Carpenter and Mancini's SPAC RMG Acquisition II lowers deal size by 29% ahead of $250 million IPO

RMG Acquisition II, the second blank check company formed by Riverside's James Carpenter and former Carlyle executive Robert Mancini, lowered the proposed deal size for its upcoming IPO on Wednesday.

The New York, NY-based company now plans to raise $250 million by offering 25 million units at a price of $10. The company had previously filed to offer 35 million units at the same price. Each unit will now consist of one share of common stock and one-third of a warrant, exercisable at $11.50. Units previously contained one-quarter warrants. At the revised deal size, RMG Acquisition II will raise -29% less in proceeds than previously anticipated.

The company is led by Chairman James Carpenter, founder and CEO of Riverside Management Group, and CEO and Director Robert Mancini, a former Managing Director with The Carlyle Group and head or co-head of its power investment business. While the company has not selected a specific target industry or geography, it plans to target business with enterprise values between $1 billion and $4 billion that have large and growing market opportunities, strong management teams, and a strong focus on ESG and sustainability, among other characteristics.

Management's previous SPAC, RMG Acquisition (RMG; +48% from $10 offer price), went public in February 2019 and is pending a merger agreement with EV battery maker Romeo Power.

RMG Acquisition II was founded in 2020 and plans to list on the Nasdaq under the symbol RMGBU. BofA Securities and Barclays are the joint bookrunners on the deal.