AvePoint Inc., the Jersey City, New Jersey-based software company backed by the investment fund Sixth Street having had a $47 billion worth of assets under its management to date, had been brewing off an option to file for a US public listing via a $2 billion merger with a Special Purpose Acquistion Company (SPAC) Apex Technology Acquistion Corp., the companies said in a statement earlier this week.
Notably, SPAC or blank check companies could be referred to a shell corporation formed in order to take companies public after merger or acquisitions, while the process enabled a company to go public with the conventional IPO process.
Besides, according to the joint statement issued earlier this week, the merged entity would enable AvePoint Inc., the largest data management solution provider for Microsoft Corp., to access a financing around $140 million from a group of institutional investors, while the company would be listed in Nasdaq under the symbol “AVPT”.
Nonetheless, since AvePoint Inc. had taken the “SPAC-route” to go for a US public listing, it would not be allowed to issue additional depository shares.
Microsoft data solution provider AvePoint seeks Nasdaq listing
Meanwhile, as AvePoint Inc. has been expected to capitalize the funding to span its customer base to more small- and medium-sized business entities and to develop a vertical solution for enterprise content management in the cloud, co-CEO of APEX and a former executive in Oracle Corp., Jeff Epstein, said following the announcement, “The Microsoft Cloud ecosystem is a tidal wave sweeping through enterprises”.
In tandem, following the $2 billion merger, Epstein would join the management board of AvePoint Inc. as its director, while Sixth Street would remain as a stakeholder in the merged entity. Based on Jersey City, New Jersey, AvePoint Inc.
has about 7 million users to date, while the Sixth Street-backed American software company is expected to report about $148 million in revenues over its current fiscal year which in effect would mark up a 26 per cent rise in revenues on a year-on-year basis.