The cryptocurrency exchange firm and Far Peak Acquisition have concluded that they would not be able to meet the requirements for the former’s previously filed registration statement on Form F-4 to be declared effective in time
Bullish and Far Peak Acquisition terminate their merger deal. (Credit: Darwin Laganzon from Pixabay)
Blockchain-based cryptocurrency exchange firm Bullish has announced the mutual termination of its previously announced merger with special purpose acquisition company (SPAC) Far Peak Acquisition (FPAC).
The merger deal was announced in July 2021 with a valuation of about $9bn for the combined company.
Bullish and Far Peak Acquisition concluded that they would not be able to meet the requirements for the former’s previously filed registration statement on Form F-4 to be declared effective in time.
Under the terms of the agreement, the SPAC and Bullish have the right to scrap the deal if it had not been consummated by 31 December 2022.
The deal, if completed, would have enabled the cryptocurrency exchange firm to become a publicly listed company and trade on the New York Stock Exchange (NYSE).
Bullish chairman and CEO Brendan Blumer said: “Our quest to become a public company is taking longer than expected, but we respect the SEC’s ongoing work to lay new digital asset frameworks and clarify industry-specific disclosure and accounting complexities.
“I’m proud of the dedicated team of Bullish employees and advisors who have devoted countless hours to ensure Bullish operates with the highest standards of transparency and responsibility. This work has formed the operating foundation required to service our customers in the best and safest possible way.”
The SPAC deal would have given Bullish about $900m in cash proceeds. Of this, about $600m was to come from Far Peak Acquisition’s cash in trust, while the remaining $300m was expected through a private investment in public equity (PIPE).
With the time constraints and market conditions, Far Peak Acquisition is expected not to seek a new merger partner and wind up either on 7 March 2023 or earlier if possible.
Far Peak Acquisition chairman and CEO Thomas Farley said: “We are disappointed that we were unable to present the Bullish transaction to our Far Peak shareholders. Bullish’s accomplishments since its launch have lived up to our expectations, and their daily trading volumes highlight their remarkable growth.”