This morning, Wealthbridge Acquisition Limited (HHHH), announced it had entered into a definitive agreement for a business combination with Scienjoy Inc., a live entertainment mobile streaming platform in China. Founded in 2011, Scienjoy has more than 200 million registered users and operates three primary online live streaming brands with their respective websites and mobile apps: Showself, Lehai, and Haixiu. Upon the closing of the transaction, it is expected that Wealthbridge will be renamed Scienjoy Holding Corporation and remain NASDAQ-listed under a new ticker symbol.
Under the terms of the agreement, Scienjoy’s shareholders will receive 16.4 million ordinary shares of Wealthbridge, valued at $10.00 per share. In addition, Scienjoy shareholders will be entitled to receive earnout consideration of up to an additional nine million Wealthbridge ordinary shares. Subscribers of the SPACInsider site can find the complete details of the transaction on the Wealthbridge profile page.
Quick takes: Since a presentation has not been filed and a conference call was not scheduled, we only have the press release and the 8-K to go on for information regarding this transaction. Additionally, a Google search on the company is, for the most part, fruitless as is sometimes typical with Chinese companies. So while it’s difficult to fully understand what this company does, my guess is it’s something similar to YouTube, but live? Hard to say, which is why a presentation would have been really helpful. However, going by what we know, it’s a fairly simple share exchange transaction with some earn-outs, but again, since there is virtually no information available on this company, it’s going to be very hard to get investors interested in this transaction. The Wealthbridge/Scienjoy team have their work cut out for them. They should really read THIS.