Stoneleigh Partners Acquisition Corp. completed its IPO on June 1, 2007, selling 25 million units at $8.00 per unit. The gross proceeds totaled $200 million, double the $100 million that the company was looking to raise when it filed its initial S-1 on April 12, 2006. A total of $198,400,000, equal to $7.94 per common share, has been placed into an escrow account. This balance includes $7,400,000 deferred by the underwriters, which will be paid when the company completes an acquisition, and $4,450,000 from the sale of warrants to certain of the insiders. Previously, the insiders purchased 6,250,00 common shares for $1,550,000. In the event that the company is liquidated, neither the underwriter nor the insiders will receive any of the funds placed into the escrow account.
Up to $3 million of interest earned on the trust fund balance can be used “to fund expenses related to investigating and selecting a target business and our other working capital requirements.”
Certain of the insiders have agreed to purchase up to $15 million of the company’s units, at prices not to exceed $8.65 per unit, commencing 30 calendar days after the company has filed proxy materials seeking shareholder approval to complete an acquisition.
Each unit consists of one share of common stock and one warrant to purchase an additional share at $5.50 per share.
Stoneleigh Partners Acquisition Corp. is going to “focus on businesses having a majority of their assets, based on either a historical balance sheet valuation or a fair market valuation, represented by real estate or other physical assets, or which utilize these types of assets to derive at least a majority of their revenue.”
There is no word yet as to whether or not the underwriter has exercised its over-allotment option.
The securities will be listed on the American Stock Exchange. The units (SOC-U) closed at $8.13 yesterday. The common shares (SOC) and warrants (SOC-WT) will begin trading separately at a later date.
The final prospectus:
sec.gov |
