Agrinam Acquisition, a blank-check company, is moving forward with its plans to merge with agriculture-technology firm Freight Farms. The merger is expected to create a company with a market value of approximately $147 million.
According to a definitive agreement deal announced Wednesday, Agrinam will acquire all of the issued and outstanding shares of Freight Farms. As part of the deal, shareholders of Freight Farms will receive shares of the combined company at a rate of $10.30 per share, in exchange for the cancellation of their current Freight Farm shares.
Following the merger, Agrinam will change its name to Freight Farms and will continue to operate under that brand.
To facilitate this agreement, both companies have announced their intentions to complete a private investment in public equity. This investment aims to raise $20 million from Agrinam Investments, as well as certain strategic and financial investors.
The companies have set a target for the merger to close in the first quarter of next year.