(Reuters) - Churchill Capital Corp IV, a special purpose acquisition company (SPAC) run by former Citigroup banker Michael Klein, raised the size of its initial public offering (IPO) to $1.5 billion.
The IPO of Klein’s fourth blank-check company had earlier planned to raise $1 billion.
SPACs typically raise money in an IPO to pursue an acquisition without telling their investors in advance which specific company they will buy. This year, a clutch of private companies have gone public by merging with blank-check companies.
Earlier this month, healthcare services provider MultiPlan inked a $11 billion deal to go public by merging with another entity of Churchill Capital, while electric car maker Fisker agreed to go public through a $2.9 billion deal with a blank-check company backed by buyout firm Apollo Global Management Inc APO.N..
Pershing Square Tontine Holdings Ltd PSTH_u.N, backed by billionaire investor William Ackman, also raised $4 billion last week in the biggest IPO by a special purpose acquisition firm.
Churchill Capital Corp IV will be the second largest blank-check company after Ackman’s Pershing Square Tontine.
Churchill Capital Corp IV will list its units, each made up of one share of class A common stock and one-fifth of one redeemable warrant, on the New York Stock Exchange under the symbol “CCIV.U”.
Citigroup, Goldman Sachs and JPMorgan are bookrunners on the deal.
Reporting by Noor Zainab Hussain and Anirban Sen in Bengaluru; Editing by Shailesh Kuber