Aura FAT Projects Acquisition Corp,a special purpose acquisition company (SPAC) focused on funding emerging technology start-ups with an acute growth potential in Southeast Asia and Australasia, announced Tuesday the successful close of its initial public offering (IPO) of $115 million.
The company said in a statement that it has closed its IPO of $100 million consisting of 10 million units priced at $10 per share on the Nasdaq Global Market (Nasdaq), and an over allotment option on a further 1.5 million units for a further $15 million has been fully exercised.
According to the statement, the units have been available for trading since Wednesday April 13. Each unit consists of one Class A ordinary share and one redeemable warrant entitling the holder thereof to purchase one Class A ordinary share at a price of $11.50 per share.
AFAR is a blank check company incorporated as a Cayman Islands exempted company for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination. The company has an avid interest in new emerging technology companies with an acute growth potential in Southeast Asia and Australasia in sectors such as the Web3, blockchain, cryptocurrency, digital ledger, e-gaming and other new financial technology and services industries.
With operations in Singapore, Sydney, Melbourne, Manila and Ho Chi Minh City, AFAR is moving fast in its mission to illuminate the growing innovation in neighboring countries beyond China. It intends to bridge the start-up funding gap by leveraging on the financial expertise of its co-sponsors, Aura Group and Fat Projects, and a robust ecosystem of quality companies that are ideal for a business combination.
Coupled with leadership teams that have extensive experience founding and exiting businesses in Southeast Asia and Australia, AFAR said it is well-positioned to identify the next generation of technology disruptors and propel their success.
EF Hutton, division of Benchmark Investments, is acting as the sole book running manager for the IPO. The company has granted the underwriters a 45-day option to purchase up to an additional 1,500,000 units at the IPO price to cover over-allotments. This offering closed earlier than expected on April 18, as all the over-allotments have been fully exercised.
Not only will capital from the SPAC listing facilitate strategic mergers and acquisitions with new emerging technology companies, AFAR also intends to target companies that boast a strong executive team with the experience, network and ‘know how’ to accelerate their growth.
“We are extremely excited to be collaborating with Aura Group to launch our second Nasdaq SPAC listing. Collectively, the two co-sponsor teams have over 200 years of experience investing in innovative technologies and also boasts a strong track record in identifying quality and reputable companies. We are confident that through our networks, we will be able to identify the right company that aligns with our values for a SPAC business combination,” said David Andrada, Co-Founder of Fat Projects.
Meanwhile, Aura Group Co-Founder Calvin Ng said :”Southeast Asian economies are among some of the fastest growing in the world, with several at the forefront of the digital revolution. This is predominantly why AFAR is honing in its search for a target acquisition in this region. Our SPAC listing allows us to be well positioned to help high potential technology companies who are in need for liquidity and funding to grow.”
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