SPACInsider Logo
Parsec Capital (PCX) “Maybe” Begins Liquidation Process
by Nicholas Alan Clayton on 2022-12-08 at 2:28pm

Parsec Capital (NASDAQ:PCX) announced in an 8-K this morning that it has begun the process of liquidating its trust account, but the filing also curiously notes that the team is trying to carry on with its announced combination with Enteractive Media.

The announcement matches what the SPAC said in its 10-Q filed November 18, that it had determined it was “in the best interests of the Company and its stockholders to dissolve and liquidate”. In today’s update, it notes that this is occurring because it failed to make the required payment to extend its transaction deadline from October 8 of this year.

Oddly, the SPAC announced its business combination with Enteractive on October 18, 10 days after this date had passed. The Toronto-based company produces media around esports and gambling tips, but gave little information about itself at announcement. What few details of the company could be gleamed from the web only made it seem stranger.

The parties did amend the deal slightly in November from consideration of 5,000,000 shares at an assumed price of $4 per share to 6,900,000 shares at an assumed price of $10. But, 1,900,000 of those shares would be forfeited by the combined company if it failed to achieve gross revenues of at least $3 million in 2023.

That would be irrelevant, however, if the SPAC was unable to fund its automatic extension at $0.10 per share for three months to January 8, 2023, or receive shareholder approval for an extension by vote. Parsec was evidently unable to open door number one, but, the company still aims to try door number two if it is not too late to do so.

The 8-K notes that “The Company will try to receive permission from its remaining shareholders and regulatory authorities to continue its existence and complete its previously announced business combination with Enteractive Media Inc. but there can be no assurance that it will be able to do so.”

Why the SPAC is attempting this after determining three weeks ago that it was in everyone’s best interests to liquidate is not explained, nor how it would accomplish this as it has not yet filed a proxy for a vote. If the trust administrator has indeed begun the liquidation process, then the time is very short. But, then again, the filings do not note a firm liquidation date or per share redemption amount.

SPACInsider has not previously had the need for a “Possibly Liquidating” category for SPACs, so Parsec will remain in the Announced column for now.

 

Recent Posts
by Nicholas Alan Clayton on 2023-01-30 at 2:04pm

Seaport Calibre Materials Acquisition Corp. (NASDAQ:SCMA) announced in an 8-K that it has inked new non-redemption agreements after postponing its initial extension vote. The SPAC has agreed to allocate up to 37,500 promote shares (1.1%) to investors holding in exchange for them agreeing not to redeem an aggregate of 150,000 shares at the vote now...

by Marlena Haddad on 2023-01-30 at 1:22pm

Armada I (NASDAQ:AACI) announced this afternoon that it has once again postponed its extension vote. The SPAC initially planned to hold its special meeting on January 20, but postponed it to January 30, and will now be pushing it back until tomorrow, January 31. Armada has also extended the deadline for holders to submit their public...

by Nicholas Alan Clayton on 2023-01-30 at 12:07am

Prime Impact I (NYSE:PIAI) has entered into a definitive agreement to combine with auto insurance firm Cheche at an enterprise value of $841 million, or about 2.3x its 2022 revenue. Beijing-based Cheche provides a digital insurance platform for car owners in China with about 34 million vehicles covered. The combined company is expected to trade...

by Marlena Haddad on 2023-01-30 at 11:42am

  Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.  Latest SPAC News: Hambro Perks eyes merger with Biotech Istesso, Rocket Lab launches first vehicle from U.S. soil, and Alliance Entertainment signs licensing agreement with The Walt Disney Company Hambro Perks SPAC Eyes Merger With Biotech...

by Marlena Haddad on 2023-01-30 at 10:15am

Pono Capital Corp. (NASDAQ:PONO) disclosed in an 8-K filing this morning that its shareholders approved its combination with air mobility company AERWINS at a special meeting held on Friday, January 27. Holders of 12,412,861 common shares were present at the meeting and the deal was approved with 11,218,712 shares in favor of the transaction. The filing did not...

Privacy Policy|Terms Of Use
Copyright © 2022 SPACInsider, Inc. All Rights Reserved