Accelerate Acquisition Corp. Announces Pricing of $400 Million Initial Public Offering

Rhea-AI Summary

Accelerate Acquisition Corp. has announced the pricing of its initial public offering (IPO) of 40 million units at $10.00 each, set to trade under the ticker symbol AAQC.U starting March 18, 2021. Each unit includes one share of Class A common stock and one-third of a redeemable warrant, each whole warrant priced at $11.50. The offering is expected to close on March 22, 2021, subject to customary conditions. UBS Investment Bank is the sole book-running manager and holds a 45-day option to purchase an additional 6 million units to cover over-allotments.

Positive

• IPO of 40 million units at $10.00 each, expected to raise significant capital.
• Market debut on NYSE under ticker symbol AAQC.U could enhance visibility and credibility.
• Potential for additional capital through underwriters' option to purchase 6 million more units.

Negative

• Dependence on market conditions for successful IPO completion.
• Risks associated with forward-looking statements regarding capital utilization.

Accelerate Acquisition Corp. (the “Company”), a blank check company led by Robert Nardelli, Michael Simoff and Jeffrey Kaplan, and formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses, today announced the pricing of its initial public offering of 40,000,000 units at a price of $10.00 per unit. The units will be listed on the New York Stock Exchange and trade under the ticker symbol “AAQC.U” beginning March 18, 2021. Each unit consists of one share of Class A common stock of the Company and one-third of one redeemable warrant. Each whole warrant entitles the holder thereof to purchase one share of Class A common stock of the Company at a price of $11.50 per share, subject to adjustment, and only whole warrants are exercisable. Once the securities comprising the units begin separate trading, the shares of Class A common stock and warrants are expected to be listed on the New York Stock Exchange under the symbols “AAQC” and “AAQC WS,” respectively. No fractional warrants will be issued upon separation of the units and only whole warrants will trade.

The offering is expected to close on March 22, 2021, subject to customary closing conditions.

UBS Investment Bank is acting as sole book-running manager for the offering. The Company has granted the underwriters a 45-day option to purchase up to 6,000,000 additional units at the initial public offering price, less the underwriting discounts and commissions. The option may be exercised only to cover any over-allotments of units.

The offering is being made only by means of a prospectus. When available, copies of the prospectus may be obtained from UBS Securities LLC, Attention: Prospectus Department, 1285 Avenue of the Americas, New York, New York 10019, telephone: (888) 827-7275 or email: ol‑prospectusrequest@ubs.com.

A registration statement relating to the securities became effective on March 17, 2021 in accordance with Section 8(a) of the Securities Act of 1933, as amended. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

This press release contains statements that constitute “forward-looking statements,” including with respect to the proposed initial public offering and the anticipated use of the net proceeds. No assurance can be given that the offering discussed above will be completed on the terms described, or at all, or that the net proceeds of the offering will be used as indicated. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company's registration statement and preliminary prospectus for the Company's offering filed with the Securities and Exchange Commission (“SEC”). Copies are available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

For more information, please visit http://www.xlr8ac.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210317005860/en/

FAQ

What is the purpose of Accelerate Acquisition Corp.'s IPO on March 18, 2021?

The IPO aims to raise capital to facilitate a merger or acquisition with targeted businesses.

What does each unit in Accelerate Acquisition Corp.'s IPO consist of?

Each unit consists of one share of Class A common stock and one-third of a redeemable warrant.

When is the expected closing date for Accelerate Acquisition Corp.'s IPO?

The offering is expected to close on March 22, 2021, subject to customary closing conditions.

What are the trading symbols for Accelerate Acquisition Corp.'s shares and warrants?

Shares will trade as AAQC and warrants as AAQC WS after separation.

Who is managing the IPO for Accelerate Acquisition Corp.?

UBS Investment Bank is acting as the sole book-running manager for the IPO.