Extension Vote Results: Megalith Financial Acquisition Corp. (MFAC)

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Extension Vote Results: Megalith Financial Acquisition Corp. (MFAC)

May 27, 2020 INTEL by Kristi Marvin


Yesterday, Megalith Financial Acquisition Corp. (MFAC), held their shareholder vote to extend their completion deadline to August 28th, and while the extension was approved, redemptions were on the heavy side.

13,733,885 shares opted to redeem at the vote, or approximately 81.1% of public SPAC shares, resulting in roughly $144 million being removed from trust for an estimated current trust value of $33,167,514.53.

If you recall, Megalith was not offering a contribution to trust for non-redeeming shareholders and while MFAC had put out a teaser ahead of their extension vote on a potential combination with a digital banking platform, it appears not to have had much effect.

Megalith’s potential combination is still at the non-binding LOI stage, but now that they’ve cleared their extension, perhaps we get a “definitive agreement” shortly. However, if both Megalith and the target were expecting to retain a greater amount of cash in trust post-vote, an additional PIPE financing might have to figure into any deal going forward.

Nevertheless, Megalith now has an additional three months to announce and close.

You can find the vote results HERE.