Graf Acquisition Corp. IV (NYSE:GFOR) announced in an 8-K this morning that it has added $10 million in convertible note funding to its combination with NKGen Biotech.
NKGen’s majority shareholder NKMax (KOSDAQ:182400) has put up the cash for the move and in exchange the notes are to bear interest payable at either a 5% rate in cash or 8% in stock. They will mature in 2027 on the agreement’s fourth anniversary and can be exercised for 1,000,000 shares at $11.50 per share.
This new funding comes as Graf IV has postponed its completion vote with NKGen three times as it engages with shareholders and tries to hit its $50 million minimum cash condition.
Its shareholders are currently set to reconvene at 10 am ET, September 20 and it has until September 25 to complete a deal.
Graf IV went into this string of meetings with about $62.2 million in trust and NKMax had already committed to a backstop of up to $25 million. According to the filing, the SPAC plans to continue to seek out additional funds to bring the deal to a close.
The $160 million combination was initially announced in April of this year. Santa Ana, California-based NKGen has five pharmaceutical formulas that have each reached some stage of Phase I and Phase II clinical trials seeking potential therapies for cancer and neurodegenerative conditions like Parkinson’s and Alzheimer’s.
Terms Tracker for the Week Ending November 24, 2023 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. This being the Thanksgiving holiday week, we are thankful for a lot of things, but mostly that 2023 is almost over. It’s been a rough...
At the SPAC of Dawn Though perhaps stuffed to the brim, SPAC activity continues this Thanksgiving Friday with votes by Clean Earth and Zalatoris to extend a deadline and amend trust contributions, respectively. At least seven de-SPACs are also reporting earnings today and will do so going into a futures market that is mostly green...
IB Acquisition Corp. submitted its S-1 filing Friday afternoon for a $100 million IPO, coming right on the heels of Bayview Acquisition Corp, which also filed its S-1 that day. IB is also similar to Bayview in that its units do not feature a warrant but include 1 right for 1/10. However, its trust is slightly...
Integrated Wellness (NYSE:WEL) announced in an 8-K filing that it agreed to transfer control of its sponsor to Sriram Associates, which will now take on the SPAC’s financial obligations and may appoint a new team. Sriram is acquiring 2,012,500 promote shares (70%) and 4,795,000 private placement warrants (70%) for the nominal purchase price of $1....
At the SPAC of Dawn So far, seven SPACs have announced their liquidations this week and although some others may choose to use the holiday to quietly disband, this tends to be a positive week for equities in general. Going back to 1961, the S&P 500 has ended the Thanksgiving week with gains three-quarters of...