Ackrell SPAC Partners I in a press release said its merger partner, Blackstone, declined to fund the final $200,000 under a promissory note the SPAC issued to Blackstone in June. The funding was to enable the SPAC to extend the merger deadline through Sept. 23. Ackrell’s charter requires the SPAC to deposit $200,000 into the trust no later than Aug. 31 as a condition to the extension.
Blackstone counsel advised Ackrell that Blackstone has no legal obligation to loan the final $200,000, according to the press release. Ackrell disagrees, although the blank-check firm did not reveal what its next move might be.
Ackrell said unless it is able to secure $200,000 from another source by the close of business Aug. 31 it will be forced to cease operations and liquidate. The SPAC said it is holding $53.5 million in trust.
Ackrell’s sponsor in March pumped $1.38 million into the trust account in exchange for pushing the deadline to June.
The SPAC is expected to deposit another $200,000 into the trust for each month it takes to close the deal up to the current September deadline. That funding was supposed to come from North Atlantic Imports, which owns Blackstone.
The Blackstone deal at announcement had a pro forma enterprise value of $900 million.
Stockholder redemptions on the last deadline extension topped $89 million.
Blackstone Products manufactures high-end outdoor griddle cooking appliances and accessories. Read more.
