KBL Merger Corp. IV (KBLM), filed a preliminary proxy this afternoon proposing to extend their current completion deadline another four months from July 9, 2020 to November 9, 2020. For reference, KBLM originally announced they had signed a definitive agreement with CannBioRx, back on July 26, 2019, almost a year ago. But now they are also in danger of losing their Nasdaq listing since they have exceeded the requirement which says a SPAC must complete its business combination within 36 months of effectiveness of the IPO. Since KBLM’s registration statement became effective on June 1, 2017, they’ve run over that time limit. KBLM has already stated that they intended to appeal Nasdaq’s decision, which buys them more time, however, if KBLM needs all four extension months, that means they have the potential to be a 41 month SPAC.
Nevertheless, KBLM does intend to contribute an additional $0.025 per month to non-redeeming shareholders for this extension BUT, in order to redeem you must also vote “Yes” or “No”. And in order to be eligible to vote, you must be a shareholder of record as of the June 22, 2020 record date. AND… today was the last day you could buy shares and have them settle T + 2 on June 22, 2020. If you buy shares tomorrow, you will NOT be a shareholder of record and will not be allowed to vote and subsequently redeem. It’s important to note that you can still redeem regardless of whether you vote yes or no, but the important item is that you have to vote, period.
However, since there is only approximately $11.4 million currently held in trust, with 1,114,267 shares capable of redeeming, this does not affect too many shareholders. But it will be interesting to see the results of this vote nonetheless. Especially given how long this transaction has taken to close. We’ll get to find out in less than a month…
Terms Tracker for the Week Ending March 24, 2023 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. While this week was relatively quiet on the filings front, we did see March’s second SPAC IPO price with Oak Woods Acquisition Corp’s $50 million...
Latest Non-Redemption Agreements: ExcelFin Acquisition Corp. ExcelFin Acquisition Corp. (XFIN) Adds Non-Redemption Agreement In connection with the special meeting of stockholders of ExcelFin Acquisition Corp. (NASDAQ:XFIN) to extend its completion deadline from April 25, 2023 to October 25, 2023, the company and its sponsor, ExcelFin SPAC LLC, entered into a non-redemption agreement with an unaffiliated third party....
Below is a daily summary of links to the latest SPAC news and rumors gathered across the web. Latest SPAC News: Momentus SPAC backers accused of deliberately engineering a catastrophic deal Momentus SPAC Backers Accused of Hiding Disastrous Deal’s Flaws A Momentus Inc. (NASDAQ:MNTS) investor sued backers of its blank-check merger with a shell company,...
DiamondHead Holdings Corp. (NASDAQ:DHHC) announced in an 8-K this morning that its shareholders approved its combination with Great Southern Homes at a special meeting March 23. Only 109,426 shares were redeemed in the connection with the vote, but DiamondHead has seen about 87% redemptions in total across all previous votes, leaving it with about $43.9...
Graf Acquisition Corp. IV (NYSE:GFOR) announced that it has signed a non-binding letter of intent to combine with clinical-stage biopharma company NKGen. This announcement is not a pure teaser as Graf IV is not facing an imminent extension vote and currently has until May 25 on its clock. It does, however, signal something of a...