FTAC Emerald Acquisition in an 8-K said it entered into non-redemption agreements with one or more unaffiliated third parties in exchange for them each agreeing not to redeem 1 million shares through the upcoming extension vote Sept. 14. The SPAC wants to move its completion deadline from Sept. 20 to Jan. 19, 2024.
In exchange for the commitments not to redeem, the SPAC agreed to issue 62,500 Class A shares to each investors at the time of a business combination.
FTAC had faced a termination deadline in June, but just before it was due to expire the SPAC announced it had signed a letter of intent for a merger with an unnamed target. That automatically extended the SPAC’s runway to Sept. 20.
There has been no further announcement regarding the LOI.
Led by SPAC veteran Betsy Cohen, FTAC Emerald raised $220 million in a December 2021 IPO to focus on sustainable businesses. Read more.
