ExcelFin Acquisition Corp. (NASDAQ:XFIN), a special purpose acquisition company, announced that its shareholders have voted to approve a proposed business combination and related charter amendments. The special meeting of stockholders held on the same day reached a quorum with 91.36% of the voting capital stock present.
The business combination proposal was overwhelmingly approved with 6,009,384 votes in favor and only 5,852 against. This proposal included adopting the Business Combination Agreement, which detailed the merger of a wholly-owned subsidiary of the newly formed holding company PubCo with and into ExcelFin Acquisition Corp., with both entities surviving as direct, wholly-owned subsidiaries of PubCo.
In addition to the business combination, shareholders approved the Charter Amendments Proposal, which encompasses the amended and restated memorandum and articles of association of PubCo. The vote for the Charter Amendments Proposal resulted in 6,008,884 votes for and 5,852 against, with 500 abstentions.
The Advisory Charter Amendment Proposal, which was voted upon on a non-binding advisory basis, also passed with similar support, receiving 6,009,384 votes for, 5,852 against, and no abstentions.
As part of the business combination approval process, 752,032 shares of Common Stock were properly redeemed for cash by shareholders exercising their redemption rights.
ExcelFin Acquisition Corp. has received a Nasdaq delisting notice for non-compliance with the minimum publicly held shares requirement. The company has been given 45 days to submit a plan to regain compliance, with the possibility of an extension of up to 180 days if the plan is accepted. In addition, ExcelFin Acquisition Corp. has amended its existing promissory note with its sponsor, ExcelFin SPAC LLC, extending the maturity date to align with the new business combination deadline of December 25, 2024.
This change was approved by the company's shareholders in a recent special meeting. The total principal amount of the note remains at up to $1,500,000.
InvestingPro Insights
As ExcelFin Acquisition Corp. (NASDAQ:XFIN) navigates through its business combination and structural changes, insights from InvestingPro reveal several important financial metrics and considerations. With a market capitalization of $72.56 million, the company's financial health and stock behavior are noteworthy. According to InvestingPro Tips, ExcelFin suffers from weak gross profit margins and has not been profitable over the last twelve months. Additionally, the stock price often moves in opposition to market trends, which could be significant for investors looking for counter-cyclical investment opportunities or those concerned about market volatility.
InvestingPro Data indicates that the company's P/E ratio stands at -19.33, reflecting its current lack of profitability. Furthermore, with short-term obligations exceeding liquid assets, liquidity could be a concern for ExcelFin. Despite these challenges, the company's stock has experienced a year-to-date price total return of 8.33%, which may interest investors looking for growth potential.
Investors seeking a deeper analysis will find additional InvestingPro Tips on https://www.investing.com/pro/XFIN, providing a comprehensive understanding of ExcelFin's financial position and future outlook. The InvestingPro platform offers a total of 5 tips for ExcelFin, each aimed at equipping investors with the knowledge to make informed decisions.
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