425: Horizon Space Acquisition I Corp. Announces Business Combination Agreement with Squirrel Enlivened International Co., Ltd.

Horizon Space Acquisition I Corp. (HSPO) and Squirrel Enlivened International Co., Ltd. (Squirrel Cayman) have entered into a definitive Business Combination Agreement to bring the brand marketing and strategy consulting company to the Nasdaq.

Summary

• Horizon Space Acquisition I Corp. (HSPO) has entered into a definitive Business Combination Agreement with Squirrel Enlivened International Co., Ltd (Squirrel Cayman), a brand marketing and strategy consulting company.
• The Business Combination will result in Squirrel Cayman's shares being listed on the Nasdaq.
• The transaction involves a merger of Squirrel HoldCo into Squirrel Cayman, followed by a merger of a subsidiary of Squirrel Cayman into HSPO, with HSPO becoming a wholly-owned subsidiary of Squirrel Cayman.
• HSPO shareholders will receive substantially equivalent securities of Squirrel Cayman.
• The transaction is subject to customary approvals, including regulatory and shareholder approvals.
• Squirrel provides brand marketing and strategy consulting solutions to brands, with a novel methodology combining rational marketing with emotional marketing.
• The deal values Squirrel Enlivened Technology Co., Ltd at $200,000,000 divided by $10.00 per share.

Sentiment

Score: 7

Explanation: The document expresses optimism about the Business Combination and its potential benefits for both companies, indicating a positive outlook.

Positives

• The Business Combination will provide Squirrel with a platform to connect with growth capital and investors across the globe.
• The additional capital and financial flexibility from this transaction will empower Squirrel's solutions and fuel its growth and expansion.
• The Nasdaq listing will enable Squirrel to further grow its business, expand its client base, upgrade its technology, and enhance its innovation.

Risks

• The Business Combination is subject to customary approvals, and there is no assurance that it will be consummated on the terms or timeframe currently contemplated, or at all.
• The combined company's actual results or outcomes could differ materially from those discussed in the forward-looking statements due to various risks and uncertainties.
• These risks and uncertainties include HSPOs or Squirrel Companies limited operating history, the ability of HSPO or Squirrel Cayman to identify and integrate acquisitions, and general economic and market conditions impacting demand for the services of Squirrel Companies.

Future Outlook

The combined company anticipates significant growth potential due to Squirrel's expertise in China's brand marketing and strategy consulting industry and its experienced management team.

Management Comments

• Mr. Angxiong Zhao, the co-founder, Chief Executive Officer and director of Shenzhen Squirrel commented, 'We are thrilled to enter into the Business Combination Agreement and excited about the contemplated Nasdaq listing, which will provide Squirrel with a platform to connect with growth capital and investors across the global.'
• Mr. Michael (Mingyu) Li, the CEO, Chairman and director of HSPO commented, 'We are excited to announce signing the Business Combination Agreement.'

Industry Context

The announcement reflects the ongoing trend of SPACs merging with private companies to facilitate their entry into the public markets, particularly in high-growth sectors like brand marketing and strategy consulting.

Stakeholder Impact

• Shareholders of HSPO will receive substantially equivalent securities of Squirrel Cayman.
• The Business Combination will provide Squirrel with a platform to connect with growth capital and investors across the globe.
• The Nasdaq listing will enable Squirrel to further grow its business, expand its client base, upgrade its technology, and enhance its innovation.

Next Steps

• Squirrel Cayman intends to file a registration statement on Form F-4 with the SEC, which will include a preliminary proxy statement.
• HSPO will mail a definitive proxy statement and other relevant documents to its shareholders to vote on the proposed Business Combination.

Key Dates