Mountain Crest Acquisition IV in a regulatory filing said shareholders approved two deadline extensions of three months each, which gives the SPAC until July 2, 2024 to close its merger with CH-AUTO.
Shareholders approved the deal last month, although redemptions since the SPAC’s $50 million IPO in June 2021 have removed 99% of the trust. In the latest filing, Mountain Crest IV said 1,478,524 more shares were redeemed. This includes the 1,471,635 shares redeemed ahead of an October shareholders meeting that was adjourned and concluded Nov. 20 with the successful merger vote
CH-AUTO is an electric vehicle manufacturing and design service company based in China.
The SPAC will deposit 10 cents a share for each month required up to the new deadline.
At deal announcement in April 2022, the transaction reflected an initial equity value of approximately $1.25 billion. Terms called for CH-AUTO shareholders to receive approximately 125 million shares valued at $10 per share in the merged company. Read more.
