Katapult Holding Inc. is set to go public, after the e-commerce financial technology announced Friday an agreement to merge with special purpose acquisition company (SPAC), or “blank-check” company, FinServ Acquisition Corp.
in a deal that implies an enterprise value for the combined company of about $1 billion. The deal includes a $150 million private investment in public equity (PIPE) from investors led by Tiger Global Management and Neuberger Berman Funds. Once the deal closes, which is expected to occur in the first half of 2021, the company will operate at Katapult and the stock is expected to trade on the Nasdaq under the ticker symbol “KPLT.” The reverse merger agreement comes at a time that the Renaissance IPO ETF
has run up 33.8% over the past three months, while the Global X FinTech ETF
has climbed 27.3% and the S&P 500
has gained 12.1%.