Mountain Crest III (NASDAQ:MCAE) and a PIPE investor have mutually terminated a $250 million investment in connection to its proposed merger with healthcare group ETAO.
The investor, SME Investment Group Co., had originally agreed to purchase 25,000,000 ordinary shares at deal announcement for an aggregate cash amount of $250 million at $10.00 per share. But, MCAE and the investor terminated the PIPE agreement on July 25, 2022, by mutual consent. However, a reason was not provided.
The terminated PIPE comes just weeks after Mountain Crest III noted its uncertainty about the investment in an amendment to the merger. ETAO had originally expected to take in a $51 million investment prior to February 15, 2022, but last month’s 8-K revealed that it had failed to do so. Additionally, MCAE reduced ETAO’s valuation from $2.5 billion to $1 billion citing unfavorable market conditions, ETAO’s financial statements, and its failure to close the $51 million private placement.
MCAE brings $54.1 million into the deal. The SPAC’s closing condition states that its aggregate cash proceeds available to the Parent Parties from the PIPE Financing shall be not less than an aggregate of $200,000,000.
The SPAC originally announced its business combination with ETAO on January 28, 2022. Beijing-based ETAO is a diversified digital healthcare group managing 12 hospitals, about 30 chain clinics and an insurance brokerage.
Despite a week of general pull-backs in the market, fintech firm Ibotta (NYSE:IBTA) nonetheless took the dive and had a good week debuting via a traditional IPO in the choppy waters. The company, which provides app-based consumer cashback discounts on purchases, priced its IPO at $88, above its proposed range of $76 to $84, and...
At the SPAC of Dawn Happy Friday! SPACInsider has unveiled new presets on SPAC Performance accessible via the Data drop-down to easily sort for the highest and lowest performing active SPACs and de-SPACs. On the de-SPAC side, Vertiv (NYSE:VRT) continues to be well ahead of the pack, logging a 710% return by share price adjusted...
AGBA (NASDAQ:AGBA) stock is up over +90% this morning following a +211% premarket spike on news it has signed a definitive agreement to combine with social streaming video platform Triller. AGBA, the company itself, was formed by the $555 million combination between a SPAC of the same name and TAG Companies, a financial services firm...
At the SPAC of Dawn Since closing its combination with DHC last month, AI customer engagement firm BEN (NASDAQ:BNAI) has rolled out new partnerships with call center and healthcare clients. And, while it faces a fair bit of competition in the chatbot realm, several high-profile institutions have demonstrated that creating one that provides useful services...
Blue Ocean (NASDAQ:BOCN) provided significantly more texture today in the presentation for its $275 million combination with Asian digital media group TNL Mediagene, which it expects to hit profitability in the second half of the year despite a slight shakeup in financing for the transaction. The first big update in the first investor deck is...