News

Special Purpose Acquisition Company (SPAC)

Kimberly Redmond | Equities.com |

WeWork agreed to a reverse merger with a special purpose acquisition company in a deal to take the office sharing startup public almost two years after a failed attempt at an initial public offering.

The planned merger with BowX Acquisition Corp (Nasdaq: BOWX), which is expected to close in the third quarter of this year, values WeWork at $9 billion including debt, a fraction of the $47 billion at which the company was once valued.


Reuters | Equities.com |

(Reuters) - WeWork lost $3.2 billion last year, according to documents shown to prospective investors by the office-sharing startup as apart of a pitch for $1 billion in investment and a stock market listing, the Financial Times here reported on Monday.

The company’s losses narrowed from $3.5 billion in 2019 and it plans to go public at a valuation of $9 billion including debt through a merger with a special purpose acquisition company (SPAC), the report said.


Reuters | Equities.com |

Southeast Asia’s biggest ride-hailing and food delivery firm Grab Holdings is in talks to go public through a merger with a U.S. special purpose acquisition company that could value it at nearly $40 billion, people familiar with the matter said.

A deal, if confirmed, would make it the largest ever blank-check transaction.


Kimberly Redmond | Equities.com |

Digital media outlet BuzzFeed Inc is reportedly looking to go public via a merger with special purchase acquisition company.

On Wednesday, Bloomberg reported BuzzFeed is in talks to merge with 890 5th Avenue Partners. No financial terms were disclosed and neither company commented on whether or not any deals were in the works.


Reuters | Equities.com |

Walmart Inc-owned Indian e-commerce company Flipkart is looking at going public in the United States through a merger with a blank-check company, Bloomberg News reported on Thursday, citing people familiar with the matter.

Flipkart has reached out to several special purpose acquisition companies (SPACs) and could seek a valuation of at least $35 billion in a blank-check deal, the report here said.


Kimberly Redmond | Equities.com |

Real estate technology startup Doma – formerly known as States Titles – announced Tuesday it is going public through a merger with a special purpose acquisition company (SPAC) that values Doma at $3 billion including debt.

The deal will provide $645 million in cash proceeds to Doma, including $345 million from Capitol Investment Corp V (NYSE: CAP) and $300 million from a fully committed private investment in public equity (PIPE) transaction. Investors in the PIPE include BlackRock, Fidelity Investments, SoftBank Group and Wells Capital Management.


Reuters | Equities.com |

Ardagh Metal Packaging will sell green bonds worth about $2.8 billion on Friday, the biggest green issuance in the high-yield market to date, as a part of its plan to merge with a blank-check firm backed by billionaire Alec Gores.

Sub-investment-grade firms rarely issue green bonds, which fund environmentally-friendly projects. Just $12 billion was raised by such companies last year, according to Dealogic, a far cry from 2020’s overall green issuance of $270 billion, according to Climate Bonds Initiative.


Reuters | Equities.com |

India’s largest renewable energy firm ReNew Power on Wednesday agreed to go public through a merger with blank-check firm RMG Acquisition Corporation II, in a deal that values the merged entity at roughly $8 billion.

The deal will be financed with cash proceeds of $1.2 billion, including investments of $855 million from investors including serial blank-check dealmaker Chamath Palihapitiya, funds managed by BlackRock and Sylebra Capital among others.


Kimberly Redmond | Equities.com |

Luxury electric vehicle maker Lucid Motors will go public as part of a reverse merger with Churchill Capital IV Corp, a special purpose acquisition company (SPAC) started by well-known former Citigroup investment banker Michael Klein.

The deal, announced Monday night, has a transaction equity value of $11.75 billion, which includes a $2.5 billion private placement in public equity, PIPE, the largest of its kind on record for a SPAC.


Reuters | Equities.com |

A blank-check acquisition firm backed by veteran investor Bill Foley is nearing an agreement to take Alight Solutions LLC, the U.S. benefits services provider owned by buyout firm Blackstone Group Inc, public at a valuation of $7.3 billion including debt, people familiar with the matter said on Sunday.

The deal illustrates how Alight has become an attractive investment target during the COVID-19 pandemic, capitalizing on the outsourcing of human resources functions by many companies that are seeking cost savings to preserve capital.