Two Warburg SPACs and JAWS Try for a 3-way Merger Deal

by | Feb 14, 2022

Scaling up for a potential $20 billion deal. In a rare, 3-way SPAC deal, two SPACs backed by buyout firm Warburg, Pincus (Warburg Pincus Capital Corp I-A, Warburg Pincus Capital Corp I-B –WCPA, WPCB) and Barry Sternlicht’s SPAC Jaws Estates Capital (JAWS) are in talks to merge with Allied Universal in a $20 billion deal. The SPACs are reported to be planning a $750 million PIPE.

Fun fact: Warburg already owns the merger target. Allied, which provides integrated security services, is already owned by Warburg. Warburg’s SPACs plan to target businesses with strong fundamental growth that could benefit from the firm’s experience, global presence, domain expertise, operational support, and extensive networks.

Multi-SPAC deals on the rise. Recent market volatility and the scarcity value of good merger targets is setting the stage for multi-SPAC deals. Declining warrant trends underscore investor concerns over whether mergers will come to fruition. Earlier this month, The Beachbody Co. (BODY) and at-home connected fitness company Myx Fitness Holdings LLC announced a 3-way merger agreement with SPAC Forest Road Acquisition Corp (FRX).

Recent Analysis

Daily SPAC Update – May 21, 2024

GGAAF + MindMaze Deal Vote. DIST + Youlife Deal Announced. BFAC, IVCB Extension Votes. GODN Sets Deal Vote. INAQ, GLST, PLMI Set Extension Votes.

Weekly Activism & Executive Moves Review (May 17)

Ashford Hospitality (AHT) wins its fight with Blackwells and tells shareholders is doesn’t care what they think. Erez fails at Whitestone (WSR). ISS and Glass Lewis disagree on Crown Castle (CCI).

Daily SPAC Update – May 17, 2024

RFAIU $100 million SPAC IPO. BFAC & SUAC Extension Votes. PWUP Vote Delayed. FLFV Deal Vote Set. SWSS, EVE, NFYS, PLAO, BREZ Set Extension Votes.

Daily SPAC Update – May 16, 2024

PLMI SPAC Deal Vote Set. CNDA Extension Vote Set. BFAC & GTAC Merger Agreements. ICVB Merger Agreement Amendment. BCSA, NPAB, EVGR Extensions Approved.

Subscribe to Boardroom Alpha Newsletters

Subscribe to Boardroom Alpha's research to receive the latest on governance, SPACs, and people.

Disclaimer

The opinions and information contained herein have been obtained or derived from sources believed to be reliable, but Boardroom Alpha cannot guarantee its accuracy and completeness, and that of the opinions based thereon. 

This report contains opinions and is provided for informational purposes only – it does not constitute investment, legal or tax advice. You should not rely solely upon the research herein for purposes of transacting securities or other investments, and you are encouraged to conduct your own research and due diligence, and to seek the advice of a qualified securities professional before you make any investment.  

None of the information contained in this report constitutes, or is intended to constitute a recommendation by Boardroom Alpha of any particular security or trading strategy or a determination by BA that any security or trading strategy is suitable for any specific person. To the extent any of the information contained herein may be deemed to be investment advice, such information is impersonal and not tailored to the investment needs of any specific person.  

No representation or warranty, expressed or implied, is made on behalf of Boardroom Alpha as to the accuracy or completeness of the information contained herein. Boardroom Alpha does not accept any liability for any direct, indirect or consequential loss or damage suffered by any person as a result of relying on all or any part of this research and any liability is expressly disclaimed.