Gateway Strategic Acquisition, a Hong Kong-based blank check company formed by Gaw Capital targeting the tech sector, lowered the proposed deal size for its upcoming IPO on Wednesday.
The SPAC now plans to raise $200 million by offering 20 million units, down from its original plan to raise $300 million from an offering of 30 million units. Gateway Strategic Acquisition will raise 33% less in proceeds than previously anticipated, and command a market value of $278 million. Units still consist of one share of common stock and one-third of a warrant exercisable at $11.50.
Gateway Strategic Acquisition co-founded by Chairman Goodwin Gaw, the co-founder, Chairman, and Managing Principal of private equity firm Gaw Capital Partners (GCP), and Christina Gaw, the Head of Capital Markets of GCP. The SPAC's CEO Humbert Pang is Head of China at GCP. The company plans to target rapidly-growing and highly-scalable companies in the technology sector.
Gateway Strategic Acquisition was founded in 2021 and plans to list on the NYSE under the symbol GCSA.U. Credit Suisse and Citi are the joint bookrunners on the deal.
