Astrea Acquisition in an 8-K filing today said it has terminated a deal to merge with HotelPlanner and Reservations.com. The mutual decision was reached over the weekend. Astrea shareholders were scheduled to vote tomorrow on the deal, which did not have PIPE support. As a result, the parties may have been dissuaded by heavy redemptions.
The news follows Astrea’s unusual press release on Feb. 11 stating it “wishes to clarify to the investor community that it is not the same company as Astra Space, Inc. (NASDAQ: ASTR), which had some unfortunate press this week.” Astra Space is a small rocket launch startup that saw its shares plunge 26% last week after a NASA mission failed mid-launch.
Astrea Acquisition’s proposed merger with HotelPlanner and Reservations.com was expected to provide more than $120 million in cash proceeds. The SPAC raised $150 million in an IPO a year ago, and still has until Feb. 8, 2023 to complete a deal with another target, which Astrea indicated it intends to do. Read more.
