Hall Chadwick Acquisition (HCACU) and REEcycle said Wednesday they signed a non-binding letter of intent for a proposed de-SPAC business combination that values REEcycle at about $600 million.
REEcycle shareholders are expected to roll 100% of their equity into the combined publicly listed entity, the companies said.
The transaction is expected to include at least $50 million in PIPE financing priced at $10 per share to support REEcycle's near-term growth plans, according to the companies.
Hall Chadwick Acquisition and REEcycle said they have agreed to a 60-day exclusivity period to complete due diligence and negotiate a definitive agreement.
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