Since August 2003, 44 blank check companies have gone public, raising gross proceeds totaling $2,787,543,869. Another 40 companies have filed registration statements and are looking to raise an additional $3,144,680,010.
Five blank check companies have actually completed acquisitions, and another nine companies have deals pending. In most instances, the securities of the blank check companies that have either completed or announced deals are trading at levels that are above their original offering prices.
Millstream Acquisition, which went public on August 25, 2003, completed the acquisition of NationsHealth, Inc., a provider of medical products and prescription related service, on August 31, 2004. The common shares and warrants last traded at $4.60 and $1.24, respectively, giving the units, which last traded at $6.97, a value of $7.08. The units were originally priced at $6.00. The common shares recently traded as high as $8.33.
International Shipping Enterprises, which went public on December 14, 2004, completed the acquisition of Navios Maritime Holdings, Inc., a shipping company, on August 25, 2005. The common shares and warrants last traded at $4.77 and $.54, respectively, giving the units, which last traded at $5.98, a value of $5.85. The units were originally priced at $6.00.
Chardan China Acquisition, which went public on March 17, 2004, completed its acquisition of four Chinese companies engaged in the production and sale of agricultural seeds on November 9, 2005 and changed its name to Origin Agritech Limited. On December 5, 2005, Origin announced that it was going to force the exercise of the warrants that were issued in the initial public offering. The company raised over $40 million when 8,041,000 of the 8,050,000 warrants were exercised at $5.00 per share. The common shares last traded at $16.55. If you assume that $11.55 of value has been created from each of the two warrants, the original units, which were priced at $6.00 and are no longer trading, now have a value of $39.65.
Trinity Partners Acquisition, which went public on July 30, 2004, completed the acquisition of FreeSeas, Inc., another shipping company, on December 15, 2005. The original offering consisted of two classes of securities. The registration of the old securities has since been terminated and new securities have been issued pursuant to a less complicated capital structure. The common shares last traded at $5.00. The Class W and Z warrants last traded at $.60 and $.72, respectively, giving the original Class A units, which were originally priced at $10.50 and no longer trade, a value of $16.00. The Class B units, which were originally priced at $10.10 and no longer trade, have a value of $13.60.
CEA Acquisition, which went public on February 13, 2004, completed the acquisition of etrials Worldwide, a global provider of integrated software for the life sciences industry, on February 9, 2006. The common shares and warrants last traded at $5.79 and $1.29, respectively, giving the units, which last traded at $7.85, a value of $8.37. The units were originally priced at $6.00.
Rand Acquisition, which went public on November 2, 2004, announced on September 6, 2005, that it was acquiring Lower Lakes Towing Ltd. and Grand River Navigation Company, Inc., two shipping companies operating on the Great Lakes. The common shares and warrants last traded at $5.45 and $1.12, respectively, giving the units, which last traded at $7.90, a value of $7.69. The units were originally priced at $6.00.
Great Wall Acquisition Corporation, which went public on March 19, 2004, announced on September 12, 2005, that it was acquiring ChinaCast Communication Holdings Limited, a China-based provider of e-learning services. The common shares and warrants last traded at $5.37 and $.46, respectively, giving the units, which last traded at $6.10, a value of $6.29. The units were originally priced at $6.00.
Tremisis Energy Acquisition Corp., which went public on May 13, 2004, announced on October 21, 2005, that it was acquiring Ram Energy, Inc., an oil and gas company. The common shares and warrants last traded at $5.59 and $.98, respectively, giving the units, which last traded at $7.52, a value of $7.55. The units were originally priced at $6.00.
Sand Hill IT Security Acquisition Corp., which went public on July 27, 2004, announced on October 27, 2005, that it was acquiring St. Bernard Software, Inc., a global provider of security solutions, including Internet and email filtering appliances, patch management and data backup.
The common shares and warrants last traded at $5.25 and $.91, respectively, giving the units, which last traded at $7.50, a value of $7.07. The units were originally priced at $6.00.
Arpeggio Acquisition Corp., which went public on June 24, 2004, announced on December 5, 2005, that it was acquiring Hill International, a construction contractor. The common shares and warrants last traded at $5.55 and $1.09, respectively, giving the units, which last traded at $7.58, a value of $7.73. The units were originally priced at $6.00.
China Unistone Acquisition Corporation, which went public on November 24, 2004, announced on December 20, 2005, that it was acquiring two Chinese IT companies servicing the banking sector in China. The common shares and warrants last traded at $7.70 and $2.59, respectively, giving the units, which last traded at $13.95, a value of $12.88. The units were originally priced at $6.00.
Platinum Energy Resources, Inc., which went public on October 25, 2005, announced on January 26, 2006, that it was acquiring Tandem Energy Holdings, an oil and gas company. The common shares and warrants last traded at $7.20 and $1.03, giving the units, which last traded at $8.16, a value of $8.23. The units were originally priced at $8.00.
Chardan China North Acquisition Corp., which went public on August 4, 2005, announced on February 2, 2006, that it was acquiring two China-based companies that sell automation systems into the Chinese market. The common stock and warrants last traded at $11.60 and $6.70, giving the units, which last traded at $25.25, a value of $25.00. The units were originally priced at $6.00.
China Mineral Acquisition Company, which went public on August 30, 2004, announced on February 23, 2006, that it was acquiring Sunwing Energy, Ltd., the China-based oil and gas subsidiary of Ivanhoe Energy. The common stock and warrants last traded at $5.30 and $.66, giving the units, which last traded at $6.72, a value of $6.62. The units were originally priced at $6.00. |
