Basketball star Kevin Durant has launched his blank check company. The Brooklyn Nets star is the co-CEO of Infinite Acquisition Corp, which filed on Wednesday for an IPO for $200 million.
Infinite Acquisition Corp plans to sell 20 million shares at $10. The company will return the money to investors if it doesn’t make an acquisition within 24 months.
What are the potential target sectors according to Infinite? Sports, e-commerce, and cryptocurrency companies.
The SPAC will trade under the ticker symbol “NFNT.U” on the New York Stock Exchange (NYSE).
What is a SPAC? SPAC is typically a blank check company. It is formed to raise capital through an initial public offering (IPO) to acquire existing companies. The funds raised from investors are placed in a 2-year escrow account, and once a deal is identified, it is presented to investors. If no acquisition takes place during this period, then the money is returned to the investors.
Over $100 billion in SPAC deals have occurred in 2021. However, the market has cooled down after a Securities and Exchange Commission (SEC) accounting crackdown later this year.