Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.
Law firm Schulte sues SPAC over fees from failed Philippine casino merger
U.S. law firm Schulte Roth & Zabel is suing its former client 26 Capital Acquisition Corp to recover more than $1.9 million in legal fees following the special acquisition company’s failed merger with the Philippines’ largest casino.
The law firm on Tuesday asked Delaware’s Court of Chancery to block 26 Capital, a SPAC, from dissolving before it pays its alleged legal fees. Schulte had advised 26 Capital on its planned $2.5 billion SPAC merger with Okada Manila, an affiliate of Japan’s Universal Entertainment (6425.T). […]
Lucid opens Saudi Arabia’s first car production facility
Electric carmaker Lucid Group, which went public with Churchill IV, has inaugurated the first-ever car production facility in Saudi Arabia’s port city of Jeddah.
The facility, which is the automaker’s second Advanced Manufacturing Plant (AMP-2) and first international plant, will produce electric vehicles (EV) for Saudi Arabia and export to other markets.
The AMP-2 facility, located in King Abdullah Economic City (KAEC), will assemble the luxury electric sedan Lucid Air, with an initial capacity to produce 5,000 units a year.
Financial restatements surge among SPAC startups
The number of companies that have restated their financial results or disclosed accounting problems has increased significantly in recent years, and many of the problems have been occurring at special purpose acquisition companies.
SPACs, also known as blank check companies, are basically shell companies that are used as a vehicle for taking a company public.
Glass Lewis, a proxy advisory services company, reported last month that after several years of companies going public through IPOs or SPAC mergers, it observed a more than 2.5-fold increase in companies with concerning material weaknesses or restatements, partly because many of the companies are only in the early stages of developing strong internal controls.
Intuitive Machines launches apparel line
Intuitive Machines (NASDAQ:LUNR), which went public in a merger with Inflection Point in February, is selling a line of apparel on Amazon.com ahead of the planned November launch of its IM-1 mission to land on the Moon. The company is selling t-shirts, hoodies, tank tops, sweatshirts, and more.
Struggling Embark Gets Nod for $2.5 Million Investor Suit Accord
Embark Technology Inc. can proceed with plans for a $2.5 million settlement with shareholders who claim more than $230 million in total losses from their investments, a federal judge in California said, acknowledging the autonomous truck company’s “tenuous” financial position.
The settlement merits preliminary approval, Judge Jacqueline Scott Corley said Tuesday.
The case stems from Embark’s merger with Northern Genesis II, a special purpose acquisition company, as a route to going public.
Shepherd Ave Capital Acquisition Corp. (Nasdaq: SPHAU) is the latest SPAC to file to IPO, making 24 new registration statements that have filed since June 1, 2024. So far, only two of those 24 have gone public, but it does indicate an active August. In SPACLand at least, August is never slow. As for Shepherd...
At the SPAC of Dawn SPACs have now priced 20 IPOs seven months into 2024 with an eye on beating 2023’s total of 31 IPOs. With a little more than 5 months left in the year, it’s expected that SPACs should at least match that number by only needing to price roughly two IPOs per...
DT Cloud Star announced the pricing of its $60 million IPO and its units are expected to begin trading on the Nasdaq under the symbol “DTSQU”, Thursday, July 25, 2024. The new SPAC aims to combine with an established business with long-term financial visibility, but has not limited itself to a particular industry or sector....
Launch Two (NASDAQ:LPBBU) has filed for a $200 million IPO that shows how the market has shifted for new issuance since its sister SPAC Launch One (NASDAQ:LPAAU) filed just over a month ago. Both SPACs are underwritten by Cantor Fitzgerald and seeking nominally the same raise at IPO, but Launch Two is overfunding its trust...
FTAC Emerald (NASDAQ:EMLD) has entered into a definitive agreement to combine with crypto fintech firm Fold at an enterprise value of $381 million. Phoenix, Arizona-based Fold provides digital banking services backed by a treasury of Bitcoin that includes FDIC-secured checking accounts as well Bitcoin trading and awards. The combined company is expected to trade on...