Spartan Energy Files a New Prospectus with some Changes
by Kristi Marvin on 2018-08-06 at 12:01pm

Spartan Energy Getting Ready to IPO this Week.

Spartan Energy Acquisition Corp., filed a new S-1/A this morning, with a few changes. The most notable change being a new banker in the line-up (and the removal of Apollo Global Securities).

New Co-Manager

RBC Capital Markets is now on the cover as part of the co-managing group that also includes Jefferies and Tudor, Pickering, Holt.  The lead underwriters remain the same with Citigroup and Credit Suisse.  This is a nice win for RBC and marks their first SPAC cover of 2018.  Their most recent SPAC was the $345 million Mosaic Acquisition Corp. back in October of 2017.

RBC is replacing Apollo Global Securities, and based on pure speculation, Apollo Global Securities’ removal is most likely due to conflicts of interest. Not that those conflicts weren’t insurmountable, but since the underwriting group is so strong, why make thing difficult by including AGS and hence, the replacement.

New Independent Director Nominee

The other notable change was the addition of a new independent director nominee to the board with John Stice.  Mr. Stice bring a wealth of energy experience to this deal having served as CEO of Access Midstream from the time it spun out of Chesapeake Energy until his retirement in 2015.

As far as Spartan’s deal size, still no increase.  The transaction remains at $400 million, however, this IPO is widely expected to price Thursday, for Friday trading, so maybe we’ll see an upsize then.

Summary of terms are as follows:
  • Focus:  Energy (North America)
  • $10.00 unit comprised of one share class A common stock , one-third of a full warrant
  • Warrant call for redemption threshold: equals or exceeds $18.00 (cash or cashless exercise)
  • Limitation on redemption rights:  20%
  • 100% held in trust ($10.00 per share)
  • 24 months to complete an acquisition 
  • Sponsor purchase of private placement warrants at $1.50 per warrant (7,333,333 warrants = $11M)
  • Underwriting fees: 2.0% / 3.5% deferred
  • Bookrunners:  Citigroup, Credit Suisse; Co-managers:  Jefferies, RBC Capital Markets & Tudor, Pickering Holt

 

Recent Posts
by Nicholas Alan Clayton on 2024-02-26 at 1:45pm

News and Rumors PR: Medtech firm Agiliti (NYSE:AGTI) has agreed to be acquired by an affiliate of private equity firm Thomas H. Lee Partners (THL) at $10 per share and an enterprise value of $2.5 billion. This represents a 43% premium over the company’s 90-day VWAP and returns it to 100% ownership by THL five...

by Nicholas Alan Clayton on 2024-02-26 at 7:42am

At the SPAC of Dawn The last week of February is to host a moderate amount of SPAC votes and also the potential for some market-moving data releases. Shareholders for five SPACs are to consider extensions this week and seven more SPACs have scheduled completion votes. But, among the more interesting events on the agenda...

by Kristi Marvin on 2024-02-24 at 11:45am

Terms Tracker for the Week Ending February 23, 2024 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. As expected, new issuance filings were quiet this week.  But, deal announcements were surprisingly active.  Four more SPACs announced combinations in a shortened holiday week...

by Nicholas Alan Clayton on 2024-02-23 at 2:26pm

Pyrophyte (NYSE:PHYT) faced a major regulatory setback for its combination with mining firm Sio Silica this week, but a recent analogous SPAC deal could provide some encouragement for a path forward. Sio Silica is working to develop a high-grade silica mine in the Vivian Sands outside Winnipeg, Canada and it inked the $708 million combination...

by Nicholas Alan Clayton on 2024-02-23 at 1:37pm

News and Rumors JD Supra: Securities class action lawsuits against SPACs and de-SPACs increased only slightly in 2023 with 27 after 2022 saw 24 and 2021 – 33. Lawsuits concerning the de-SPACing process itself dropped precipitously, however, representing just 21% of cases as compared to 69% in the previous two years and 80% in 2020....

logo

Copyright © 2023 SPACInsider, Inc. All Rights Reserved