Gesher I Acquisition in a regulatory filing disclosed that it borrowed $100,000 from its sponsor via a promissory note, any portion of which is convertible into the SPAC’s units. The filing does not state what the per-warrant conversion price would be if the sponsor opts to convert. The loan is for working capital.
The SPAC has a merger agreement with Israel-based Freightos Limited, a global freight booking and payment platform, at a pro forma enterprise value of approximately $435 million.
If approved, Freightos would list on the Nasdaq under the ticker symbol FROS.
Freightos connects participants across the international freight ecosystem, including hundreds of airlines, ocean liners, and trucking companies, as well as thousands of freight forwarders and over ten thousand importers and exporters, through a digital platform that allows real-time global freight-rate comparison, booking, and shipment management. The capital raised from the transaction will be invested to further scale the business, driving transaction value and improving margins.
The business combination is projected to generate gross proceeds of at least $80 million (and up to $166 million depending on redemptions). The implied pro forma equity value of the combined company is expected to be at least approximately $500 million.
Existing Freightos shareholders are expected to own up to 78% of the combined company after funding.
Gesher I last May raised a proactive $10 million backstop before any deal had been announced. The SPAC raised $100 million in an October 2021 IPO. Read more.
