Blue Safari Group Acquisition Corp. Announces Contribution to Trust Account to Extend Period to Consummate Business Combination

Rhea-AI Summary

Blue Safari Group Acquisition Corp. (NASDAQ: BSGA) has deposited $575,000 into its Trust Account to extend the business combination deadline by three months, now set for September 14, 2022. The funds represent $0.10 per Class A ordinary share. This extension is part of an agreement with Bitdeer Technologies, which has loaned $1.99 million to the company to facilitate potential further extensions. The loan is interest-free and only repayable upon the closing of a business combination.

Positive

• Extended business combination deadline providing more time for strategic options.
• Interest-free loan from Bitdeer offers financial flexibility.

Negative

• Dependency on external financing (Bitdeer's loan) to meet deadlines.
• Operational uncertainty due to the need for extensions.

HONG KONG, June 1, 2022 /PRNewswire/ -- Blue Safari Group Acquisition Corp. (NASDAQ:  BSGA, the "Company"), a special purpose acquisition company, announced today that it has deposited into the Company's trust account (the "Trust Account") an aggregate of $575,000 (representing $0.10 per Class A ordinary share), in order to extend the period of time the Company has to complete a business combination (the "Combination Period") for an additional three (3) months period, with the applicable deadline (the "Applicable Deadline) extended from June 14, 2022 to September 14, 2022. As previously disclosed, pursuant to the First Amendment Amended & Restated Agreement and Plan of Merger dated May 30, 2022 by and among the Company, Bitdeer Technologies Holding Company ("Bitdeer") and other parties named therein, Bitdeer has agreed to loan the Company an aggregate principal amount of $1.99 million in two tranches to fund any and all amounts required to extend the Combination Period for up to two (2) times for an additional three (3) months period each time. The loan bears no interest and is repayable only at the closing of a business combination by the Company. On June 1, 2022, the Company used $575,000 of the loan amount received to extend the Applicable Deadline to September 14, 2022.

About Blue Safari Group Acquisition Corp.

Blue Safari Group Acquisition Corp. is a British Virgin Islands company incorporated as a blank check company for the purpose of entering into a merger, share exchange, asset acquisition, share purchase, recapitalization, reorganization or similar business combination with one or more businesses or entities.

Forward-Looking Statements

This press release includes forward-looking statements that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Such forward-looking statements, including the successful consummation of the Company's initial public offering, are subject to risks and uncertainties, which could cause actual results to differ from the forward-looking statements. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.

View original content:https://www.prnewswire.com/news-releases/blue-safari-group-acquisition-corp-announces-contribution-to-trust-account-to-extend-period-to-consummate-business-combination-301559476.html

SOURCE Blue Safari Group Acquisition Corp

FAQ

What is the purpose of Blue Safari Group Acquisition Corp.'s recent deposit into the Trust Account?

The deposit aims to extend the business combination deadline from June 14, 2022, to September 14, 2022.

How much funding did Bitdeer Technologies provide to Blue Safari Group Acquisition Corp.?

Bitdeer has agreed to loan Blue Safari a total of $1.99 million.

What are the financial terms of the loan from Bitdeer Technologies?

The loan is interest-free and only repayable at the closing of a business combination.

What impact does the extension of the business combination period have on BSGA shareholders?

It provides shareholders with more time to consider potential merger opportunities.