SIGNA Sports United today announced it has entered into a business combination agreement with Yucaipa Acquisition. The merger includes the acquisition of the WiggleCRC Group, an online bike retailer owned by Bridgepoint.
The deal has an implied enterprise value of approximately $3.2 billion.
The transaction is expected to deliver up to approximately $645 million of gross proceeds through the contribution of up to $345 million of cash held in the SPAC’s trust account (assuming no redemptions) and a concurrent fully-committed ordinary share PIPE of approximately $300 million, upsized from $250 million.
Existing SIGNA shareholders have agreed to convert 100 per cent of their ownership stakes into the new public company.
After giving effect to the transaction and assuming no redemptions by the SPAC’s shareholders, the new company is expected to have approximately $350 million of liquidity. Read more.
