10X Capital Venture Acquisition III and Sparks Energy have terminated their propsoed merger, according to an 8-K. The $475 million deal was announced less than two months ago, although the transaction evidently went south quickly.
10X III filed suit against Sparks last month after the target claimed the merger agreement was not valid and binding.
Both sides have reached a settlement in the matter and have agreed to walk away with Sparks paying a settlement, although the amount Sparks would pay is not cited in the regulatory filing.
10X III said it intends to complete an alternative business combination and following shareholder approval now has until Oct. 24 to do so. The SPAC raised $261 million in a January 2021 ipo.
Alabama-based Sparks Energy is a power infrastructure services firm engaged in power restoration management. Read more.
Source: Sparks and 10X Capital Venture III Call Off Deal