VC firm B Capital’s SPAC trims US IPO target to $200m

Photographer: Victor J. Blue/Bloomberg

B Capital Technology Opportunities, the special purpose acquisition company (SPAC) formed by venture capital firm B Capital, has trimmed the deal size of its upcoming initial public offering (IPO) in the US to $200 million from $300 million.

In its filing with the US Securities and Exchange Commission, the blank cheque company also disclosed that it has removed the warrants from its offering. A warrant is a contract that gives the holder the right to purchase additional shares in the future.

The company, which is based in New York, now plans to offer 20 million units at $10 per unit, with an over-allotment option of 3 million units, according to its SEC filing.

B Capital, the Singapore- and US-based VC firm, has agreed to purchase 1.1 million Class A ordinary shares at $10 per share in a private placement.

Previously, B Capital Technology Opportunities planned to offer 30 million units at $10 each, with every unit comprising one share of common stock and one-third of a warrant.

Instead of a warrant, the SPAC said it will provide shareholders with the opportunity to redeem all or a portion of their shares for cash upon the completion of a business combination.

The SPAC plans to list on the Nasdaq under the symbol BCTAU. Credit Suisse is the sole bookrunner for the deal.

B Capital Technology Opportunities will be led by top management executives Howard Morgan, Raj Ganguly, and Kabir Narang, as well as EE Capital’s managing director Angela Huang, and Nasdaq’s former vice chairman, Bruce Aust.

Eduardo Saverin, a co-founder and co-managing general partner of B Capital, will serve as a special advisor.

B Capital Technology Opportunities will focus on acquiring technology businesses with the capacity to transform large and traditional industries. This will cover four verticals: customer enablement, financial services, health and wellness, and industrial and transportation.

The target companies should also ideally be market leaders in their segment with cross-border operations and the capacity to scale across multiple markets, B Capital said in the filing.

SPACs have emerged as a popular alternative to IPOs for companies since last year, as it provides an easy path to go public with lesser regulatory scrutiny and more certainty on the valuation.

IPOs of US SPACs, however, plummeted to 13 in April, compared to record highs in the first three months of the year, according to statistics from international law firm Morrison & Foerster.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.