At the SPAC of Dawn
Good morning! Watch this space moving forward as a roundup of evening filings as well as news nuggets you to nibble on beside your morning coffee.
This morning, the most notable buzz continues to surround two titans of the SPAC world as Bill Ackman finally gets his SPARC structure approved, and Michael Klein takes one of his last three vehicles off the road.
Klein’s decision to liquidate Churchill Capital V (NYSE:CCV) continues the serial SPAC sponsor’s up-and-down year in dealings with Credit Suisse, First Boston and LIV Golf. It does not mean he is out of the SPAC game as Churchill VII (NYSE:CVII) still has a pending deal and Churchill VI can extend its deadline to February.
It is, however, a reminder of the ever-shifting SPAC tides. A hop in SPACInsider‘s Time Machine shows that on this date last year, there were 671 SPACs in the Searching and Announced columns as compared to today’s pared-down 330.
More specifically to the two gentlemen in the news, the Churchill team’s signature de-SPAC Lucid (NASDAQ:LCID) was trading above $14 on the day and Ackman had just filed Pershing Square SPARC Holdings’ third S-1/a with a dizzying 13 more amendments to come.
Latest Liquidations
As noted above, Churchill Capital Corp V announced yesterday afternoon that its board of directors (the “Board”) has determined to redeem all of its outstanding shares of Class A common stock. Additionally, the previously disclosed non-binding letter of intent has been terminated as well.
The per-share redemption price for the public shares will be approximately $10.40 and the last day of trading will be October 16, 2023. Effective as of the close of business on October 17, 2023, the public shares will be deemed cancelled and will represent only the right to receive the Redemption Amount.
Deal Amendments
On October 2, 2023, Catcha Investment Corp (NYSE American: CHAA) and Crown LNG Holdings Limited, filed an 8-K detailing Amendment No. 1 to their Business Combination Agreement. Specifically, “Article III – Earnout” of the Business Combination Agreement is to be deleted.
This deleted section previously specified that Crown shareholders had the contingent right to receive shares of Common Stock equivalent to ten percent (10%) of the issued and outstanding equity interests as of the closing of the Business Combination.
News and Rumors
- Institutional Investor: Don’t expect Ackman to buy Twitter with his SPARC; a deal in the cash-hungry PE sector more likely
Scheduling Notes
- Home Plate Acquisition Corporation (NASDAQ:HPLT) convened and then adjourned its October 2 extension vote and will reconvene it at 3 pm ET October 3.
- Twin Ridge Capital Acquisition Corp. (NYSE:TRCA) plans to convene and then adjourn its extraordinary general meeting today at 11:30 a.m., Eastern Time. At the General Meeting, Twin Ridge plans to inform its shareholders of the date on which the General Meeting will be adjourned to.
Mobiv Acquisition Corp. (NASDAQ:MOBV) announced this afternoon that it has closed its combination with EV motorcycle-maker SRIVARU. Shareholders originally approved the deal at a special meeting held back on September 28, but at that time, the parties expected the transaction to take just a week to close. Redemptions whittled Mobiv’s IPO share pool of 10,005,000 down...
Achari Ventures I (NASDAQ:AVHI) has entered into a definitive agreement to combine with medtech firm Vaso Corporation at an equity value of $176 million, or 19.5x its 2022 adjusted EBITDA. Wuxi, China-based Vaso provides IT services and sales support to medical device manufacturers. The combined company is expected to trade on the Nasdaq under the...
EF Hutton Acquisition Corp. I (NASDAQ:EFHT) announced this morning that its shareholders have approved its business combination with E.C.D. Auto Design. At the meeting, there were 5,089,203 shares of common stock, representing approximately 76.82% of the issued and outstanding shares of common stock, present. In connection with the meeting, the company’s stockholders holding 3,470,945 shares,...
Legato Merger Corp. III (NYSE:LEGT) filed for a $175 million IPO yesterday afternoon, becoming the fourth SPAC to file this week. While the other three SPACs that filed their S-1s earlier this week intend to pursue targets in the financial services and biotech industries, Legato III, similar to the earlier Legato SPACs, will focus on...
At the SPAC of Dawn This week ends with an unusually busy earnings calendar as 172 US-listed companies report quarterly figures today. Among them is Exela Technologies (NASDSAQ:XELA), which completed a combination with Quinpario 2 in 2017. The billing software company has gone on to do another SPAC deal on November 29, this time spinning...