Redbox announced Monday plans to go public through a merger with special purpose acquisition company (SPAC) in a deal valuing the new-release movies and home entertainment company at $693 million. Redbox is owned by Apollo Global Management Inc., which acquired Redbox through its purchase of Outerwall in September 2016. After the deal closes, which is expected to occur in the third quarter of 2021, Redbox expects to have about $209 million in cash, which it expects to use to pay down debt, fund digital expansion, content acquisition and for marketing. B. Riley is capital markets advisor to Seaport Global and BTIG is lead financial advisor to Redbox. Seaport Global’s stock, which went public in December, and is currently halted for news until 8:30 a.m. Eastern, has lost 4.0% over the past three months, while the Renaissance IPO ETF has dropped 23.4% and the S&P 500 has gained 6.2%.
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