Flame Acquisition in a regulatory filing said it has increased PIPE commitments to $180.4 million to support its proposed merger with Sable Offshore, a Nova Scotia-based natural gas exploration consortium. This is up from the initial $74.5 million PIPE.
The SPAC also said it intends to pursue additional PIPE commitments up to $525 million.
As announced in November 2021, the deal had an $883 million enterprise value and an equity value of $613 million.
Redemptions on an extension vote in August reemoved $24 million from the SPAC’s trust, leaving about $137 million.
The SPAC has until until March 1, 2024 to complete the deal.
Sable has an agreement to acquire the Santa Ynez oil field in Federal waters off the California coast and associated onshore processing and pipeline assets from Exxon Mobil and Mobil Pacific Pipeline Company for $625 million. Read more.
