Global Star Acquisition called a June 11 meeting for shareholders to vote on a proposed extension until Dec. 22. The SPAC’s sponsor in return would deposit the lesser of $60,000 or 2 cents a share into trust for each month needed up to the new completion date.
Global Star has a merger agreement with K Enter, a South Korean entertainment company.
Global Star’s current completion deadline is June 22. About 44% of shares outstanding were redeemed on an extension vote last August.
The deal with K Enter was announced last June. The SPAC in March reduced the base value of the merger consideration from $610 million to $590 million. The modification was made after K Enter’s cancelled acquisition of a majority equity stake in First Virtual Lab. The SPAC’s management obtained an updated fairness opinion and the board approved and authorized the reduction in the deal value.
K Enter holds contracts to acquire seven diversified entertainment operating companies based in Korea, engaged in the entertainment content and IP creation businesses, and K Enter plans to close those acquisitions prior to completion of the merger with Global Star. Read more.
