East Resources Acquisition Company Signs Letter Of Intent For A Business Combination

East Resources Acquisition Company (NASDAQ:ERES) (the "Company") today announced that it has entered into a non-binding letter of intent ("LOI") for a business combination with a vertically integrated

East Resources Acquisition Company (NASDAQ:ERES) (the “Company”) today announced that it has entered into a non-binding letter of intent (“LOI”) for a business combination with a vertically integrated alternative asset manager specializing in specialty insurance products, with a focus on origination, asset management, valuation and servicing (the “Target”).

The Target has an experienced management team that has built the business into a market sector leader and demonstrated an ability to drive growth and continuously scale the business. The Company expects that it can offer the Target its resources, its experience and its network of relationships to support the Target’s growth and access to more attractive financing terms through access to public markets, making this an attractive potential business combination for the Company’s stockholders. Under the terms of the LOI, the Company and Target would become a combined entity, with the Target’s existing equityholders rolling over 100% of their equity into the combined public company.

The Company expects to announce additional details regarding the proposed business combination when a definitive agreement is executed, which is expected later in the third quarter of 2022.

No assurances can be made that the parties will successfully negotiate and enter into a definitive agreement, or that the proposed transaction will be consummated on the terms or timeframe currently contemplated, or at all. Any transaction would be subject to board and equityholder approval of both companies, regulatory approvals and other customary conditions. The Company is holding a special meeting of its stockholders on July 25, 2022 to extend the date by which the Company must consummate a business combination from July 27, 2022 to January 27, 2023, and the proposed transaction would be subject to approval of such proposal by the Company’s stockholders.

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