KORE Wireless Group and Cerberus Telecom Acquisition have entered into a definitive merger agreement. Upon completion, the combined company expects to list on the NYSE under KORE.
The transaction is expected to close mid-year.
The transaction is expected to provide approximately $484 million in cash to the combined company, assuming no redemptions by the SPAC’s shareholders, and includes a $225 million PIPE. The PIPE, oversubscribed and upsized, is anchored by Koch Strategic Platforms, and funds and accounts managed by BlackRock. The fully diluted pro-forma implied enterprise value of the combined company is approximately $1.014 billion at the $10 per share PIPE price.
As part of the transaction, KORE’s majority shareholder Abry Partners has agreed to roll 100 percent of its common equity into the combined company. Assuming no Cerberus public shareholders exercise redemption rights, Abry and existing KORE equity holders will own approximately 38.3 percent, Cerberus shareholders will own approximately 36.8 percent, and PIPE investors will own approximately 24.9 percent of the issued and outstanding common stock of the combined company at closing.
KORE is a provider of Iot (Internet of Things) solutions and services. Read more.
