Calgary-based energy company Hammerhead Resources and Decarbonization Plus Acquisition IV today announced a definitive agreement for a merger that values Hammerhead at C$1.39 billion (approximately $1 billion).
If approved, upon closing Hammerhead is expected to be listed on the Nasdaq and trade under the ticker symbol HHRS. Closing is expected in the first quarter of 2023.
The transaction is anticipated to generate gross proceeds of approximately $320 million, assuming minimal redemptions.
The SPAC raised $275 million in an August 2021 IPO. It is sponsored by an affiliate of Riverstone Holdings.
Hammerhead is currently majority-owned and controlled by affiliates of Riverstone Holdings. The board of directors of Decarbonization Plus IV created a committee comprised solely of directors not affiliated with Riverstone to review and approve the transaction and to make a recommendation to the SPAC’s board, according to a press release. Read more.
