Close Out August and Bring the Month’s Deal Count to Seven.
Longevity, which will be focusing on companies in China, will be looking to raise $40 million at IPO. However, there is always the possibility of an upsize given how attractive the China-focused SPAC structures are to investors. Specifically, the terms provide 12 months to find an acquisition, but with three(3) 3-month extensions possible with an increase of $0.10 per share added to the trust for each extension.
The $40 million Longevity deal ends the SPAC-abundant summer on a high note. To give some perspective on just how busy it actually was, in the past three months alone, (June, July, and August), there will be 16 deals, including Longevity, raising total gross proceeds of $3.772 billion. Looking at January through May, which has two extra months, only $3.354 billion was raised over 15 deals.
We have four more months left in the year. Anybody want to start a pool on what we think final deal count and gross proceeds will be?
Cantor is sole bookrunning manager for Longevity Acquisition Corp.
Longevity Acquisition Corporation Summary of Terms:
- Focus: China
- Size: $40 million
- $10.00 unit comprised of one Ordinary Share + one Warrant (1/2 share) + one Right
- Each Right entitles the holder to receive one-tenth (1/10) of one Share
- Warrant call for redemption threshold: equals or exceeds $18.00 (cash or cashless exercise)
- 100% held in trust ($10.00 per share)
- Life: 12 months to complete an acquisition + three 3-month extensions ($0.10/share added to Trust for each extension)
- Limitation on Redemption Rights: 15%
- At-risk Capital: $2.7 million (270K private placement units, Cantor participating for 20K units)
- Underwriter fees: 3.0% + 2.5% deferred.
Cantor Fitzgerald is sole book-runner.
Ellenoff Grossman & Schole LLP and Loeb & Loeb LLP are Issuer’s Counsel and Underwriter’s Counsel, respectively.
Terms Tracker for the Week Ending November 24, 2023 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. This being the Thanksgiving holiday week, we are thankful for a lot of things, but mostly that 2023 is almost over. It’s been a rough...
At the SPAC of Dawn Though perhaps stuffed to the brim, SPAC activity continues this Thanksgiving Friday with votes by Clean Earth and Zalatoris to extend a deadline and amend trust contributions, respectively. At least seven de-SPACs are also reporting earnings today and will do so going into a futures market that is mostly green...
IB Acquisition Corp. submitted its S-1 filing Friday afternoon for a $100 million IPO, coming right on the heels of Bayview Acquisition Corp, which also filed its S-1 that day. IB is also similar to Bayview in that its units do not feature a warrant but include 1 right for 1/10. However, its trust is slightly...
Integrated Wellness (NYSE:WEL) announced in an 8-K filing that it agreed to transfer control of its sponsor to Sriram Associates, which will now take on the SPAC’s financial obligations and may appoint a new team. Sriram is acquiring 2,012,500 promote shares (70%) and 4,795,000 private placement warrants (70%) for the nominal purchase price of $1....
At the SPAC of Dawn So far, seven SPACs have announced their liquidations this week and although some others may choose to use the holiday to quietly disband, this tends to be a positive week for equities in general. Going back to 1961, the S&P 500 has ended the Thanksgiving week with gains three-quarters of...