Gesher I Acquisition Corp. (GIAC) Tweaks FPA and Adds Backstop

Gesher I (NASDAQ:GIAC) announced changes to its forward-purchase agreement (FPA) in an 8-K filed this morning while adding a $10 million backstop.

The SPAC listed in October 2021 with a $45 million FPA and has amended this to note that its “lead forward purchaser” is in for $40 million in units at $10 per unit, but it is unclear if this is a change in the total amount of the FPA. What is new is that this purchaser has agreed to provide $10 million to backstop redemptions in exchange for 500,000 additional warrants.

Terms tweaks like this are unusual for a SPAC still at a searching stage, but could indicate that a deal announcement is imminent for Gesher I as such changes are generally lined up in conjunction with a concrete deal.