SPAC Velocity Acquisition gains after confirming deal to take BBQGuys public

SPAC Velocity Acquisition (NASDAQ:VELO) rose almost 1.5% after confirming a deal to take online retailer of grills and outdoor kitchens BBQGuys public.
BBQGuys, which counts NFL greats Eli Manning, Peyton Manning and their father Archie Manning as minority investors, will have a pro forma equity value of $963M and enterprise value of $893M. The company's current holders including Brand Velocity Partners and management are rolling 100% of their equity into the company and will continue to own at least 71% of the shares on a pro forma basis.
Estimated cash proceeds to the company for the transaction are expected to consist of Velocity's $230M of cash, according to a statement. Velocity sponsors are expected to own 5% of the combined company and public holders will own 24%.
The deal is expected to be completed in Q4. News of the transaction was reported last week by Bloomberg.
The BBQGuys SPAC deal follows a string of IPO news in the barbeque space after Weber filed for an IPO earlier this month and Traeger filed to go public last week.
Velocity Acquisition, led by CEO Adrian Covey, raised $230M in its IPO in February.