Schultze Special Purpose Acquisition Corporation (NASDAQ:SAMA) announced in an 8-K filing that its shareholders approved its combination with cannabis product-maker Clever Leaves at a special meeting earlier today.
The transaction was nearly unanimously approved, but, even more importantly, just 5,253 shares were redeemed in connection with the vote. With an estimated $10.22 pro rata in trust, this is expected to remove just $53,685. This is a very good result for a SPAC that needed to re-strike its deal last month.
This revised the price tag downward and rolled over more of the seller’s equity. It also tacked on a $10 million PIPE and convinced $6 million worth of public investors not to redeem.
The revisions also dropped the minimum cash requirement for the deal from $60 million to $26 million in case Schultze got hit with high redemptions as befell a string of SPACs that month. However, investors in the cannabis sector recently embraced the announced Aphria-Tilray mega merger so Schultze appeared to have some wind at its back.
Schultze initially announced its deal with Clever Leaves July 27. Clever Leaves has a large-scale cannabis cultivation operation in Colombia where it produces pharmaceutical-grade products for sale in Canada and Europe.
The nature of the company’s business and international holdings may add some extra paperwork before the deal can close. But Schultze expects to complete the transaction soon, after which the combined entity’s shares and warrants will trade on the Nasdaq under the symbols “CLVR” and “CLVRW,” respectively. The Schultze / Clever Leaves combination represents the first SPAC transaction to close with a cannabis producer.
For a full list of measures on the ballot as well as vote tallies, click HERE.
At the SPAC of Dawn Happy Friday! SPACInsider has unveiled new presets on SPAC Performance accessible via the Data drop-down to easily sort for the highest and lowest performing active SPACs and de-SPACs. On the de-SPAC side, Vertiv (NYSE:VRT) continues to be well ahead of the pack, logging a 710% return by share price adjusted...
AGBA (NASDAQ:AGBA) stock is up over +90% this morning following a +211% premarket spike on news it has signed a definitive agreement to combine with social streaming video platform Triller. AGBA, the company itself, was formed by the $555 million combination between a SPAC of the same name and TAG Companies, a financial services firm...
At the SPAC of Dawn Since closing its combination with DHC last month, AI customer engagement firm BEN (NASDAQ:BNAI) has rolled out new partnerships with call center and healthcare clients. And, while it faces a fair bit of competition in the chatbot realm, several high-profile institutions have demonstrated that creating one that provides useful services...
Blue Ocean (NASDAQ:BOCN) provided significantly more texture today in the presentation for its $275 million combination with Asian digital media group TNL Mediagene, which it expects to hit profitability in the second half of the year despite a slight shakeup in financing for the transaction. The first big update in the first investor deck is...
At the SPAC of Dawn A brand new market may have just opened up for space de-SPACs as NASA administrator Bill Nelson announced a shift in the agency’s $11 billion program for a mission to return samples from Mars. Rather than rely on the agency’s internal technologies that would be predicted to get a sample...