Reported Late Wednesday, Biotech Acquisition Company Announces Plan For New Sponsor To Make Additional Contributions To Trust Account Upon Approval Of Proposed Extension Amendment
Biotech Acquisition Company (NASDAQ:BIOT) (the "Company"), a publicly traded special purpose acquisition company, today announced that in connection with a proposed extension (the "Extension") of the time period the Company has to complete an initial business combination, as described in the Proxy Statement (as defined below), IREEM LLC, which has entered into an agreement to acquire the current sponsor's interest in the Company (as described in the Proxy Statement), will deposit into the Company's trust account (the "Trust Account") for each additional month the lesser of (i) an aggregate of $457,500 or (ii) $0.055 per share that remains outstanding and is not redeemed in connection with the Extension.
The amount deposited per share will depend on the number of public shares that remain outstanding after redemptions in connection with the Extension and the length of the extension period that will be needed to complete an initial business combination.
If the Extension is implemented, the Company plans to maintain the remaining amount in the Trust Account in an interest-bearing demand deposit account at a bank.
The Company also notes that as it is a Cayman Islands exempted company, unless and until it redomiciles into the United States, it is not affected by the current uncertainty surrounding excise tax liabilities and the implementation of the Inflation Reduction Act of 2022.
About Biotech Acquisition Company
Biotech Acquisition Company raised $230 million in its initial public offering in January 2021. The Class A ordinary shares and warrants of the Company trade on the Nasdaq Capital Market under the symbols "BIOT" and "BIOTW," respectively. The Company is a blank check company, incorporated as a Cayman Islands exempted company, formed for the purpose of effecting a merger, amalgamation, share exchange, asset acquisition, share purchase, reorganization or other similar business combination with one or more businesses.