Aug. 4 (Reuters) – Fintech entrepreneur Betsy Cohen’s special purpose acquisition company (SPAC) has agreed to a merger with technology services company Pico that will give the combined company an equity value of $ 1.75 billion, the companies said on Wednesday .
Since last year, Cohen has closed a number of such high-profile deals, including boutique investment bank Perella Weinberg Partners (PWP.O), payment provider Payoneer (PAYO.O), and Israel’s online stockbroker eToro.
New York-based Pico’s deal with Cohen’s FTAC Athena Acquisition Corp (FTAA.O) will bring the combined company $ 450 million in revenue and will be backed by a private investment in public equity (PIPE) of 200 Million US dollars backed.
PIPE investors include Golden Gate Capital and Wellington Management
Pico provides a range of technology services to the financial market community, including infrastructure hosting and market data. Customers include Wells Fargo & Co (WFC.N), Goldman Sachs (GS.N) and the Tokyo Stock Exchange.
SPACs – publicly traded companies with no business activities – use the money from their IPOs to buy a private company and get it public. FTAC Athena raised $ 250 million when it went public in February.
Upon completion of the transaction in late 2021, Pico will be traded on the Nasdaq.
Reporting by Niket Nishant in Bengaluru; Editing by Aditya Soni and Krishna Chandra Eluri
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