The Latest Non-Redemption Agreements: August 2, 2023

Latest Non-Redemption Agreements: Quantum FinTech and Byte

Quantum FinTech Acquisition Corp. (QFTA) Adds Non-Redemption Agreement

On August 1, Quantum FinTech Acquisition Corporation (NYSE:QFTA) and its sponsored entered into a non-redemption agreement with Funicular Funds, LP in exchange for the holder agreeing either not to request redemption in connection with the extension with respect to an aggregate of 2,351,800 shares of common stock.

In consideration of the foregoing agreement, immediately prior to, and substantially concurrently with, the closing of an initial business combination, the sponsor will surrender and forfeit to the company for no consideration an aggregate of 235,180 shares of common stock and an aggregate of 235,180 warrants to purchase 235,180 shares of common stock and the company shall issue to the holder a number shares of common stock equal to the number of forfeited shares and a number of warrants to purchase shares of common stock equal to the number of forfeited warrants.

Byte Acquisition Corp. (BYTS) Adds Non-Redemption Agreement

As previously disclosed, on June 27, BYTE Acquisition Corp. (NASDAQ:BYTS) entered into a merger agreement with Airship AI Holdings, Inc.

Pursuant to the merger agreement, BYTS agreed to enter into non-redemption agreements with certain investors pursuant to which such investors will commit to hold or acquire, as applicable, and not to redeem an aggregate of $7 million of BYTS Class A Ordinary Shares.

On August 1, BYTS entered into a non-redemption agreement with Byte Holdings LP, and its sponsor. Pursuant to the Non-Redemption Agreement, the sponsor agreed to acquire from shareholders of BYTS $6 million in aggregate value of Class A ordinary shares of BYTS, either in the open market or through privately negotiated transactions, at a price no higher than the redemption price per share payable to public shareholders who exercise redemption rights with respect to their shares, prior to the closing date of the business combination, to waive its redemption rights and hold the shares through the closing date of the merger, and to abstain from voting and not vote the shares in favor of or against the deal.

As consideration for the Non-Redemption Agreement, BYTS agreed to pay the sponsor $0.033 per share per month, which will begin accruing on the date that is three days after the date of the Non-Redemption Agreement and terminate on the earlier of the closing date of the deal, the termination of the merger, or the outside closing date.

Additionally, on August 1, BYTS entered into a Non-Redemption Agreement with an existing shareholder holding shares, pursuant to which the Non-Redeeming Shareholder agreed not to redeem $1 million in aggregate value of shares held by it on the date of the Non-Redemption Agreement in connection with the merger.