Colonnade Acquisition II, the second blank check company formed by the founders of Colonnade Properties and Trafelet & Company, raised the proposed deal size for its upcoming IPO on Wednesday.
The West Palm Beach, FL-based company now plans to raise $300 million by offering 30 million units at $10. The company had previously filed to offer 25 million units at the same price. Each unit now consists of one share of common stock and one-fifth of a warrant, exercisable at $11.50. Each unit previously contained one-third of a warrant. Surveyor Capital, an affiliate of the sponsor, intends to purchase $30 million worth of units in the offering. The company may raise an additional $25 million at the closing of an acquisition pursuant to a forward purchase agreement with the Surveyor Capital. At the revised deal size, Colonnade Acquisition II will raise 20% more in proceeds than previously anticipated.
The company is led by Chairman Joseph Sambuco, the founder and CEO of Colonnade Properties, which he founded along with Prudential Real Estate Investors, and CEO and Director Remy Trafelet, the founder and CEO of private investment firm Trafelet & Company. The company plans to target businesses with favorable growth prospects, that provide attractive risk-adjusted returns on invested capital, and offer compelling valuations relative to its peers. It plans to focus on businesses with enterprise values between $1 billion and $3 billion.
Management's previous SPAC, Colonnade Acquisition (CLA; +20% from $10 offer price), went public in August 2020 and has a pending merger agreement with lidar firm Ouster.
Colonnade Acquisition II was founded in 2020 and plans to list on the NYSE under the symbol CLAA.U. Barclays and Deutsche Bank are the joint bookrunners on the deal.
