Grab Holdings Inc. said it would go public on the Nasdaq Stock Market by merging with a dedicated acquisition company, earning a valuation of nearly $ 40 billion in another milestone for the SPAC boom that has engulfed US financial markets.
The $ 39.6 billion deal to list Grab, a ride delivery, food delivery and digital wallet group operating in much of Southeast Asia, is by far the largest involving a blank check. business is involved and means the valuation of Grab in just 18 months. The merger also involves fundraising of more than $ 4 billion, the largest stock sale ever by a Southeast Asian company in the US.
Singapore headquarters Grab said Tuesday it would merge with Altimeter Growth Corp., an SPAC sponsored by Altimeter Capital, of Menlo Park, California, confirming details previously reported by The Wall Street Journal.
The merger with Grab adds to a frenzy of making SPAC-related deals. According to data from SPAC Research, a record $ 99 billion was raised in the US this year by a total of 306 SPACs, and about 435 of these vehicles are still looking for a merger target.
As part of the deal, more than $ 4 billion has been committed in a so-called PIPE, a type of funding round that typically involves such mergers with blank check companies. PIPE stands for “private investment in public equity”. Grab will receive up to approximately $ 4.5 billion in cash from the transaction.