Israeli fintech company Pagaya will complete the SPAC merger this week

Despite the turbulent market situation on Wall Street, the Israeli fintech company Pagaya Technologies will complete the merger of SPAC this week with EJF Acquisition Corp. (Nasdaq: EJFA), with the company valued at $ 8.5 billion.

EJFA shareholders voted in favor of the proposed merger on Friday, while Pagaya shareholders approved the merger on Thursday. The companies said the merger would be completed on or about June 22nd.

When the merger is completed, Pagaya will receive $ 350 million from PIPE (private equity) investors, including Tiger Global, Whale Rock, GIC – Singapore Sovereign Wealth Fund, Healthcare Ontario Pension Plan (HOOPP) and G Squared.

But much of the additional $ 288 million in gross revenue it will receive from EJFA’s credits when the SPAC merger is completed is unlikely, as many of the company’s shareholders choose to receive their money. back instead of continuing with the merger. On Thursday, the share price of EJFA fell by 40%.

Pagaya was founded in 2016 by CEO Gal Krubiner, Jahav Yulzari and Avital Pardo. Pagaya provides P2P loans and credits and specializes in managing alternative investments through technology. Pagya raised $ 102 million in its last round of funding in 2020, and has since raised its company’s valuation 17 times.

Earlier this month, Pagaya appointed former Barclays UK CEO Ashok Vaswani as its president to help shape the fintech company’s future.

Posted by Globes, Israel Business News – – on June 19, 2022.

© Copyright by Globes Publisher Itonut (1983) Ltd., 2022.

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