HIG Capital-backed blank-check firm looks to raise $450 million in U.S. IPO

H.I.G. Acquisition Corp, a blank-check company backed by private equity firm HIG Capital, said it is looking to raise $450 million in a U.S. initial public offering.

The firm will list 45 million units at an offering price of $10 apiece, it said in a filing here.

The blank-check company intends to apply to have its units listed on the New York Stock Exchange under the symbol “HIGA.U”, according to the filing.

A special purpose acquisition company (SPAC), or a blank-check company, is a shell company that uses IPO proceeds to buy another company, typically within two years of listing. High profile investors such as Bill Ackman and Michael Klein have raised billions through their SPACs this year.

SPACs have emerged as a major driver of IPOs lately, with the likes of space tourism company Virgin Galactic Holdings SPCE.N, sports betting platform DraftKings Inc DKNG.O and electric truck maker Nikola Corp NKLA.O going public by merging with SPACs. Credit Suisse, Morgan Stanley and BofA Securities are the bookrunners for H.I.G. Acquisition’s offering.

Source: Reuters

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