Altitude Acquisition today announced the signing of a non-binding letter-of-intent for a business combination with a leading global medical device manufacturer.
The target, which produces a product that is commercially available and approved for use in over 30 countries, seeks additional expansion in the U.S. and globally, according to a press release.
Under the terms of the LOI, Altitude and the target would become a combined entity, with the target’s existing equity holders rolling 100% of their equity. The proposed transaction values the target at an enterprise value of $480 million and calls for the combined company to have at least $30 million in net cash at closing.
Altitude said it expects to announce additional details regarding the proposed business combination when a definitive merger agreement is executed, which is anticipated in the first quarter of 2023.
The SPAC teased a potential deal in October when it entered into a non-redemption agreement with an existing stockholder holding 223,124 shares.
The stockholder agreed to not redeem shares in connection with a vote to extend Altitude’s merger deadline from Oct. 11 to April 11, 2023, while voting all shares in favor of the extension.
Altitude CEO Gary Teplis agreed to pay the stockholder 5 cents a share per month through the extended date, in a single cash payment. Read more.
