HBC Acquisition Corp. has filed with SEC of USA and plans to raise up to $ 100 million through an IPO of its common stock. The company is offering about 10,000,000 units of shares at a price of $ 10 each. The company’s units are supposed to be traded on the NASDAQ Stock Exchange. Citigroup Global Markets Inc. is the sole book-running manager of the company with option for underwriters to buy additional 1.5 million shares to cover over allotment. The company would use the net proceeds of this offering along with the funds from sale of sponsor warrant to set forth various important things of the company.
This is something they have been referring throughout this prospectus as their initial business combination. The company did not identify any acquisition target until now. Moreover, anybody else or they themselves have not initiated any substantive discussion with respect to identify acquisition target with anybody directly or indirectly. It is stated that Blank-check companies who do not make an acquisition within two years of going public have to return money to the investors.
HBC Acquisition Corp.- Competition, Competitors and Promoter
The company can encounter intense competition from other companies having similar objectives. This include other blank check companies, leveraged buyout funds, private equity groups and operating businesses looking for strategic acquisitions. Most of the companies in competition with HBC Acquisition Corp. are greater in financial, human, technical and other resources than this company. However, the positive trait is that it considers itself to be a tough competition to others. The main promoter of the company is HBC Investors LP.
HBC Acquisition Corp.- Future Plans
The company looks forward to capitalize any substantial deal that comes its way and shall work towards sourcing, investing and operating with the help of its management team. It would help by identifying, acquiring and operating businesses with high growth potential in the USA or abroad. However, the amended as well as restated certificate of their incorporation prohibits them from starting a business combination with another blank check or similar companies with nominal operations. The company is hopeful about its prosperity in its business sector.