Forest Road Acquisition II in an 8-K said it entered into a non-redemption agreement with one or more unaffiliated third parties who've agreed to hold onto a total of 1 million shares ahead of an upcoming extension vote. In return the SPAC will give the investors 250,000 Class B shares held by the sponsor.
The extension, if approved, would push the SPAC's merger deadline from March 12 to Dec. 12.
Forest Road II also said that no funds or earned interest in its trust would be used to pay any excise tax on redeemed shares or in connection with a merger.
The SPAC is headed by two former senior Disney execs — Tom Staggs and kevin mayer, who are Co-CEOs of the blank-check company.
Staggs is a former Disney COO and Mayer was chairman of Disney's Direct-to-Consumer and International.
After raising $350 million in an IPO nearly two years ago, the SPAC had said it would search for a target business operating in the technology, media, telecommunications, and consumer (“TMTC”) space. Read more.
Source: Forest Road Acquisition II Secures Non-Reedemption Agreement Covering 1M Shares