Hennessy Capital Acquisition Corp. III, announced this morning that they have secured capital commitments to the tune of $85 million, thereby securing the necessary financing to complete their business combination with NRC Group.
Hennessy’s current redemption price is $10.19 and that’s exactly where the share traded to this morning, which is a good place to start before the team hits the road and starts marketing.
The transaction is anticipated to close some time in October of this year.
Details:
The $85 million is mix of common and convertible preferred:
- $62.0 million of shares of the Company’s 7.00% Series A Convertible Preferred Stock at a cash purchase price of $100.00 per share (initial conversion price of $12.50 per share, or eight common shares for every preferred)
- $23.0 million of shares of the Company’s common stock at a cash purchase price of $10.25 per share.
However, it should be noted that for the financing, there is a $750,000 closing fee to be paid to the subscriber, Cyrus Capital Partners, L.P., which subscribed for both 530,000 shares of the Company’s 7.00% Series A Convertible Cumulative Preferred Stock and 1,463,415 shares of the Company’s common stock (at a price of $10.25 per share of Common Stock).
Cyrus represents $68 million of the total $85 million and the remainder would appear to be Nomura’s backstop investment ($9 million convertible preferred + $8 million common stock)
Credit Suisse, Stifel and Nomura Securities acted as joint private placement agents in connection with the subscription agreements.
At the SPAC of Dawn Two SPACs have scheduled shareholder votes for this week including Bukit Jalil 1‘s (NASDAQ:BUJA) special meeting to approve its combination with Global IBO Group later today. The SPAC still has about half of its $50 million trust in tact going into the vote and Global IBO’s core business of providing...
Terms Tracker for the Week Ending March 28, 2025 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. No SPAC IPOs priced this week, which means March closes out with just two IPOs total, both of which priced last week. By comparison, January...
At the SPAC of Dawn The year’s first big IPO has arrived, and its wings have already been trimmed before it got out the gate. AI chip firm CoreWeave had been aiming to price at a range of $47 to $55 per share, which would have valued the company at $26.5 billion at the top...
At the SPAC of Dawn Another day, another wave of trade war news as US President Donald Trump has announced fresh 25% tariffs on all imported automobiles on April 3 in addition to the new customs duties expected to come into force on April 2. These moves cut across a wide swath of SPAC target...
Armada Acquisition Corp. II has filed for a $200 million SPAC to combine with a fintech, SaaS or AI company with nearly the same team top-to-bottom that just completed its first SPAC combination in that space. The filing is Cohen & Company’s seventh of the year as left-lead underwriter and Northland Capital Markets is stepping in...