Blank-check firm Astrea Acquisition Corp, travel tech company HotelPlanner and online hotel booking platform Reservations.com have mutually ended their $688 million merger deal, the parties have said.
"The Best Path Forward For All Parties"
"All three companies believe that terminating the business combination is the best path forward for all parties," the companies said in a statement, without citing a reason.
Decided To Merge In August Of 2021
HotelPlanner, Reservations.com and Astrea decided to merge in August of last year, with the deal potentially resulting in cash proceeds of $120 million for the combined entity.
Astrea IPO
Astrea went public in a $150 million initial public offering (IPO) in February of last year. Special purpose acquisition companies (SPACs) typically have up to two years to hunt for a company to take public, failing which they must return their shareholders' money.
Essentium Inc And Syniverse Technologies
Last week, 3D printing firm Essentium Inc and telecom services firm Syniverse Technologies also ended their blank-check mergers, as inflation concerns and geopolitical tensions add to worries for companies seeking to go public through the SPAC route.
SPAC Information
A SPAC is a shell company that raises money in an IPO and puts it in a trust to merge with a private company and take it public.
News by Reuters, edited by Hospitality Ireland. Click subscribe to sign up for the Hospitality Ireland print edition.
