Insight Acquisition in a proxy filing lays out its case for a six-month extension to complete a mwrger. If approved, the SPAC’s sponsor would deposit the lesser of $20,000 or 2 cents a share for each month up to the new d2eadline.
Insight has a $110 million merger agreement with Alpha Modus, a technology company with a core focus on artificial intelligence in retail.
Terms also 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 back 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% at that time. The latest proxy fiuling does not state the current trust balance.
Insight raised $240 million in a September 2021 IPO with plans to focus on businesses in the FinTech or financial services industry with an enterprise value of approximately $750 million to $1.5 billion. Read more.
