Binance Invests US$200 Million in Forbes Ahead of SPAC Mergerby Fintech News Singapore February 11, 2022
Blockchain ecosystem and cryptocurrency infrastructure provider Binance has invested US$200 million into global media company Forbes and Magnum Opus Acquisition, a publicly traded special purpose acquisition company.
Forbes and Magnum Opus had earlier announced plans to pursue a business combination which is expected to close by the first quarter of 2022.
Through this SPAC merger, Forbes will become a publicly traded company on the New York Stock Exchange trading under the ticker symbol “FRBS”.
Binance’s strategic investment will be through its assumption of subscription agreements representing US$200 million of commitments in the US$400 million private investment in public equity (PIPE).
With Binance assuming existing PIPE commitments, the overall size of the PIPE will remain at US$400 million.
The transactions with Magnum Opus and Binance are expected to help Forbes maximize its brand and enterprise values and use its proprietary technology stack and analytics to convert readers into long-term, engaged customers of the platform, including through memberships and recurring subscriptions to premium content and highly targeted product offerings.
As part of this transaction, Patrick Hillmann, Chief Communications Officer for Binance as well as Bill Chin, Head of Binance Labs, the Venture Capital Arm and Incubator of Binance, will join the Forbes Board of Directors upon the closing of the transaction.
“With Binance’s investment in Forbes, we now have the experience, network and resources of the world’s leading crypto exchange and one of the world’s most successful blockchain innovators.
Forbes, already a resource for people interested in the emerging world of digital assets, can become a true leader in the field with their help.”
said Mike Federle, CEO, Forbes.
“As Web 3 and blockchain technologies move forward and the crypto market comes of age we know that media is an essential element to build widespread consumer understanding and education.
We look forward to bolstering Forbes’ Digital initiatives, as they evolve into a next level investment insights platform,”
said Changpeng ‘CZ’ Zhao, Founder and CEO, Binance.