GigCapital4 in an 8-K filing today disclosed it has entered into forward purchase agreements with Highbridge and Glazer Capital to shore up its finances ahead of the SPAC’s shareholder viote on whether to merge with BigBear.ai, a provider of artificial intelligence, machine learning, cloud-based big data analytics, and cyber engineering solutions.
The agreement with Highbridge would add about $23.38 million to the SPAC’s trust account.
The agreement with Glazer would pump another $50.75 million into the trust.
GigCapital4 raised $312 million in a February IPO.
The cash component of the purchase price to BigBear.ai is expected to be funded by GigCapital4’s cash in trust (minus any redemptions), and a $200 million convertible senior unsecured note private placement with institutional investors including Fortress, Marathon, and Highbridge. The 5-year unsecured convertible notes, which will bear annual interest of 6 percent, are convertible into common shares of the combined company at $11.50 for a share.
GigCapital4 has said it expects the deal to close by the end of the year. Read more.
