Rigel Resource Acquisition Corp. (RRAC) Signs LOI

Rigel Resource Acquisition Corp. (NYSE: RRAC) announced this afternoon that it has signed a non-binding letter of intent (LOI) to combine with a global metals company.

The SPAC disclosed that it signed the LOI on March 23, but did not provide further information on the unnamed target or the potential transaction.

Today’s announcement comes days before its extension vote on August 7, suggesting that this LOI is a teaser to give shareholders a “taste” before they decide on whether to redeem or not. As of now, Rigel Resource has a completion deadline of August 9, 2023, but is hoping to gain shareholder approval to extend this by an entire year up to August 9, 2024.

It announced the pricing of its upsized $275 million IPO in November 2021 and set out to combine with a target in the global mining industry, including operators of mines and providers of ancillary services. Rigel Resource is led by Chairman of the Board of Directors Oskar Lewnowski, CEO Jonathan Lamb, President Nathanael Abebe, and CFO Jeff Feeley.

Since there is no guarantee that this LOI will be completed, RRAC will remain in SPACInsider’s “Searching” column until a definitive agreement is signed.