Caravelle Group, a provider of international shipping services and a carbon-neutral solution for wood desiccation, today announced a definitive merger agreement with Pacifico Acquisition.
The transaction values the combined company at a pro forma enterprise value of approximately $527 million with existing Caravelle shareholders rolling over 100% of their equity into the combined company. The deal is expected to provide approximately $100 million of cash proceeds, including an anticipated $60 million PIPE and up to $58 million of cash held in Pacifico’s trust account, assuming no redemptions.
The values exclude $350 million of earn-out shares that would be paid in common stock if certain revenue-based requirements are met in 2023. Upon completion of the transaction, which is anticipated in the fall of 2022, the combined company will operate as Caravelle International Group and list on the Nasdaq. Read more.
