Origo Acquisition Corp. and High Times Doing a Concurrent Reg A+ Capital Raise?
by Kristi Marvin on 2018-06-22 at 11:56am

Either I’ve got a contact high or the NY Post just let out some interesting information.

High times, indeed. According to a NY Post article that was posted late last night, Origo Acquisition Corporation’s target, High Times, began a Reg A+ funding round this week, exactly one week after shareholders approved the new completion extension date of September 12th.  According to High Times, they hope to raise $20 million via the Reg A+ round.

The article quotes High Times’ Chairman, Adam Levin as saying, “It’s a new path to an IPO,” said Levin. “We raised just over $1 million on Day One from 400 people.” He said High Times Holdings priced at $11 a share.”

Admittedly, I do not have any experience with Reg A+ vehicles, but this raises all sorts of questions.  This was not in the proxy statement, but it’s also unclear to me if it needed to be. However, I would think this would be material information.

Secondly, Origo’s cash in trust is currently $15 million.  If High Times is raising capital via a Reg A+ vehicle to the tune of $20 million, does this mean the merger is off, or is this a concurrent raise?  Can you even do a concurrent raise without completely delaying the merger even further?

Having said that, if High Times already has 400 investors in the Reg A+ deal, that would certainly help solve one of the issues of Origo keeping a Nasdaq listing – needing 450 round lot shareholders.  This is assuming the merger is still on because the article’s title is “High Times Plots New Path to IPO”.  Emphasis on “New Path, so it kind of sounds like it’s off?

If anyone has any experience with Reg A+ funding and can help sort this out, please either leave a comment below this article or email me directly.

You can read the article here.

 

Recent Posts
by Nicholas Alan Clayton on 2024-03-29 at 10:52am

Welsbach Technology (NASDAQ:WTMA) has signed a business combination agreement with Evolution Metals, which is developing technology to produce the critical materials and alloys in battery production. Transaction Overview Welsbach has about $23.4 million in its current trust after seeing 71.8% of shares redeemed in earlier extension votes that have pushed its deadline to June 30,...

by Nicholas Alan Clayton on 2024-03-29 at 7:38am

At the SPAC of Dawn On a day when the US markets are closed, there’s always a chance of SPAC actions sliding by as the SEC has left its EDGAR filing system open. Right on cue, Welsbach Technology (NASDAQ:WTMA) filed that it had come to a definitive agreement with battery production technology firm Evolution Metals....

by Nicholas Alan Clayton on 2024-03-28 at 1:35pm

News and Rumors PR: Bannix (NASDAQ:BNIX) has provided more information on the combination with VisionWave that it announced yesterday, specifying that the imaging technology that VisionWave will acquire from GBT Technologies will primarily seek out applications in military combat scenarios and geological surveys. PR: Grove Collaborative (NYSE:GROV), which combined with Virgin Group II in June...

by Nicholas Alan Clayton on 2024-03-28 at 7:47am

At the SPAC of Dawn Fed Chair Jerome Powell has given new hints that the administration would be showing greater levels of comfort with inflation if a cut could help improve unemployment numbers. Those numbers could get an update today at 8:30 am ET to bring new jobless claims as well as final prices for...

by Nicholas Alan Clayton on 2024-03-27 at 1:31pm

News and Rumors CNBC: Former WeWork (OTC Pink:WEWKQ) founder Adam Neumann has offered to buy back control of the company for $500 million but has yet to secure the necessary financing. WeWork went public with BowX in October 2021. PR: Satellite telecom firm Spire Global (NYSE:SPIR) has signed an agreement to build and launch two...

logo

Copyright © 2023 SPACInsider, Inc. All Rights Reserved