HNR Acquisition, a blank check company formed by Houston Natural Resources targeting the North American energy sector, lowered the proposed deal size for its upcoming IPO on Monday.
The Houston, TX-based company now plans to raise $75 million by offering 7.5 million units at a price of $10. The company originally filed in January 2021 to offer 10 million units at the same price. At the revised deal size, HNR Acquisition will raise -25% less in proceeds than previously anticipated. Each unit now consists of one share of common stock and three-fourths of a warrant, exercisable at $11.50. Each unit previously contained one-half of a warrant and one right to received one-tenth of a share upon the consummation of an initial business combination.
The company is led by CEO and Chairman Donald Goree, the founder and CEO of global natural resource corporation Houston Natural Resources, and President and Director Donald Orr, who currently serves as President of Houston Natural Resources and is also the founder, owner, and geologist at independent oil and gas company XNP Resources. HNR Acquisition plans to target assets used in exploring, developing, producing, transporting, storing, gathering, processing, fractionating, refining, distributing, or marketing of natural gas, natural gas liquids, crude oil, or refined products in North America.
HNR Acquisition was founded in 2020 and plans to list on the NYSE American under the symbol HNRAU. EF Hutton is the sole bookrunner on the deal.
