B. Riley Principal 150 Merger Corp. (NASDAQ:BRPM) announced this afternoon that it has amended its merger agreement, waived the minimum cash condition, and entered into a bridge loan agreement in connection to its proposed merger with digital content platform FaZe Clan.
BRPM and FaZe Clan initially agreed to a $218 million overall minimum cash threshold supplemented by a $118 million PIPE at $10 per share. BRPM’s current trust holds $173 million after listing in February of 2021, and while the share price climbed post deal-announcement, even reaching a high of $15.74 in October, the price started to slip below its trust value along with the market since January of this year.
The 8-K also disclosed that an affiliate of BRPM, B. Riley Commercial Capital, LLC, entered into a bridge loan agreement with FaZe for $10 million. FaZe will receive a second advance a term loan in the principal amount of $10 million. The initial loan will be evidenced by a promissory note and accrues interest at a rate of 7% per year, compounded quarterly.
The term loan will be repaid in cash when the transaction closes. In the event the merger is terminated, the loan will become a secured convertible promissory note of FaZe, on substantially the same terms as the existing senior secured convertible promissory notes of Faze, in an aggregate principal amount equal to the outstanding principal balance, including capitalized interest, of the loan and the unpaid accrued interest.
BRPM initially announced its $713 million combination with FaZe Clan on October 25. Los Angeles-based FaZe Clan runs a network of influencer talent and e-sports competitors that have amassed 120 million YouTube subscribers and $50 million in annual revenue.
FaZe Clan recently welcomed entertainment icon Snoop Dogg to its board of directors as well as its newest talent member.
Terms Tracker for the Week Ending April 19, 2024 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. Passover and school spring break starts next week, which most likely means a slowdown in SPAC filing activity. Although Churchill IX is now rumored to...
Despite a week of general pull-backs in the market, fintech firm Ibotta (NYSE:IBTA) nonetheless took the dive and had a good week debuting via a traditional IPO in the choppy waters. The company, which provides app-based consumer cashback discounts on purchases, priced its IPO at $88, above its proposed range of $76 to $84, and...
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...