TKB Critical Technologies 1 in an 8-K said it has terminated a merger agreement with Wejo Group Limited, a global company engaged in cloud and software analytics for connected, electric and autonomous mobility. Neither party will pay a termination fee as the decision was reportedly mutual.
The SPAC said it also sold most of its sponsorship investment to Roth Capital Partners and Craig-Hallum Capital Group. The buyers will receive 4,312,500 ordinary shares consisting of 4,237,500 Class A and 75,000 Class B shares and 8,062,500 private placement warrants for $1. As part of the sponsor transfer, TKB’s management team will resign. Roth and Craig-Hallum will provide $31,000 to the sponsor to pay outstanding invoices plus $300,000 for certain liabilities.
The new sponsors will also be responsible for contributing the lesser of $60,000 or 3 cents a share into trust if TKB’s upcoming extension vote is approved by shareholders. That vote was scheduled for today but has been pushed back to June 28. As a result, the redemption deadline is now 5 p.m. today. The extension proposal would give the new management team until October 2024 to seal a deal.
TKB’s termination deadline is June 29.
Manchester, UK-based Wejo combined with Virtuoso Acquisition in November 2021 at an estimated $1.1 billion pro forma equity value. Wejo filed for insolvency last month. Read more.
