Aesther Healthcare Acquisition Corp. (NASDAQ: AEHA) announced this afternoon that it has mutually terminated its combination agreement with automotive component manufacturer United Gear & Assembly.
The termination comes just two weeks after AEHA secured a common stock purchase agreement and not even two months after deal announcement. And while today’s 8-K did not disclose the reason for the breakup, it is likely that unfavorable market conditions played a significant role.
Aesther originally brought an estimated $105 million into the deal from its current trust and did not supplement the deal with a PIPE, but secured a common stock purchase agreement of up to $50 million earlier this month. This purchase agreement will also be terminated upon the termination of the merger agreement.
Going forward, AEHA intends to continue to identify and pursue a business combination with an appropriate target. Additionally, AEHA still has two months left on its clock, but can automatically extend their deadline two times for three-months each by contributing $0.10 per share to trust. AEHA raised $100 million at IPO last year on September 14, 2021 and initially intended to combine with a pharmaceutical or healthcare-focused business that has strong access to transformative technology. The SPAC is led by Chairman and CEO Suren Ajjarapu and CFO and Secretary Howard A. Doss.
Aesther Healthcare announced its business combination with United Gear just several weeks ago on May 27, right before the Memorial Day weekend. Hudson, Wisconsin-based United Gear is a subsidiary of United Stars Holdings, focused on manufacturing small to medium-sized precision gears and shafts for a variety of industries.
An In-Depth Look at SPAC Activity Throughout the Third Quarter of 2023 Below is a summary of the year-to-date SPAC performance. We’re now three-quarters of the way through 2023 and while activity remains muted, there is a sense that SPACs have run the most difficult part of the “correction” gauntlet and have reached a better...
Terms Tracker for the Week Ending September 29, 2023 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. As September comes to a close, SPACs did not price any IPOs during the month with the most recent IPO (99 Acquisition Group) having priced...
Athena Consumer Acquisition Corp. (NYSE:ACAQ) announced this afternoon that its stockholders approved its combination with German EV-maker e.GO at a special meeting held earlier today. Additionally, Athena Consumer’s warrant proposal to convert all outstanding warrants to 0.175 shares in the combined company was also approved. A total of 884,880 shares of Athena Class A Common...
October is set to be a quiet month for lock-up expirations with only four de-SPACs and four sponsors now open to trade their shares for the first time. The first customer is Bitdeer Technologies. Its shareholders and the Blue Safari sponsor both stand to gain the most out of this group from moving some of...
Graf Acquisition Corp. IV (NYSE:GFOR) announced in an 8-K this afternoon that its shareholders approved its combination with NKGen Biotech at a special meeting September 25. A total of 3,386,528 shares were redeemed in connection with the vote, leaving Graf IV with about $27.6 million in the tank and a final redemption rate of 84.3%....