Stable Road Acquisition in an 8-K filing said it amended its PIPE agreements with investors to reflect a new commitment of $110 million, down from the $175 million the SPAC previously expected to raise following a merger deal.
The SEC last week charged the SPAC and merger partner Momentus for misleading disclosures and fined the companies more than $8 million.
“Pursuant to the SEC’s settled order, Momentus and Stable Road agreed to provide the original PIPE Investors with the right to terminate their subscription agreements prior to the stockholder vote to approve the proposed business combination,” the SPAC said in the filing. “Accordingly, Momentus and Stable Road provided all PIPE Investors with the option to terminate their subscription agreements without any liability or obligation. In total, PIPE Investors representing $118 million of the original PIPE Investment terminated their subscription agreements.”
The remaining PIPE Investors elected to continue. Read more.
