Electrum Special Acquisition Corporation Shareholders Approve Extension of Date to Consummate a Business Combination
06 October 2017 - 7:49AM
Business Wire
Electrum Special Acquisition Corporation (NASDAQ:ELEC), a blank
check acquisition company (the “Company”), announced today that its
shareholders have approved an extension of the date by which it
must complete a business combination to February 5, 2018 (the
“Extension”). The Company’s shareholders also approved an amendment
to the Company’s investment management trust agreement, dated June
10, 2015, as amended on June 6, 2017, by and between the Company
and Continental Stock Transfer & Trust Company, to extend the
date on which to commence liquidating the trust account (the “Trust
Account”) established in connection with the Company’s initial
public offering in the event the Company has not consummated a
business combination from October 8, 2017 to February 5, 2018.
Following redemptions of 3,937,943 of the Company’s shares in
connection with the Extension, a total of approximately $132.9
million will remain in the Company’s Trust Account. The Company’s
shareholders previously approved a proposal to extend the date by
which the Company has to consummate a business combination until
October 8, 2017 (the “Prior Extension”). In connection with the
Prior Extension, the Company’s sponsor, ESAC Holdings LLC, agreed
to contribute to the Company as a loan $0.025 for each public share
that was not redeemed, for each calendar month (commencing on June
10, 2017 and on the 10th day of each subsequent month), or portion
thereof, that is needed by the Company to complete a business
combination from June 10, 2017 until October 8, 2017. The Company’s
sponsor has agreed to continue to make this contribution through
February 5, 2018 in connection with the Extension. The
contributions will increase the pro rata portion of the funds
available in the Trust Account in the event of the consummation of
a business combination or a liquidation from approximately $10.20
per share to approximately $10.30 per share, assuming the Company
takes the entire time through February 5, 2018 to complete a
business combination or liquidates on or about such date. The
Company’s sponsor has the sole discretion to determine whether to
continue extending for additional calendar months until February 5,
2018, and if the Company’s sponsor determines not to continue
extending for additional calendar months, its obligation to make
additional contributions will terminate and the Company will
dissolve and liquidate in accordance with its Amended and Restated
Memorandum and Articles of Association.
About Electrum Special Acquisition Corporation
Electrum Special Acquisition Corporation is a blank check
company formed for the purpose of acquiring, engaging in a share
exchange, share reconstruction and amalgamation, purchasing all or
substantially all of the assets of, entering into contractual
arrangements, or engaging in any other similar business combination
with one or more businesses or entities.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of the “safe harbor” provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements may be identified by the use of words such as
“anticipate,” “believe,” “expect,” “estimate,” “plan,” “outlook”
and “project” and other similar expressions that predict or
indicate future events or trends or that are not statements of
historical matters. Such forward-looking statements include
statements concerning a potential business combination and
additional deposits into the Trust Account for the benefit of its
shareholders. These statements are based on the Company’s
management’s current expectations and beliefs, as well as a number
of assumptions concerning future events. Such forward-looking
statements are subject to known and unknown risks, uncertainties,
assumptions and other important factors, many of which are outside
of the Company’s control that could cause actual results to differ
materially from the results discussed in the forward-looking
statements. The Company cannot assure you that the Company’s
sponsor will determine to make the Contribution in subsequent
calendar months.
Additional factors that could cause actual results to differ
materially from those expressed or implied in forward-looking
statements can be found in the Company’s definitive proxy statement
on Schedule 14A filed with the Securities and Exchange Commission
(the “SEC”) on September 7, 2017, annual report on Form 10-K for
the fiscal year ended November 30, 2016 and quarterly report on
Form 10-Q for the quarterly period ended May 31, 2017, which are
available, free of charge, at the SEC’s website at www.sec.gov.
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version on businesswire.com: http://www.businesswire.com/news/home/20171005006366/en/
Media:Gasthalter & Co.Nathaniel Garnick/Kevin
FitzGerald, 212-257-4170
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