Foley Trasimene Acquisition II (NYSE:BFT) stock is seeing a major jump on Monday after announcing plans for a special purpose acquisition company (SPAC) merger with Paysafe.
Following news of the Paysafe SPAC merger, BFT stock was the target of heavy trading activity. This has resulted in more than 51 million shares of the stock changing hands as of this writing. That’s a massive spike compared to Foley Trasimene Acquisition II’s daily average trading volume of about 756,000 shares.
With all extra sets of eyes on BFT stock, it’s clear investors will want to know more about the Paysafe SPAC merger deal. Let’s break it down below.
- Starting off, investors should know that Paysafe is an integrated payments platform focused on connecting businesses with customers.
- The SPAC merger will have the new company changing its name to Paysafe and trading on the New York Stock Exchange under the PSFE ticker.
- Paysafe merging with Foley Trasimene Acquisition II implies a pro-forma enterprise value of $9 billion at closing.
- The merger will result in Paysafe gaining $150 million in cash to work with from Foley Trasimene Acquisition II.
- It also includes $2 billion in funding from various private investors.
- Among that is a “$500 million investment from Fidelity National Title Insurance Co., Chicago Title Insurance Co., Commonwealth Land Title Insurance Co. and Fidelity & Guaranty Life Insurance Co.”
- Another $350 million comes from Cannae Holdings.
- Other investors make up the remaining investment funds.
- So long as there are no troubles, the Paysafe SPAC merger is set to close during the first quarter of 2021.
BFT stock was up 13.7% as of Monday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.