Mobiv Acquisition in a regulatory filing said it entered into an agreement with EF Hutton in which the underwriter agreed to accept $1 million in cash and a 12-month right of participation, beginning on the date of the closing of the SPAC’s initial business combination, in lieu of the full deferred underwriting commission of $3.5 million in cash.
Mobiv last week said it would make 2.5 million shares available on a pro rata basis to stockholders who do not redeem their shares ahead of a vote on whether the SPAC will combine with SRIVARU Holding. The target is a commercial-stage provider of premium electric motorcycles. The deal was announced in March at a pro forma implied enterprise value of $195 million, which at that time assumed no redemptions.
Mobiv has up to six monthly extensions available to complete the deal.
Redemptions ahead of an extension vote in July removed nearly $46 million from the Mobiv trust, leaving approximately $60 million.
The transaction was expected to provide SRIVARU with access to additional capital and position the company to accelerate the commercial rollout-out of its electric two-wheeled vehicles in the Indian market.
Mobiv originally raised $87 million in an August 2022 IPO. Read more.
