ARYA Sciences Acquisition IV in an 8-K said it approved the third one-month deadline extension currently available, setting the new termination date at July 2. The SPAC drew $111,000 from an unsecured promissory note of up to $1 million issued to its sponsor.
ARYA IV also drew $53,000 under a convertible promissory note and $11,000 from an unsecured promissory note of $1.68 million dated Feb. 8, 2023, for working capital.
ARYA IV has a merger agreement with Adagio Medical, which develops catheter ablation technologies for treatment of cardiac arrhythmias. Announced in February, the deal has a pre-money equity valuation of $24 million and a fully diluted enterprise value of $116 million.
PIPE investors are set to receive 1.2 shares and 120% warrant coverage for every $10 of investment.
If approved, upon closing Adagio Medical will list on the Nasdaq under the ticker symbol ADGM. The combined company is expected to put $30 million in cash on the balance sheet, after closing and payment of expenses.
Investors have committed to provide $20 million in convertible debt (which includes bridge financing for the period between signing and closing) and $22 million in equity financing (which includes the non-redemption of cash in ARYA’s trust).
The SPAC raised $130 million in a February 2021 IPO to focus on the healthcare industry in the United States and other developed countries.
ARYA IV in February 2022 mutually agreed to terminate a $400 million deal with Amicus Therapeutics. The SPAC cited existing market conditions at the time for the pullout. Read more.
