Morning Roundup: January 10, 2024

At the SPAC of Dawn

While some SPACs have gotten off to a fast start after recent IPOs, the process has been start-and-stop for others.

Blue Room, which had aimed to raise $200 million in an IPO and got effective in late December, instead withdrew its registration this week. A withdrawal is frequently not the end of the line for teams and Blue Room could re-open the door later under different terms.

Meanwhile, it has become increasingly common for SPACs to face some sort of litigation in the latter stage of closing and thereafter. Iron Horse (NASDAQ:IROH), however, has decided not to wait.

It IPO’d just two weeks ago on December 27, but has already launched litigation of its own against Swiss investment firm Omnia Global and three individuals there alleging “tortious conduct” under New York’s racketeering laws.

Deals and Funding

• FTAC Emerald Acquisition Corp. (NASDAQ:EMLD) announced in an 8-K yesterday that it has signed a non-binding letter of intent to combine with a target company but shared no further details about the potential transaction. The SPAC recently postponed its extension vote three days to January 19.

News and Rumors

• PR: Nauticus Robots (NASDAQ:KITT) has secured additional funding in a pair of tranches from existing investors that will eliminate some of its warrant overhang. The company also expects to debut its Aquanaut Mk2 submersible robot in early 2024. It combined with CleanTech in September 2022.
• BusinessJournal: The SEC continues to pursue a $45 million claim against Lordstown Motors (OTC:RIDEQ) as it undergoes bankruptcy negotiations with creditors, having closed its combination with DiamondPeak in 2020.
• PR: VinFast (NASDAQ:VFS) officially launched its Drgnfly electric bike in the US market. Black Spade‘s 2023 combination target expects the bike to retail at about $2,800 with a top speed of 28 mph and a 63-mile range.