Lakestar's Hommels launches Frankfurt blank cheque company (updated)

Rocket Internet SE

17/02/2021 14:27

(Adds context, placement details)
    By Douglas Busvine and Abhinav Ramnarayan
    BERLIN/LONDON, Feb 17 (Reuters) - German venture capitalist
Klaus Hommels launched a so-called blank cheque company in
Frankfurt on Wednesday through his firm Lakestar, offering a
route to the stock market for tech startups that does not entail
crossing the Atlantic.
    The early investor in Spotify  SPOT.N  is seeking to raise
up to 275 million euros ($331 million) for a Special Purpose
Acquisition Company, or SPAC, that would then take over a
company with an equity value of between 750 million and 4
billion euros.
    A SPAC is a shell company that raises money via a stock
market listing, it then merges with a privately held company
that becomes publicly traded as a result. 
    Hommels, 54, is the latest to embrace a trend that began in
the United States and has spread to Europe, with Former
UniCredit boss Jean-Pierre Mustier teaming up with French tycoon
Bernard Arnault to launch a SPAC in Amsterdam.  urn:newsml:reuters.com:*:nL1N2KL0A8
    The founders of Berlin e-commerce pioneer Rocket Internet
and meal kit company Hellofresh  HFGG.DE  also plan SPACs.
Unlike Lakestar's Hommels, however, they plan to do so in the
United States.  urn:newsml:reuters.com:*:nL8N2KF52J  urn:newsml:reuters.com:*:nL8N2KM2FO
    The promoters of Lakestar SPAC 1 SE are seeking backing from
institutions prior to listing on the Frankfurt Stock Exchange
and would seek to take over a target within two years. 
    Books are expected to close on the private placement on
Thursday, Lakestar SPAC 1 said in a statement.
 ($1 = 0.8308 euros)

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Europe set to tiptoe into SPAC-land as shell company deal
pipeline builds     urn:newsml:reuters.com:*:nL8N2I6568
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 (Reporting by Douglas Busvine and Abhinav Ramnarayan; editing
by Thomas Seythal, Kirsten Donovan)
 ((douglas.busvine@tr.com; +49 30 220 133 562;))