Fast Acquisition today in a 10-Q filing said it expects to wind up by its Aug. 25 deadline and return all cash in trust to investors.
Meanwhile, the SPAC has a merger termination settlement agreement with Fertitta Entertainment, which called off a deal last December. That agreement calls for Fertitta to pay Fast Acquisition $26 million if the SPAC had not completed another deal by Aug. 1 and subsequently decided to dissolve operations. Fertitta has already paid $6 million to the SPAC plus a $1 million loan following the breakup, according to regulatory filings.
So who gets all these extra millions? Here’s where it gets interesting. In the new 10-Q filing, Fast Acquisition states, “any funds received pursuant to the Settlement Agreement that are remaining after the payment of expenses will not be part of any distributions with respect to the Public Shares.”
From the filing, it appears Fast Acquisition’s sponsor stands to receive a nice payout on a deal that didn’t get done. How investors will respond is a question awaiting an answer. Read more.
