GSR III Acquisition Corp. Announces the Closing of its $230 Million Initial Public Offering, Including Full-Exercise Of Over-Allotment Option

Rhea-AI Summary

GSR III Acquisition Corp. (NASDAQ: GSRT) has successfully closed its initial public offering of 23,000,000 units at $10.00 per unit, raising aggregate gross proceeds of $230,000,000. The offering included the full exercise of the underwriter's over-allotment option. Each unit comprises one Class A ordinary share and one-seventh of one right, with whole rights convertible into Class A Ordinary Shares upon business combination completion. The units trade on Nasdaq under GSRTU, with Class A shares and Rights to trade separately under GSRT and GSRTR symbols respectively.

Positive

• Successfully raised $230 million through IPO
• Full exercise of over-allotment option indicates strong demand
• Nasdaq Global Market listing provides enhanced visibility and liquidity

Negative

• Potential conflict of interest as underwriter SPAC Advisory Partners is controlled by GSRT management

Insights

Financial Analyst

A significant SPAC IPO raising $230 million with full exercise of the over-allotment option indicates strong initial investor interest. The unique structure offering 1/7th right per unit differentiates this SPAC from typical 1/2 or 1/3 warrant structures. The involvement of SPAC Advisory Partners as the sole underwriter, being controlled by GSRT management, presents an interesting alignment of interests but also potential conflicts, mitigated by B. Riley's involvement as a Qualified Independent Underwriter. Key points for investors:

• Unit pricing at standard $10 maintains market consistency
• Full over-allotment exercise suggests robust institutional demand
• Rights-based structure may offer different risk-reward profile compared to warrant-based SPACs
• Management's dual role through SAP warrants extra due diligence

New York, NY, Nov. 08, 2024 (GLOBE NEWSWIRE) -- GSR III Acquisition Corp. (NASDAQ: GSRT) (“GSRT” or the “Company”) announced today that it closed its initial public offering of 23,000,000 units at a price of $10.00 per unit, for aggregate gross proceeds of $230,000,000. The offering size reflects the full exercise of the underwriter’s over-allotment option. Each unit consists of one of the Company’s Class A ordinary shares (the “Class A Ordinary Shares”) and one-seventh (1/7^th) of one right (the “Rights”), with each whole right entitling the holder thereof to receive one Class A Ordinary Share upon the consummation of an initial business combination. No fractional rights will be issued upon separation of the units and only whole rights will trade.

The units are listed on the Nasdaq Global Market LLC (“Nasdaq”) and began trading under the ticker symbol “GSRTU” on November 7, 2024. Once the securities comprising the units begin separate trading, the Class A Ordinary Shares and Rights are expected to be listed on the Nasdaq under the symbols “GSRT” and “GSRTR,” respectively.

SPAC Advisory Partners LLC (“SAP”), a division of Kingswood Capital Partners LLC, acted as the sole underwriter for the initial public offering. SAP is a financial advisory firm wholly owned and controlled by the management of GSRT. Consequently, B. Riley Securities acted as a Qualified Independent Underwriter on the transaction.

A registration statement related to these securities has been filed on Form S-1 with the Securities and Exchange Commission and became effective on November 7, 2024 (File No. 333-280842). The offering is being made only by means of a prospectus. Copies of the prospectus may be obtained, when available, by contacting Kingswood Capital Partners, LLC, 126 East 56th Street, Suite 22S, New York, NY 10022, or by calling 212-487-1080 or emailing Syndicate@kingswoodUS.com. 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 an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About GSR III Acquisition Corp.

GSRT is a newly incorporated, blank check company formed in the Cayman Islands for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. While the Company may pursue an initial business combination target in any business or industry, it intends to identify companies with compelling public-market narratives, high visibility of growth prospects, and attractive cash flow dynamics now or in the near future, where a public listing, financing from an initial business combination and access to public capital markets will enable the target to build on its competitive advantages and allow the target company to further accelerate its growth profile.

The Company’s management team is comprised of co-CEOs Mr. Gus Garcia and Mr. Lewis Silberman, President & CFO Mr. Anantha Ramamurti, and CBDO Mr. Yuya Orime.

Forward-Looking Statements

This press release includes forward-looking statements. 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, 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 offering filed with the SEC, any of which could cause actual results to differ from such 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, except as required by law.

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Company contact:

Anantha Ramamurti
President & CFO
anantha@gsrspac.com

FAQ

What is the IPO price of GSR III Acquisition Corp units (GSRTU)?

GSR III Acquisition Corp units (GSRTU) were priced at $10.00 per unit in the IPO.

How much did GSR III Acquisition Corp (GSRTU) raise in its IPO?

GSR III Acquisition Corp raised $230 million in gross proceeds from its IPO.

What does each GSRTU unit consist of?

Each unit consists of one Class A ordinary share and one-seventh (1/7th) of one right, with each whole right convertible into one Class A Ordinary Share upon business combination.

When did GSRTU begin trading on Nasdaq?

GSRTU began trading on the Nasdaq Global Market on November 7, 2024.