(Reuters) – Telecoms services firm Syniverse Technologies LLC plans to go public through a merger deal with a blank check company that would give it an enterprise value of $2.85 billion.<\/p>\n
The deal will provide Syniverse with up to $1.17 billion in cash, through a combination of equity and equity-linked capital, blank check firm M3-Brigade Acquisition II Corp said in a statement on Monday.<\/p>\n
After the deal, the public company will be named Syniverse Technologies Corporation, and its stock will trade under the ticker \u201cSYNV\u201d on the New York Stock Exchange.<\/p>\n
Syniverse\u2019s current majority shareholder, private equity firm Carlyle Group, will retain its investment and be the largest shareholder of the public company, the statement said.<\/p>\n
Special-purpose acquisition companies (SPACs) such as M3-Brigade use the pool of capital raised through their IPOs to merge with a private company and take it public, typically within two years of listing.<\/p>\n
Cloud-communications platform Twilio Inc said in March that it would invest up to $750 million in Syniverse.<\/p>\n
After the merger deal, Twilio would become a minority owner of Syniverse.<\/p>\n
Syniverse\u2019s current Chief Executive Officer Andrew Davies and leadership team will continue to lead the company after the merger.<\/p>\n
The company has also obtained committed debt financing for a new $1 billion term loan and a $165 million revolving credit facility to be completed at the closing of the merger.<\/p>\n