This afternoon, Graf Industrial Corp. (GRAF), released the details of their shareholder vote, held today, to approve moving their previously extended deadline from April 16, 2020, to July 31, 2020.
Per the 8-K, 12,921,275 public shares exercised their right to redeem at a price of approximately $10.23 per share and as a result, roughly $132.2 million was removed from the trust account, or about 53%. A total of approximately $117.1 million will remain in trust.
Keep in mind that last week Graf teased a potential business combination with a “polypropylene recycling company”, so now that it’s past its extension vote hurdle, maybe we get a full-blown definitive agreement announcement soon. Furthermore, Graf will not be offering any additional contribution to trust, but that also may have been strategic if the polypropylene company is on the smaller side. I.e., redemptions are the only way to reduce trust size and Graf’s was fairly substantial at approximately $249 million.
Graf only has until July 31st to announce and complete a combination, so chances are we get some sort of news shortly.