Singapore-based EUDA Health and 8i Acquisition 2 announced today a business combination agreement that carries an enterprise value of $583 million.
If approved, EUDA Health is expected to list on the Nasdaq under the new ticker symbol EUDA.
The target is a health technology company that operates “a first-of-its-kind Southeast Asian digital healthcare ecosystem aimed at making healthcare affordable and accessible, and improving the patient experience by delivering better outcomes through personalized healthcare,” according to the news release.
Cash proceeds raised will consist of 8i’s approximately $86.3 million in trust (less any redemptions). Additional earnouts in the form of 9 million total shares will be awarded post-transaction close if EUDA’s share price reaches $15, $20 and $25 over three years.
The deal with EUDA Health is a related party transaction. Meng Dong Tan, The SPAC’s CEO and chairman, is a 10% shareholder of Watermark Developments, the sole shareholder of EUDA Health. Watermark will roll 100% of its equity into the combined company and will own approximately 82% of the combined company’s outstanding ordinary shares on a pro forma basis (assuming no redemptions) immediately after the closing. EverEdge Global has been engaged to render an opinion on the fairness of the transaction to the SPAC from a financial point of view. Read more.
