Group Nine Acquisition Corp. (NASDAQ:GNAC) announced this afternoon that it has entered into a Membership Interest Purchase Agreement with 890 5th Avenue Partners, LLC to sell certain Class A interests of the sponsor, Group Nine SPAC, LLC, which economically corresponds to 4,025,000 shares of Class B common stock, or Founder Shares. Essentially, 890 5th is buying the economic interests of the Founder Shares without triggering a “change of control”.
As for 890 5th, it previously had its own SPAC which acquired online media outlet BuzzFeed (NASDAQ:BZFD) at an enterprise value of $1.5 billion. And while 890 5th clearly has experience in the media space (the sector within which Group Nine was looking), the Buzzfeed deal was not without controversy. 890 5th and Buzzfeed completed their business combination on December 2, 2021, but saw redemptions reach 94.4%, and subsequent employee protests.
However, as part of the Membership Interest Purchase Agreement, 890 5th Avenue Partners agreed not to sell the Founder Shares until 1 year following the business combination or if the shares are trading equal to or above $12.00 at least 150 days after closing.
In summary, this let’s Group Nine out of its SPAC while also letting 890 5th, which now has SPAC experience under its belt, work on bringing back a combination. In theory, 890 5th is far better armed for this go around having dealt with a difficult combination with Buzzfeed. Hopefully that experience translates into a great combination for Group Nine Acquisition Corp, and in the end, that’s all shareholders really want.
Cal Redwood Acquisition Corp. (NASDAQ:CRAQU) announced the pricing of its $200 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “CRAQU”, Friday, May 23, 2025. The new SPAC aims to combine with a company in the technology, media and telecommunications sector at the crossroads of emerging trends like...
At the SPAC of Dawn After trickling down to $12.82 at one point in the past year, Sable Offshore (NYSE:SOC) is back on a hot streak now that its oil operations are fully up and running. Having merged with Flame in February 2024, Sable became SPACInsider’s deal of the year, based on the vision that...
Oyster Enterprises II Acquisition Corp. (NASDAQ:OYSEU) announced the pricing of its upsized $220 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “OYSEU”, Thursday, May 22, 2025. The new SPAC aims to combine with a target company in a sector that aligns with the management’s expertise like technology,...
INFINT 2 (NASDAQ: Symbols TBD) has filed for a $100 million SPAC with another team running it back after their first successful close last year. The new SPAC has one right to a 1/10 share in each unit and has overfunded its trust to 100.50% with $10.05 per unit in trust from the start. This...
FIGX (NASDAQ:FIGXU) has filed for a $131 million SPAC with the goal of taking public a financial asset manager with the potential of expanding into a global player. The new S-1 is the ninth of the month and was followed by a tenth this morning, suggesting that May may yet hit April’s blistering pace of...