Virgin Group is likely one of the newest giant companies launching a SPAC.
VG Acquisition Corp (NYSE: VGAC) comes from Virgin Group and its founder Richard Branson. Present Virgin Group CEO Josh Bayliss will function the CEO of VG Acquisition Corp.
The Providing: Credit score Suisse is underwriting this SPAC. Plans name for 40 million shares to be bought at $10 every for $400 million in proceeds. Every share will include one-third of the warrant to buy a share at $11.50. The group plans to record shares on the NYSE with image VGAC.
About Virgin Group: Virgin Group has companies throughout the journey and leisure, monetary, well being and wellness, music, leisure, media, cell, house, and renewable power industries.
A 2019 survey confirmed 96% model consciousness of the Virgin Group model in the USA and 99% in the UK.
Virgin Group has a historical past of doing strategic collaborations with giant firms, personal fairness companies, enterprise capital companies, household places of work, and sovereign wealth funds.
The corporate additionally has a historical past of forming firms which are later acquired or merged with bigger public firms. Virgin Cell was acquired by Dash Nextel. Virgin Media was acquired by Liberty International. Virgin America was acquired by Alaska Air Group (NYSE: ALK).
Virgin Group additionally has expertise with SPACs as its Virgin Galactic Holdings (NYSE: SPCE) was a part of a reverse merger from Chamath Palihapitiya’s Social Capital Hedosophia, who plans on launching IPOA to IPOZ.
Other than its personal Virgin branded firms, Virgin Group has made prior investments in firms like Slack Applied sciences (NYSE: WORK), Sq. Inc (NYSE: SQ), Twitter Inc. (NYSE: TWTR) and Pinterest Inc (NYSE: PINS).
VG Acquisition Corp: Virgin Group has a historical past of offering strategic path and help in value creation initiatives. Virgin Group has expertise beginning companies from the bottom up, buying stakes in present companies, and re-branding a enterprise underneath the Virgin title.
An acquired firm might even find yourself underneath the Virgin model sometime.
“A key differentiator for our company versus other sponsors is our ability to apply the Virgin brand to our target in conjunction with a business combination,” the submitting says. “We’re centered on effecting a enterprise mixture with a goal that operates in one of many Virgin Group’s core sectors: journey and leisure, monetary providers, well being and wellness, expertise and internet-enabled, music and leisure, media and cell, and renewable power/useful resource effectivity.”
VG Acquisition Corp believes it could assist an acquired firm by offering advertising and marketing effectivity, boosting market share, attracting and retaining expertise, commanding a premium, scaling quick, and constructing loyal communities.
Virgin Galactic visits the New York Stock Alternate to rejoice its itemizing. Richard Branson rings The First Commerce Bell. Picture courtesy of Courtney Crow.
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