Forbes Global Media Holdings and Magnum Opus Acquisition today announced they have entered into a definitive business combination agreement. If approved, the transaction is expected to close in late fourth quarter 2021 or early first quarter 2022.
The transaction values the combined company at an implied pro forma enterprise value of $630 million, net of tax benefits. The transaction has been approved by the boards of directors of both Forbes and Magnum Opus. The transaction is expected to close in late fourth quarter 2021 or early first quarter 2022, subject to the satisfaction of customary closing conditions, including the approval of Magnum Opus’ shareholders.
The transaction is expected to raise approximately $600 million of gross proceeds consisting of the approximately $200 million of cash held in Magnum Opus’ trust, assuming no redemptions, and $400 million of additional capital through a PIPE.
Assuming no redemptions, Forbes shareholders will own approximately 22% of the combined company at closing. Forbes will be capitalized with up to $145 million in cash. Read more.
