Chenghe Acquisition I Co., a company previously known as LatAmGrowth SPAC, has disclosed the current balance of its trust account in a recent 8-K filing with the Securities and Exchange Commission (SEC). As of last Monday, the company reported that the trust account holds $45,918,746.11.
The company, which is incorporated in the Cayman Islands and headquartered in Singapore, is classified under the industry code for blank check companies, indicating its purpose as a special purpose acquisition company (SPAC). SPACs are entities formed to raise capital through an initial public offering (IPO) with the intent to acquire an existing company.
Chenghe Acquisition I Co. is listed on the Nasdaq Stock Market LLC, with its units traded under the ticker symbol LATGU and its Class A ordinary shares traded as LATG. The units consist of one Class A ordinary share and one-half of one redeemable warrant.
In other recent news, Chenghe Acquisition I Co. has announced significant changes in its financial and leadership sectors. The company has issued a non-convertible unsecured promissory note for up to $500,000 to its sponsor, Chenghe Investment I Limited, payable upon the completion of a significant business combination. This move follows a reshuffle in the executive leadership, with Zhiyang Zhou transitioning to the role of President and the appointment of Yixuan Yuan and Zhaohai Wang as the new CEO and CFO, respectively.
The company has also rescheduled its extraordinary general meeting of shareholders to October 23, 2024, to be held via live webcast. The meeting will allow shareholders to vote on proposals such as the Extension Amendment Proposal, which may result in additional payments to shareholders.
The company has committed to paying $0.03 per share for the first period and $0.05 per share for the second period to those who do not elect to redeem their shares immediately after the meeting.
InvestingPro Insights
To provide additional context to Chenghe Acquisition I Co.'s financial situation, recent data from InvestingPro offers some interesting insights. The company's market capitalization stands at $83.82 million, which is relatively small for a publicly traded entity. This aligns with its status as a SPAC, which typically starts with a limited asset base before identifying an acquisition target.
InvestingPro Tips highlight that the company does not pay a dividend to shareholders, which is common for SPACs as they focus on preserving capital for potential acquisitions. Additionally, the stock is trading near its 52-week high, suggesting investor optimism or speculation about potential acquisition targets.
It's worth noting that the company's short-term obligations exceed its liquid assets, which could be a point of consideration for investors monitoring the SPAC's financial health. This metric underscores the importance of the trust account balance disclosed in the recent 8-K filing.
For investors seeking a more comprehensive analysis, InvestingPro offers 7 additional tips that could provide deeper insights into Chenghe Acquisition I Co.'s financial position and market performance.
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