Giant Oak Acquisition, a blank check company formed by Chinese executives targeting middle-market growth businesses, lowered the proposed deal size for its upcoming IPO on Friday.
The New York, NY-based company now plans to raise $60 million by offering 6 million units at $10. Each unit now consists of one share of common stock and one right to receive one-tenth of a share upon the completion of an initial business combination. The company had previously filed to offer 10 million units at the same price, with each unit also containing one warrant to purchase one-half of a share. At the revised deal size, Giant Oak Acquisition will raise 40% less in proceeds than previously anticipated.
Giant Oak Acquisition is led by CEO River Chi, the CFO of February 2021 IPO Venus Acquisition, which merged with MicroAlgo (MLGO; -72% from $10 offer price) in December 2022 and CEO of Alum Developing (Shanghai). He is joined by CFO Zac Zhuang, a Vice President at Greenland Asset Management. The company plans to target middle-market growth businesses with strong management teams and revenue growth potential, among other characteristics.
Giant Oak Acquisition was founded in 2018 and plans to list on the Nasdaq under the symbol GOSCU. Ladenburg Thalmann is the sole bookrunner on the deal.
