Orion Acquisition Corp. (OHPAU) Files to Liquidate Early by Vote

Orion Acquisition Corp. (Nasdaq: OHPAU) filed a proxy this afternoon for a shareholder vote to liquidate early.

Orion’s current completion deadline isn’t until March 4, 2023, but today’s filing is asking shareholders to approve an amendment that would allow the Board to change the date to no later than December 30, 2022. The approval of the amendment would require the affirmative vote of at least 65% of the outstanding shares of OHPAU.

Similar to a handful of other SPACs that are also looking to amend their deadline to liquidate early, Orion’s management team believes it would be best to return capital to its shareholders due to existing market conditions and the 1% excise tax on stock repurchases under the Inflation Reduction Act of 2022.  SPAC redemptions are considered a stock repurchase.

Orion is the sixth such SPAC looking to hold a shareholder vote to move up their completion deadline, but it is anticipated that other SPACs will follow suit.

The SPAC originally announced the pricing of its upsized $360 million IPO in March 2021 and intended to combine with a healthcare target with a durable revenue base and a track record for developing innovative products.