Atlas Crest Investment II, which raised $200 million in a February 2020 IPO, will ask shareholders to approve early liquidation. The SPAC filed a preliminary proxy with the goal of winding down ahead of a Feb. 8, 2023 deadline.
ACII management said it evaluated over 130 companies. However, adverse market conditions including unconducive capital markets, an overall decline in the SPAC market and a limited pool of public company-ready business combinations interested in pursuing a business combination via a SPAC, have complicated efforts to find an appropriate target, the SPAc said in a press release. ACII management has also reviewed recent changes in U.S. tax law that could create tax liabilities in connection with stockholder redemptions after Dec. 31, 2022. As a result, ACII said it believes that it is in the best interests of its stockholders to liquidate early.
The SPAC’s focus was on high growth sectors including media, fintech/payments, software and technology enabled services, online gaming/sports betting, healthcare and disruptive consumer. The sponsor is an affiliate of Moelis & Company.
Atlas Crest III withdrew an IPO yesterday. IV withdrew an IPO in March.
Management’s first Atlas Crest SPAC merged with Archer Aviation in September 2021. Shares are down 71% since the eVTOL listed on the NYSE on Sept. 17, 2021. Read more.
