Alpha Star Shareholders Approve Business Combination

Published 02/05/2025, 17:14
Alpha Star Shareholders Approve Business Combination

Alpha Star Acquisition Corp (NASDAQ:ALSA), a special purpose acquisition company trading at $2.00, announced the results of its Extraordinary General Meeting held on May 2, 2025. The company, which has seen its stock decline 83% year-to-date, gathered shareholders to vote on several key proposals related to its planned business combination with XDATA Group, a leading data analytics firm. InvestingPro subscribers can access detailed merger analysis tools and valuation metrics to evaluate this business combination’s potential impact.

The meeting saw a high turnout with 99.47% of outstanding shares represented, signifying strong shareholder engagement. The proposals, detailed in the company’s Proxy Statement, received overwhelming support. With a Piotroski Score of 5 and Return on Assets of 2.39%, InvestingPro data suggests the company maintains moderate financial health despite its stock trading at the 52-week low of $2.00, down significantly from its high of $14.69.

The Business Combination Proposal, pivotal for the merger with XDATA Group, was approved with 3,205,059 votes in favor and 5,400 against. The Reincorporation Merger Proposal, facilitating Alpha Star’s merger into XDATA Group and the latter’s emergence as the holding company, received an identical vote count.

Furthermore, the Nasdaq Listing Proposal, essential for the new entity’s compliance with Nasdaq’s listing rules, also passed with the same margin. The Governance Proposal, endorsing the amended and restated memorandum and articles of association and renaming the entity as "Xdata Group," was likewise approved.

The Incentive Plan Proposal, concerning the adoption of a new incentive plan post-merger, and the Director Appointment Proposal, approving the appointment of five new directors, both secured approval without opposition.

The Adjournment Proposal, intended to postpone the meeting if necessary, was rendered moot as the other proposals passed without the need for further solicitation of proxies.

This SEC filing marks a significant step forward for Alpha Star as it moves closer to finalizing its business combination with XDATA Group, positioning the new entity for future growth in the data analytics sector. With Basic EPS of $0.20, the company shows some fundamental strength despite recent market challenges. The transaction is expected to close subject to customary closing conditions. For comprehensive SPAC merger analysis and exclusive insights, consider accessing InvestingPro’s portfolio ideas.

The information in this article is based on a press release statement.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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