MAK Acquisition Corp. Units (MAK.U)

Overview

MAK Acquisition Corp. is a special purpose acquisition company (SPAC) listed on the Toronto Stock Exchange. The primary aim of this company is to raise capital for the purpose of completing a qualifying acquisition within the technology, defence, and space sectors. Each unit of MAK Acquisition Corp. consists of one Class A restricted voting share and one-half of a share purchase warrant, aligning investor interests towards the successful execution of target business combinations. The Class A shares are traded in U.S. dollars and allow shareholders to receive pro rata distributions from an escrowed trust account in certain scenarios, such as a redemption event, a failed qualifying acquisition, or when extensions to the permitted acquisition timeline are sought. This structured approach ensures that investors have a vested interest in the completion of an acquisition, while also providing certain voting rights concerning significant corporate actions.

Products and Services

• Class A Restricted Voting Shares

  The Class A restricted voting shares are the primary equity instrument for investors in MAK Acquisition Corp. These shares enable holders to partake in pro rata distributions from an escrowed trust account, providing potential returns in the case of various outcomes like redemptions or failed acquisitions. While the voting rights are limited under normal circumstances, investors retain the power to influence significant corporate matters.

• Share Purchase Warrants

  Each unit includes one-half of a share purchase warrant, which becomes exercisable 65 days post-closing of a qualifying acquisition at a price of US$11.50 per share. These warrants offer an opportunity for investors to profit from any appreciation in the stock price of the qualifying company post-acquisition. Warrants have a lifespan of five years after the closing of an acquisition, subject to an acceleration clause which could affect their value and exercise timeline.

• Escrowed Trust Account

  The capital raised by MAK Acquisition Corp. from the sale of units is placed in an escrowed trust account. This account not only safeguards investor funds but also generates interest, which is distributable to shareholders under specific scenarios. This mechanism ensures that investors are protected in the event of a liquidation or failure to complete a qualifying acquisition.

• Corporate Governance Structures

  While holders of Class A shares have limited voting rights in regular circumstances, they maintain the ability to block specific actions such as changes in the structure of voting shares. This governance framework fosters a level of investor engagement and oversight pertaining to critical corporate decisions that may arise during the life of the SPAC.

• Redemption Rights

  Investors have the option to redeem their shares in the event that no qualifying acquisition occurs within the designated timeframe. This redemption right protects investor interests by providing a safeguard against potential losses if the intended acquisition does not materialize, thereby maintaining confidence in the ability to recover invested capital.