Insight Acquisition (NASDAQ: INAQ), announced the confidential submission of a Form S-4 in connection with its proposed business combination with Alpha Modus.
The target is a technology company with a core focus on artificial intelligence in retail.
Terms include a potential $22 million earn out for Alpha Modus stockholders and a $7.5 million earn out for Insight’s sponsor, both payable through the issuance of the combined company’s common stock at $10 per share and based on the achievement of price targets.
The deal is not subject to a minimum cash closing condition.
Alpha Modus offers technology as a service. Its core technologies have been deployed on IBM’s Bluemix platform and earned a Beacon Award by IBM 2016 for Best New Application on IBM Cloud from an Entrepreneur. Alpha Modus has been recognized by IBM Watson as a thought leader in technology.
Insight Acquisition in August called off a deal with Avila Energy by mutual agreement. As part of the termination, Avila agreed to pay Insight $300,000 as partial reimbursement of its costs.
The SPAC’s shareholders in September approved a nine-month deadline extension with redemptions hitting 21%. Read more.
