E.Merge Technology Acquisition Corp. recently offered the public 52,200,000 units priced at $10 each. They closed after grossing $522,000,000 in proceeds, selling 2.2 million more shares than expected.
E.Merge’s units were listed on the Nasdaq Capital Market under the ticker symbol “ETACU.” Trading began on the 31st of July and closed on August 4th. Units sold were made up of one share of the company’s Class A common stock and one third of one redeemable warrant. A whole warrant entitles the holder to purchase one share of Class A common stock at a price of $11.50 per share. Only whole warrants can be traded and are exercisable. Once the securities comprising the units begin separate trading, the shares of Class A common stock and warrants are expected to be traded on Nasdaq under the symbols “ETAC” and “ETACW,” respectively.
The company is a new blank check company based in Burlingame, California. It will pursue mergers, capital stock exchange, stock purchase, asset acquisition, and reorganize or combine businesses. In recent years, there have been a wide range of technical breakthroughs, such as cloud and mobile computing, artificial intelligence, machine learning, data analytics, cybersecurity, and corresponding hardware innovations. E.Merge’s management team believes that large and small industries across the globe have been transformed by new technologies, so they target businesses across many industries and regions worldwide, searching for prospects within the software and internet technology industries.
E.Merge is led by Chairman S. Steven Singh and Co-Chief Executive Officers Jeff Clarke and Guy Gecht. Mr. Singh previously served as Chief Executive Officer of Concur, and currently is a Managing Director with Madrona Venture Group. Mr. Clarke serves as a Co-Chief Executive Officer as well as Chief Financial Officer, Secretary and Director, and is currently the non-executive Chairman of FTD, LLC, a private floral wire service, retailer, and wholesaler controlled by Nexus Capital. Mr. Clarke was also formerly CEO of KODAK. Guy Gecht, most recently served as Chief Executive Officer of Electronics For Imaging, Inc., or
EFI, a private digital printing technology provider.
Cantor Fitzgerald & Co. and Mizuho Securities USA LLC are acting as the joint book running managers for the offering. E.Merge granted the underwriters a 45-day option to purchase up to an additional 7,830,000 units at the initial public offering price to cover over-allotments.
