Taboola to go public through $2.6bn blank-check deal
- Taboola said it had secured about $285 million in investment from institutional investors, including funds affiliated with ION and Phoenix Insurance.
- A blank-check firm, also known as a special purpose acquisition company, is one that uses proceeds from an initial public offering to buy another company.
Taboola, a company whose technology directs users to related content on the internet, said on Monday it would go public through a merger with ION Acquisition Corp. 1 Ltd., a blank-check firm, in a deal valuing the company at about $2.6 billion.
Taboola said it had secured about $285 million in investment from institutional investors, including funds affiliated with ION and Phoenix Insurance. The US-Israeli firm also counts funds managed by BlackRock, Fidelity Management & Research Co and Hedosophia among its investors.
A blank-check firm, also known as a special purpose acquisition company, is one that uses proceeds from an initial public offering to buy another company, in a deal that takes the company public.
SPACs raised more than $82 billion in 2020, more than four times the amount raised in 2019, according to data from Dealogic.
In 2021, Taboola plans to invest more than $100 million in research and development growth initiatives, including artificial intelligence, e-commerce, television and device manufacturers.
Credit Suisse Securities (USA) LLC and J.P. Morgan Securities acted as financial advisers to Taboola, while Cowen was the adviser to ION.