Business

Forbes to go public through $630 million SPAC merger

FILE PHOTO: The logo of Forbes magazine is seen on a board at the St. Petersburg International Economic Forum 2017 (SPIEF 2017) in St. Petersburg, Russia, June 1, 2017. REUTERS/Sergei Karpukhin/File Photo

(Reuters) -The publisher of the Forbes magazine, Forbes Global Media Holdings Inc, will go public through a merger with a blank-check acquisition firm in a deal that values the combined entity at $630 million, the companies said on Thursday.

The deal with Magnum Opus Acquisition Ltd, which is expected to fetch $600 million of proceeds for the business news and information company, also includes a private investment in public equity (PIPE) of $400 million.

SPACs (special purpose acquisition companies) are shell companies that raise funds in an initial public offering with the aim of merging with a private company, which becomes public as result.

In June, online media outlet BuzzFeed also agreed to go public through a merger with a SPAC.

After the deal closes, Forbes will list on the New York Stock Exchange under the ticker symbol “FRBS”.

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