Cerberus Telecom Acquisition, a blank check company formed by Cerberus Capital Management targeting the ICT industry, lowered the proposed deal size for its upcoming IPO on Monday.
The New York, NY-based company now plans to raise $300 million by offering 30 million units at a price of $10. The company had previously filed to offer 40 million units at the same price. Each unit will now consist of one share of common stock and one-third of a warrant, exercisable at $11.50. The units originally contained one-quarter warrants. At the revised deal size, Cerberus Telecom Acquisition will raise -25% less in proceeds than previously anticipated.
The company is led by Chairman Frank Bruno, who is Co-CEO of Cerberus Capital Management's global investment activities, and CEO Timothy Donahue, who previously served as CEO of Nextel Communications and helped facilitate the company's merger with Sprint. Cerberus Telecom Acquisition plans to leverage its management team's experience and target the information and communications technology (ICT) industry.
Cerberus Telecom Acquisition was founded in 2020 and plans to list on the NYSE under the symbol CTAC.U. Morgan Stanley and Deutsche Bank are the joint bookrunners on the deal.
