Talon 1 Acquisition in an 8-K said it had secured up to $4 million from its sponsor to sweeten the trust by $330,000 for each month required under its extension period approved by shareholders last week.
The sponsor may elect to convert up to $1.5 million of the loan into warrants at $1 each.
Talon raised $200 million in a November 2021 IPO. The SPAC is focused on companies in the global aerospace, aviation and aviation services industries.
Shareholders ahead of last month’s extension vote redeemed 13,317,392 Class A shares at approximately $10.41 each, for an aggregate redemption amount of nearly $139 million. That leaves the SPAC with slightly less than $101 million in trust. Read more.
Source: Talon 1 Secures up to M From Sponsor to Pay for Extensions