Finance-focused SPAC Alternative Asset Management Acquisition Corporation Announces Intent to Buy Halcyon Asset Management

Alternative Asset Management Acquisition Corporation (AAMAC) today announced its intent to purchase Halcyon Asset Management, a $12 billion hedge fund, in a $974 million acquisition.

This follows on the heels of last year's mega $3.4 billion purchase of GLG Partners by Freedom Acquisition Corp.

Since asset managers have had some trouble getting public recently, will we see more of these?

"To finance the acquisition, AAMAC will use the:

• cash held in trust of approximately $390 million assuming no
  conversions and excluding deferred underwriting feess
• issuance of a note in the amount of $115 million, subject to adjustment
  in certain circumstances;
• In addition, the Halcyon equity holders will retain 46.9 million LLC
  interests in Halcyon that will be exchangeable on a one-for-one basis into
  Halcyon Management common stock, which was valued at $469 million.
• ...Halcyon equity holders will be eligible to receive up to an
  additional 26.6 million exchangeable LLC interests, which will be issued in
  equal amounts upon achievement of each dollar of stock price from $15 to
  $20."

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