Alpha Healthcare Acquisition III in an 8-K said 12,586,223 shares were redeemed ahead of the vote approving a merger with Carmell Therapeutics, a Phase 2 stage regenerative medicine platform company developing allogeneic plasma-based biomaterials for active soft tissue repair, aesthetics and orthopedic indications.
At deal announcement in January, the combined company was expecting to receive gross proceeds of $154 million at closing.
The SPAC said a preliminary calculation of its pro forma balance sheet as of March 31, giving effect to the redemptions, as well as a forward purchase agreement earlier this month reflects pro forma stockholders’ equity of approximately $16.1 million.
Last week Alpha III said it signed the forward purchase agreement with Meteora Capital Partners and its affiliated funds. Under the agreement, Meteora will purchase up to 9.5% of the total number of Alpha’s outstanding shares.
The SPAC also inked a non-redemption agreement with Meteora covering 100,000 shares.
The Carmell acquisition is still expected to close today and stock in the new company will begin trading Monday on the Nasdaq, according the the filing. Read more.
Source: Alpha Healthcare Acquisition III Discloses Heavy Redemptions in Connection with Carmell Merger Vote