Blue World Acquisition in a regulatory filing said Fuji Solar has agreed to provide additional support to the parties' merger agreement with Vietnam Sunergy Cell Company Limited (dba TOYO).
Fuji Solar will fund extension payments to the SPAC's trust to March 2, and further agreed to be responsible for the total amount of the funds for the extension of SPAC's term until April 2 if the closing has not occurred by March 1 due to gross negligence or willful misconduct of any of the group companies or the shareholders, or the termination of the merger agreement by the SPAC. Fuji Solar would be repaid in cash at the closing or could opt to convert the amount into the SPAC's units at $10 each prior to closing.
TOYO Solar is an indirect subsidiary of Fuji Solar, whose major shareholder is Abalance Corporation, a Japanese company publicly traded on the Tokyo Stock Exchange. TOYO focuses on solar photovoltaic products in Southeast asia. TOYO plans to invest $350 million in a cell factory in Phu Tho Province, Vietnam.
Blue World raised $92 million in a February 2022 IPO, although redemptions since then have left it with about $41 million in trust. Read more.