Recently, it looked like the first and only Swiss Spac company would be a flop. VT5 finds a last-minute takeover target.
VT5, a shell company listed on the Swiss stock exchange SIX, reached a merger agreement with R&S Rauscher und Stoecklin Group, an electrical engineering provider, as planned, according to a press release on Tuesday.
Considerable Delay
The agreement involves taking over R&S for a purchase price of 274 million Swiss francs, merging it with VT5, and taking the group public in Switzerland. The target company is a high-growth business that benefits from trends in the energy sector.
VT5 was listed on the SIX in December 2021 as the first and only Swiss shell company (Spac) to find a suitable takeover candidate within a year. Around 200 million Swiss francs were available as investable capital, with the deadline for finding a target expiring at the end of the year when the company would have had to pay out its investors.
Wrapping up by Year-End
According to the announcement, the merger requires a capital increase, with the issue price for the new shares expected to be between 10 and 10.50 francs per share. The publication of a prospectus and further transaction details will be announced on November 8.
VT5 aims to complete the entire transaction by mid-December 2023.
