Capstar Special Purpose Acquisition, a blank check company formed by investment firm Capstar Partners, raised $240 million by offering 24 million units at $10. The company offered 4 million more units than anticipated. Each unit consists of one share of common stock and one-half of a warrant, exercisable at $11.50. At pricing, the company commands a market cap of $290 million.
The company is led by CEO, CFO, and Chairman Steven Hicks. Hicks is the founder and Chairman of Capstar Partners, a private investment firm that participates in small and middle market buyouts, real estate development, and public and other private investments. Capstar Special Purpose Acquisition intends to target a business in the consumer, healthcare, and TMT industries with an enterprise value ranging from $600 million to $1.5 billion.
Capstar Special Purpose Acquisition plans to list on the NYSE under the symbol CPSR.U. Citi, UBS Investment Bank, and BTIG acted as lead managers on the deal.
