Liberty Lane Acquisition Corp. (LLACU) is a newly organized blank-check company formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more operating businesses.
All quotations are from the company’s most recent S-1 filing.
Business Overview (from prospectus)
We are a blank check company organized under the laws of the State of Delaware on March 7, 2008. We were formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more operating businesses, which we refer to as our business combination. Our efforts in identifying a prospective target business will not be limited to a particular industry or geographic region. We do not currently have any specific business combination or specific target under consideration. Additionally, we have not engaged or retained any agent or other representative to identify or locate any suitable target, although we may do so following this offering. To date, our efforts have been limited to organizational activities, including the issuance of the initial shares and the initial warrants to our sponsor, and activities related to this offering.
Offering: 35 million units (one unit consists of 1 share of stock and ½ of one warrant) at $10 per unit. Net proceeds of approx. $341 million to be placed in a trust account. The proceeds held in the trust account may be used as consideration to pay the sellers of a target business or businesses with which we complete a business combination. Any amounts not paid as consideration to the sellers of the target business (excluding taxes and amounts permitted to be disbursed for expenses and conversions as well as the amount held in the trust account representing deferred underwriting discounts and commissions), may be used to finance operations of the target business.
IPO Underwriters: Goldman Sachs (GS)
(The Company) has neither engaged in any operations nor generated any revenues to date. Our entire activity since inception has been to prepare for our proposed fundraising through an offering of our equity securities. Following this offering, we will not generate any operating revenues until after completion of a business combination. We will generate non-operating income in the form of interest income on cash and cash equivalents after this offering.
In identifying, evaluating and selecting a target business or businesses, we may encounter intense competition from other entities having a business objective similar to ours. There are a number of existing blank check companies currently pursuing business combinations. In addition, there are a number of offerings for more blank check companies that are still in the registration process but have not completed initial public offerings and there may be more blank check companies filing registration statements for initial public offerings after the date of this prospectus and prior to our completion of a business combination that may compete with us for business targets. Additionally, we may be subject to competition from entities having a business objective similar to ours, including venture capital firms, leverage buyout firms and operating businesses looking to expand their operations through the acquisition of a target business or businesses. Many of these entities are well established and have extensive experience identifying and effecting business combinations directly or through affiliates. Many of these competitors possess greater technical, human and other resources than we have and our financial resources will be relatively limited when contrasted with those of many of these competitors. Although we believe there may be numerous potential target businesses that we could acquire with the net proceeds of this offering, our ability to compete in acquiring certain sizable target businesses will be limited by our available financial resources. This inherent competitive limitation gives others an advantage in pursuing the acquisition of a target business or businesses.