zimmytws
SPAC M3-Brigade Acquisition III Corp. (NYSE:MBSC) plans to merge with Canadian oil sands producer Greenfire Resources through a deal that pegs Greenfire's enterprise value at $950M.
The equity value of the combined company is expected to be $780M assuming 67% redemptions of MBSC shares or $730M if 100% are redeemed. The deal is slated to close in Q2 2023.
Based in Calgary, Greenfire has two producing oil sands assets in Alberta. The company owns a 75% working interest in Hangingstone Expansion and a 100% interest in Hangingstone Demo. Greenfire is seeking to substantially increase production at the sites.
MBSC is backed by investment firms M3 Partners and Brigade Capital Management. The SPAC went public through an initial public offering in October 2021 that raised $300M.