A SPAC is a publicly traded corporation formed solely to raise capital to effect a business combination.
A Special-Purpose Acquisition Company is a new company going public (IPO) to raise capital from institutional investors to fund an acquisition. The acquired company should have an enterprise value of 2 to 4 times of the SPACs capital after the IPO (leveraged buy-out).
The SPAC should acquire a significant majority of the company taken over. A complete transfer of shares by a merger is preferred although, other forms of a business combinations is possible, e.g. as holding company or a joint venture. The acquisition could be compensated in cash, debt or (issuing new) shares of the SPAC.
Combining the management team with access to the capital needed to fund a merger, acquisition or asset sale, the SPAC offers the financial flexibility, capital structure and management to attract a broad variety of target transactions and investment opportunities for our clients.
We give you a comprehensive overview about the benefits for investors:
Celtic has an unique approach in consulting our clients during the process from start to a successful business combination:
We evaluate a proposed SPAC and its potential targets to optimize a timely acquisition.
We negotiate with the relevant parties to achieve the best outcome for the SPAC.
We provide experienced executives who have been recognized as professionals in the financial markets
We are not engaged by our clients, we partner with them. We are cofounders of each SPAC.
Our contributions of expertise, experience and effort are compensated in Founder Shares. In this way we are partners with our clients in the success of the SPAC.
A SPAC from start to merger – we would like to give you a first overview about SPAC and the role of Celtic within:
SPAC have a number of benefits that have led private investors and PE-firms to use them to raise capital.
We structure the SPAC-process from end-to-end and serve as your partner in this venture.
We are proud to present you Celtic Asset & Equity Partners‘ involvement in forthcoming Special-Purpose Acquisition Companies.