Globis Acquisition in an 8-K filing said its sponsor deposited $1.15 million into the SPaC’s trust to extend the merger deadline from March 15 until June 15. The SPAC is in a pending merger with Forafric, a vertically integrated agribusiness in North Africa. The deal is valued at $300 million.
Globis said its stockholders are not entitled to vote on or redeem their shares in connection with the deadline extension.
The SPAC in January said it had secured a subscription agreement that would provide up to $29.5 million in additional funding for the Forafric deal. The funds consists of $20 million in additional PIPE financing and a $9.5 million convertible note.
Announced in December, initial terms of the deal call for Forafric to receive 15.1 million of the SPAC’s shares, plus up to $20 million of any remaining cash at closing. Earnout shares would also be awarded if certain stock price thesholds are met.
If approved, upon closing Globis will change its jurisdiction of incorporation to Gibraltar and Forafric Global will become the first Moroccan-based company to list on a U.S. Exchange. Read more.
