Aldel Financial, a blank check company formed by Fortress Investment Group co-founder Robert Kauffman, lowered the proposed deal size for its upcoming IPO on Thursday.
The Itasca, IL-based company now plans to raise $100 million by offering 10 million units at a price of $10. The company had previously filed to offer 20 million units at the same price. Each unit still consists of one share of common stock and one-half of a warrant, exercisable at $11.50. The company may raise an additional $20 million at the closing of an acquisition pursuant to a forward purchase agreement with Aldel Capital. At the revised deal size, Aldel Financial will raise -50% less in proceeds than previously anticipated.
The company is led by CEO and Chairman Robert Kauffman, the founder of private investment firm Aldel Capital and a former co-founder and Principal of Fortress Investment Group. The company plans to target businesses that are exiting the restructuring process or have transient current ownership, with particular emphasis on those with strong management teams, realigned capital structures, positive cash flows prospects, and a clear and well-defined pathway for growing profitably over the long-term.
Aldel Financial was founded in 2020 and plans to list on the NYSE under the symbol ADF.U. ThinkEquity is the sole bookrunner on the deal.
