SPACInsider Logo
Aurora Acquisition Corp. (AURC) Revises Better Deal Again
by Nicholas Alan Clayton on 2022-08-29 at 10:36am

Aurora (NASDAQ:AURC) announced its fourth tweak to its combination with homebuying marketplace Better, which includes an extension of the deal’s outside date to March 8, 2023.

Better must also cover up to $15 million in expenses for Aurora, half of which must be delivered within five days of this agreement, and the remainder in two $3.75 million tranches on January 2 and March 8. This last tranche is due should the merger be terminated.

Better has had a challenging year, which is likely why it has gradually become the oldest announced SPAC deal yet to complete – the next four oldest deals all involve either crypto or China. Better and Aurora announced their $6.7 billion transaction 15 months ago in May 2021.

But, in April 2022, Better revealed that rather than generating $122.9 million in net income in 2021 as it predicted at the time of its announcement, it suffered a -$303.8 million net loss on the year. In multiple waves of layoffs, the digital mortgage marketplace has since parted ways with about 3,900 of its 8,900 employees.

A former executive also filed a lawsuit against Better alleging the company misrepresented its business and prospects to secure the Aurora deal. So far, Aurora is not alleging the same, although this additional compensation going the SPAC’s way would seem to tacitly put some blame on the company.

Better announced a management shakeup in July, and thus could right the ship in time to still get the original transaction done, although the housing market is cooling at the same time. But, this amendment also waives certain financial exclusivity to Aurora, allowing Better to discuss “alternative financing structures” with Soft Bank affiliate SB Northstar.

Soft Bank was an existing investor in Better, and committed to $1.5 billion in financing in connecting with this transaction, including a $750 million bridge note that was delivered upfront in an earlier deal revision in November.

It is perhaps surprising that Better’s valuation has not been changed through the various revisions to the merger, despite the company itself changing shape quite significantly since the deal was announced. But, for now, the deal marches on.

 

Recent Posts
by Marlena Haddad on 2023-02-02 at 5:54pm

A SPAC I Acquisition Corp. (NASDAQ:ASCA) announced this afternoon that it has adjourned its special meeting to extend its timeline to complete a business combination. The meeting was originally scheduled to be held today, but is now being postponed until February 13 due to a change in terms for its extension. A SPAC I has also extended...

by Marlena Haddad on 2023-02-02 at 11:35am

  Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.  Latest SPAC News: Mondee acquires Orinter for $40M, Fisker, ChargePoint and Lucid say court decision creates ‘uncertainty’, and Getaround gets delisting warning from NYSE Mondee gains foothold in Brazil with Orinter acquisition  Travel marketplace and technology...

by Marlena Haddad on 2023-02-02 at 10:15am

Latest SPAC Liquidations: Itiquira Acquisition Corp., Biotech Acquisition Company Itiquira Acquisition Corp. (ITQ) to Liquidate on February 14 Itiquira Acquisition Corp. (Nasdaq: ITQ) announced today it intends to dissolve and liquidate at an estimated per-share redemption price of approximately $10.17. The company anticipates that the Public Shares will cease trading as of the close of business on February...

by Nicholas Alan Clayton on 2023-02-02 at 10:14am

Bill Ackman is still tinkering with his SPARCs. In a new S-1/a filed this morning, the Pershing Square founder provided an update to his proposed model that is “not a SPAC”, but that would do some SPAC-like things. In a simple sense, Ackman is seeking change in the order of operations from: find investors, raise...

by Marlena Haddad on 2023-02-01 at 5:35pm

Latest SPAC Liquidations: DTRT Health Acquisition Corp., Seaport Calibre Materials Acquisition Corp. DTRT Health (DTRT) to Liquidate on January 30 On January 30, 2023, the stockholders of DTRT Health Acquisition Corp. (Nasdaq: DTRT) approved an amendment to allow the company to redeem all of its issued and outstanding shares of Class A common stock in advance...

Privacy Policy|Terms Of Use
Copyright © 2023 SPACInsider, Inc. All Rights Reserved