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Constellation Acquisition Corp I (OTCQX:CSTAF), a special purpose acquisition company currently trading at $12.30 and near its 52-week high of $12.40, announced on Monday that it has secured an additional $5,000 in funding to extend the deadline for completing its initial business combination by one month. The extension, which moves the deadline from February 28, 2025, to March 29, 2025, was funded through an unsecured promissory note from Constellation Sponsor LP, as per the unanimous director resolution dated February 25, 2025.
The company, which has a market capitalization of $124.45 million and maintains a FAIR financial health score according to InvestingPro, is in the business of effectuating a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses, and has deposited the Extension Funds into a trust account for its public shareholders. This move provides Constellation Acquisition additional time to finalize its initial business transaction, which is now due by the end of March 2025.
The note drawn by Constellation Acquisition does not accrue interest and is set to mature upon the closing of the company’s initial business combination. Should the company fail to complete a business combination, the note will be repaid from any remaining funds outside of the trust account.
This extension is the first of up to eleven one-month extensions allowed under the company’s amended and restated memorandum and articles of association. The decision to extend the deadline underscores the company’s commitment to finding a suitable business combination that aligns with its strategic objectives.
The information about this financial maneuver is based on a recent SEC filing by Constellation Acquisition Corp I. The company, headquartered in New York, is listed on the OTCQX Best Market under the ticker symbol CSTAF, with its redeemable warrants and units trading on the OTCQB Venture Market and OTCQX Best Market respectively. For deeper insights into CSTAF’s valuation metrics and 8 additional key financial indicators, visit InvestingPro.
In other recent news, Constellation Acquisition Corp I has announced several extensions related to its business combination deadlines. The company initially extended the deadline for completing a business combination from December 29, 2024, to January 29, 2025, with an additional $55,000 deposit into its trust account. This extension was facilitated by an unsecured promissory note with Constellation Sponsor LP and represents the final one-month extension allowed under the company’s current agreements. Subsequently, Constellation Acquisition Corp I secured another extension, potentially pushing the deadline further to January 29, 2026, if all monthly extensions are utilized. To support this extended timeframe, the company’s sponsor agreed to contribute $5,000 monthly, up to $55,000, into the trust account. Shareholders also approved the issuance of Class A ordinary shares to holders of Class B shares upon conversion before the completion of a business combination. Following these developments, shareholders redeemed 2,303,382 Class A ordinary shares, amounting to approximately $27.43 million. The balance in the trust account now stands at approximately $770,700, with 7,664,302 Class A ordinary shares remaining.
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