Haymaker Acquisition Corp. 4 (NYSE:HYAC) has announced the execution of non-redemption agreements with several investors as part of its ongoing business combination with Suncrete, Inc. and Concrete Partners Holding, LLC. These agreements are designed to strengthen the financial foundation of the proposed merger by securing a significant number of shares that will not be redeemed by their holders.
The non-redemption agreements involve investors purchasing a substantial block of Haymaker’s Class A ordinary shares, originally issued during the company’s initial public offering. These shares will be acquired either through open market transactions or private negotiations, at prices not exceeding the redemption price available to public shareholders.
Crucially, the participating investors have committed to waiving their right to redeem these shares for cash and will hold them until the business combination is finalized. They have also agreed to abstain from voting these shares on the business combination proposal. Suncrete will compensate the selling shareholders for any difference between the actual redemption price and the price at which the shares are sold to these new investors.
These agreements are expected to provide Haymaker with net proceeds of approximately $10.75 per non-redeemed public share, after accounting for fees paid by Suncrete to the investors. This initiative, combined with a previously announced PIPE (private investment in public equity) of $105.5 million, is anticipated to satisfy the minimum cash condition stipulated in the business combination agreement.
Haymaker Acquisition Corp. 4’s Class A ordinary shares, units, and warrants are traded on the New York Stock Exchange under the symbols HYAC, HYACU, and HYAC WS, respectively. The company may pursue additional non-redemption agreements on similar terms to further solidify the merger’s financial standing.