Crixus BH3’s board determined that it is in the best interest of the company and its stockholders to continue its pursuit of a target to combine with.
For the time being, the sponsor, Crixus BH3 Sponsor LLC, has extended the completion deadline to October 6 and deposited $175,440.72 into the trust account to fund any redemption of the offering shares.
As a result of the change in plans, the company will not redeem its offering shares and will proceed with its special meeting, which has been rescheduled to September 29. At the meeting, the SPAC is hoping to gain shareholder approval to extend the completion deadline from March 31, 2024, to July 31, 2024.
With a current termination date in October, this would provide the company with an additional nine months to find a target to combine with. Crixus BH3 originally set out to focus its efforts on businesses that manage, finance, operate, construct, control, own or support real estate. It raised a total of $232.3 million in gross proceeds from its IPO in October 2021, but is currently left with $52.9 million in its trust.
And, interestingly enough, Crixus BH3’s choice to reverse its liquidation comes on the heels of Atlantic Coastal Acquisition Corp.‘s (NASDAQ:ACAH) decision to do the same. ACAH, which announced last week that it intended to liquidate, opted to reverse that decision and will now hold an extension vote on September 8th.
Crixus BH3 is led by Co-CEO Daniel Lebensohn, Co-CEO and CFO Gregory Freedman, and COO Michelle Guber.