Hony Capital Acquisition, a blank check company targeting tech-enabled consumer and healthcare businesses in China, lowered the proposed deal size for its upcoming IPO on Wednesday.
The Hong Kong-based company now plans to raise $200 million by offering 20 million units at $10 per unit. The company had previously filed to offer 30 million units at the same price. Each unit contains one share of common stock and one-half of a warrant, exercisable at $11.50. Affiliates of the sponsor intend to purchase $35 million worth of units in the offering. At the revised deal size, Hony Capital Acquisition will raise 33% less in proceeds than previously anticipated.
The company is led by Chairman John Zhao, who is the Chairman and CEO of Hony Capital, and CEO and Director Bing Yuan, who is the COO of Hony Capital and a member of Hony Capital's Executive Committee. Hony Capital intends to focus on technology-enabled companies in the healthcare and consumer sectors in China or a global or regional company in these sectors with a strong nexus or growth potential in China.
Hony Capital Acquisition was founded in 2021 and plans to list on the NYSE under the symbol HCAA.U. Citi, Credit Suisse, and CICC are the joint bookrunners on the deal
