No Toast for SPACs, but 6 SPACs may toast to successful mergers this week (pending redemption numbers)

The Nightcap newsletter: SPAC Track’s nightly recap of the action in the SPAC world. (September 13, 2021)

Discover and track all of the SPACs at spactrack.net.


The Stats:


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The Deals (1):

1) Motive Capital Corp (MOTV, warrants +56.6%) & Forge Global

  • Merger Partner Description:

    Forge is a leading provider of marketplace infrastructure, data services and technology solutions for private market participants. By combining world-class trading technology and operating expertise, Forge Markets enables private company shareholders to trade private company shares with accredited investors. Forge Company Solutions, Forge Data and Forge Trust along with Forge Markets provide the transparency, access and solutions that companies, as well as institutional and individual investors need to confidently navigate and efficiently transact in the private markets. Securities related services are offered through Forge Securities LLC (“Forge Securities”), a wholly-owned subsidiary of Forge Global, Inc. Forge Securities is a registered Broker Dealer and, Member FINRA/SIPC and alternative trading system.

  • Valuation: $450M

  • PIPE + FPA: $68.5M PIPE anchored by ION Group’s $50M commitment and contributions from Temasek and Adit Ventures + $50M FPA from Sponsor ($118.5M total)

  • Additional Financing: Sponsor will backstop $90M of redemptions

  • Press Release

  • Investor Presentation


News:

MoneyLion launches crypto investing ahead of planned SPAC deal (CNBC)

The banking and investing app MoneyLion is adding crypto trading to its all-in-one financial services app.

The eight-year-old fintech company, which plans to go public later this month [via merger with Fusion Acquisition Corp. (FUSE)] on the New York Stock Exchange under the ticker ML, will introduce buying and selling capabilities for bitcoin and ether at its Investor Conference on Monday morning, CEO Dee Choubey told CNBC.

Choubey called the initial development the “the beginning of the education process” for its consumers during the “early innings of DeFi” and talked about the potential to explore different yield products, crypto payment applications and NFT marketplaces down the road.

“It’s a very important first step if we think that the future of fintech is DeFi,” he told CNBC. “We will have created a segment of the population and have exposed them to DeFi so when it becomes more ubiquitous, they’re fully prepared to take advantage of it.”

MoneyLion won’t charge transaction fees to consumers, but will make money on the spread when they convert their cryptocurrency to dollars.


Restaurant-Payments Firm Toast Seeks Up to $717 Million in IPO (Bloomberg—paywalled)

Toast Inc., [considered going the SPAC route, according to a WSJ article back in February] which helps restaurants handle payments, is seeking as much as $717 million in a U.S. initial public offering. 

The Boston-based company plans to sell 21.7 million Class A shares at $30 to $33 apiece, it said in a regulatory filing Monday. The deal could value Toast at as much as $16.5 billion based on the number of outstanding shares listed in the prospectus.

Toast’s share sale will add to the $104 billion already raised by tech company IPOs this year, according to data compiled by Bloomberg. The offering comes as the restaurant industry rebounds from a pandemic that was disastrous for in-person dining, but was a boon for takeout and delivery services.

The company said its software is easy for restaurant workers to use and lets diners order online, in-person or over their phones. Restaurants can also use the guest data it captures to craft loyalty and marketing programs. 

Toast’s revenue rose 105% year-over-year during the six months ending June 30, to $704 million. Its net loss widened to $235 million, from $125 million a year earlier. 

Incorporated in 2011, the company’s platform was used by about 48,000 restaurants as of June 30 and had processed more than $38 billion in gross payments over the previous 12 months. In June, it averaged over 5.5 million guest orders per day.

The company raised money last year at a valuation of $4.9 billion from investors including Bessemer Venture Partners, TPG, Tiger Global Management and Greenoaks Capital. 


Quick News Corner:

  • $500 Million of SPAC Cash Vanishes Under the Sea [The Metals Company (TMC)] (Bloomberg Opinion—paywalled)

  • Grab Lowers Full-Year Sales Outlook on Worsening Virus Outbreak (Bloomberg—paywalled)

    Grab reported its second quarterly financial results as it prepares to merge with Altimeter Growth Gorp. (AGC), the special purpose acquisition company of Brad Gerstner’s Altimeter Capital Management. Grab has postponed the $40 billion deal -- one of the largest-ever mergers with a SPAC -- to the fourth quarter as it works on an audit of the past three years’ accounts.

    Grab said Tuesday the planned merger with Altimeter is expected to close in the fourth quarter.


Tracking De-SPAC S-1s (PIPE Registrations):

  • Surrozen (SRZN: $9.86 +1.65%) filed its S-1


New S-1s (3):

1) Deep Medicine Acquisition Corp. (DMAQ)

  • $100M, 1 R (1/10th sh)

  • Focus: Healthcare

2) MELI Kaszek Pioneer Corp (MEKA)

  • $250M, No warrants

  • Focus: Technology-enabled companies operating in Latin America (including commerce, financial services, logistics, healthcare, education, enterprise software and entertainment)

  • Management:

    Pedro Arnt (CFO of MercadoLibre)

    Hernan Kazah (Co-founder and Former COO of MercadoLibre and Co-founder & Managing Partner of Kaszek)

  • Directors:

    Gregory Waldorf (Former CEO of Invoice2go and eHarmony)

3) Phoenix Biotech Acquisition Corp. (PBAX)

  • $155M, 1/2 warrant

  • Focus: Life sciences in the United States and Europe


Upcoming Dates:

Next Week’s Announced Shareholder Meetings, Unit Splits, Warrant Redemptions, and Expected Ticker Changes

Tues, Sep 14

  • Merger Meetings:

    Soaring Eagle Acquisition Corp. (SRNG: $9.15 -6.73%) & Ginkgo Bioworks

    Atlas Crest Investment Corp (ACIC) & Archer Aviation

    TPG Pace Tech Opportunities Corp. (PACE) Nerdy

Wed, Sep 15

  • Merger Meetings:

    D8 Holdings Corp (DEH) & Vicarious Surgical

    Rotor Acquisition Corp. (ROT) & Sarcos Robotics

  • Expected Ticker Change:

    Qell Acquisition Corp. (QELL: $9.38 -6.11%) --> Lilium (LILM)

Thurs, Sep 16

  • Merger Meetings:

    Cerberus Telecom Acquisition Corp (CTAC) & KORE

  • Expected Ticker Change:

    Rice Acquisition Corp. (RICE) --> Archaea Energy (LFG)


Thanks for reading,

SPAC Track

spactrack.net

Note: Share prices only included if 5%+ moves and for all De-SPAC PIPE entries
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