Shibasish Sarkar’s SPAC sets USD 10 per unit for proposed USD 200 Mn IPO


Reliance Entertainment CEO Shibashis Sarkar’s SPAC has set the unit price at $ 10 for the upcoming $ 200 Mn initial public offering (IPO). The IPO, which is to be listed on Nasdaq Capital Market on 29th July, will be offering 200 million units. International Media Acquisition Corp (IMAC), the special purpose acquisition company (SPAC) or blank cheque company, was founded to explore acquisition opportunities in the media and entertainment space in India, North America, Europe and parts of Asia (excluding China).

IMAC is the second India-related SPAC in the entertainment sector, after Vistas Media Acquisition Company Inc. The SPAC is being led by Shibasish Sarkar as the Chairman of the Board and Chief Executive Officer. The company also has Walt Disney Company India’s former executive director and head of studio finance Vishwas Joshi besides former co-head of CAA’s global client strategy department and current CEO of Library Pictures International David Taghioff, Stampede Ventures head Greg Silverman, film producer Deepak Nayar, and CBW chairman Suresh Ramamurthi among others.

The blank-cheque firm sponsored by Singapore-based Vistas Media Capital was formed in August 2020 by Indian film producers Abhyanand Singh and Saurabh Gupta, and F. Jacob Cherian, who had previously set up two SPACs.

Each unit consists of one share of common stock, one right to receive one-twentieth (1/20) of one share of common stock upon the consummation of an initial business combination, and one redeemable warrant to purchase three-fourths (3/4) of one share of common stock at a price of $11.50 per whole share.

The share of the common stock comprising rights and warrants of the company will be listed on Nasdaq under the symbols ‘IMAQ’, ‘IMAQR’ and ‘IMAQW’, respectively, after the securities comprising the units begin separate trading. 

Headquartered in New York City, Chardan Capital Markets is acting as sole book-running manager of the offering. IMAC has granted the underwriters a 45-day option to purchase up to an additional 3,000,000 units at the IPO price to cover over-allotments, if any.

IMAC remarked that it intends to target companies with an enterprise valuation of $150 million to $500 million, which fit the criteria of being at-risk, however have firm business fundamentals and are seeking for capital to expand.

Sources from IMAC mentioned that they will be looking into studios and production houses, media assets as well as new media entities, including e-sports, animation and visual effects studios housed within struggling traditional media companies. 

Categories: Corporate M&A, IPO Bankers, SPAC

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