- Rumble is set to go public after a SPAC merger deal with CF Acquisition Corp. VI (CFVI).
- Rumble is set to make US$400 million from the merger.
- CEO Chris Pavlovski will continue maintaining the voting control after closing the deal.
Social media video platform Rumble Inc is all set to go public after a SPAC merger deal with the blank-check company CF Acquisition Corp. VI (NASDAQ: CFVI).
Rumble is set to make around US$400 million from the deal with the special purpose acquisition company (SPAC).
The agreement includes a fully committed PIPE of US$100 million at US$10 per share and US$300 million in cash, held in a CFVI trust account, Rumble said in a statement on Wednesday.
The transaction puts Rumble’s initial value at US$2.1 billion.
Rumble is a social media firm that offers an online video platform to users. The firm was founded in 2013 and is headquartered in Toronto, Canada.
Rumble CEO Chris Pavlovski will continue maintaining the voting control after closing the deal. Additionally, the combined entity will retain the name Rumble.
The Rumble stocks will trade on the Nasdaq Composite Exchange.
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The company saw a massive jump in its average monthly active users in recent quarters.
The company’s average monthly active users increased from 1.6 million in Q3, FY20, to a record 36 million in Q3, FY21, Rumble said in a release.
Rumble had about 44 million monthly active users in August 2021. In addition, its viewer engagement time jumped 44 times to 8 billion minutes per month in Q3, FY21.
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Stock details of CF Acquisition Corp. VI (NASDAQ: CFVI):
The shares of CF Acquisition Corp. VI (NASDAQ: CFVI) closed at US$10.58 on Dec 2 but fell 0.28% to US$10.55 at 8:34 am ET in the pre-market trading on Dec 3.
CFVI’s market cap is US$404.15 million. The stock’s highest price was US$14.38, and the lowest price was US$9.63 in the last 52 weeks.
The CFVI stock gained 7.68% YTD. The latest SPAC merger demonstrates the market’s confidence in economic recovery and growing appetite for long positions.