Extension Vote Results: CF Finance Acquisition Corp. (CFFA)

proxy vote

Extension Vote Results: CF Finance Acquisition Corp. (CFFA)

CF FINANCE ACQUISITION CORP. (CFFA)

CF Finance Acquisition Corp. (CFFAU) filed an 8-K this morning detailing the results of their shareholder vote to extend their completion deadline three months, from June 17, 2020 to September 17, 2020.  The extension deadline was approved and CFFA will now be contributing $0.09 per share to the trust, or $2,489,824.17.

And while only 593,700 shares opted to redeem at this vote, a very good result at only 2.1% of public shares, the stated redemption value this morning of $10.27 is very, very different than CFFA’s previously stated estimated cash in trust value of $10.33 as stated in their proxy:

“Based upon the current amount in the Trust Account, the Company anticipates that the per-share price at which public shares will be redeemed from cash held in the Trust Account will be approximately $10.33 at the time of the Special Meeting.”

It’s one thing to be off by a penny or so, but to have a $0.06 difference from what they filed will probably not sit well with investors.  The $10.33 value was also referenced in a press release that was 8-K’d on June 5th.  It’s hard to say what is responsible for the discrepancy.  An unexpected amount of withdrawls to pay taxes?

The end result of this vote is that only $6.1 million came out of trust to pay redeeming shareholders leaving approximately $284 million in trust, before the new $2,489,824.17 contribution.  CF Finance now has three more months to announce and close a combination.

You can review the results of all the vote proposals HERE.

 

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