(Bloomberg) -- Falcon’s Beyond Global LLC, a company that develops entertainment experiences, agreed to go public through a merger with blank-check firm Fast Acquisition Corp. II, according to people with knowledge of the matter.
A transaction, which values the combined entity at about $1 billion including debt, may be announced as soon as Tuesday, said the people, who asked not to be identified because the deal isn’t yet public. Falcon’s Beyond shareholders are rolling their equity positions in the company and are expected to own roughly 80% of the combined firm, assuming there are no redemptions, the people said. The company is set to trade on the Nasdaq under the ticker FBYD, they added.
Katmandu Collections LLLP has agreed to invest $60 million in the company via a private placement, and the Fast special purpose acquisition company has agreed to forfeit 20% of its founder shares, which will be allocated to private-placement investors and non-redeeming shareholders, the people said. In another effort to minimize redemptions, 50% of all SPAC shares will become convertible preferred equity paying 8% an dividend, which can be converted at $11 or will be mandatorily converted at $14.30.
Representatives for Falcon’s Beyond and the Fast SPAC declined to comment.
Orlando, Florida-based Falcon’s Beyond, led by Executive Chairman Scott Demerau and Chief Executive Officer Cecil Magpuri, in November announced a joint venture with Melia Hotels International SA to build and develop a theme park in Punta Cana, Dominican Republic, with projects in Tenerife, Spain, and Playa Del Carmen, Mexico, to follow. Separately, Falcon’s Beyond has said it is developing a theme park outside of Saudi Arabia’s capital, Riyadh, with Qiddiya Investment Co.
The Fast SPAC, affiliated with investment firm &vest, was founded by Doug Jacob and is led by CEO Sandy Beall. It raised $230 million in a March 2021 initial public offering.
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Fast SPAC Agrees to Merge With Entertainment Firm Falcon's Beyond - BNN
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