Eureka Acquisition Corp Announces Closing of $50 Million Initial Public Offering

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On July 3, 2024, Eureka Acquisition Corp, a Cayman Islands exempted company, announced the successful closing of its initial public offering (IPO) with gross proceeds of $50 million. The offering included 5,000,000 units priced at $10.00 each, with each unit comprising one Class A ordinary share and one right. The rights entitle holders to receive one-fifth of one Class A ordinary share upon the completion of an initial business combination. Trading of these units commenced on Nasdaq under the ticker 'EURKU' on July 2, 2024. Separate trading of Class A ordinary shares and rights will occur under 'EURK' and 'EURKR,' respectively. Additionally, the underwriters have a 45-day option to purchase up to 750,000 more units to cover over-allotments. Maxim Group was the sole book-running manager for the IPO.

  • Successfully raised $50 million through IPO.
  • Units began trading on Nasdaq under the ticker 'EURKU'.
  • Potential for additional $7.5 million from over-allotments.
  • Maxim Group served as the sole book-running manager.
  • None.

Eureka Acquisition Corp completed its $50 million IPO, which reflects the company's successful entry into the public market through a blank check company, also known as a SPAC (Special Purpose Acquisition Company). The funds raised will be utilized to facilitate a future acquisition or merger, which is the primary function of a SPAC.

For retail investors, understanding how SPACs operate is essential. SPACs raise capital to acquire or merge with a private company, offering it a shortcut to become publicly traded without going through the traditional IPO process. However, investing in SPACs involves unique risks since the specific target company is typically unknown at the time of the IPO. Consequently, investors are betting on the management team's ability to identify and acquire a valuable company.

Key Considerations:

  • Management Team: Evaluate the track record and experience of the team leading Eureka Acquisition Corp. Their ability to identify and negotiate with potential target companies is important for future success.
  • Market Conditions: The success of a SPAC is highly dependent on market conditions and the industry's performance where the target company operates. Current trends and economic factors can significantly impact the success of this venture.
  • Regulatory Environment: The regulatory landscape for SPACs has been evolving, with increased scrutiny from financial watchdogs. Understanding these changes can provide insights into the future operations and potential challenges Eureka Acquisition Corp might face.

In summary, while the IPO's completion provides Eureka Acquisition Corp with the capital to pursue its acquisition strategy, retail investors should remain cautious and conduct thorough due diligence on the management team's past performance and the overall market environment.

The announcement of Eureka Acquisition Corp's IPO closing marks a significant step in the current SPAC trend. SPACs have become a popular vehicle for companies to go public due to their streamlined process and ability to attract investment without immediate disclosure of the target company. This trend indicates a shift in how companies seek public funding and highlights the popularity of this investment vehicle among institutional and retail investors.

For retail investors, the dynamics of SPACs need careful consideration. The units offered typically include shares and rights or warrants, which can provide additional value if the SPAC successfully completes a business combination. However, the inherent uncertainty about the future acquisition target means that these investments are somewhat speculative.

Market Trends:

  • SPAC Popularity: The rise in SPAC formations indicates market appetite for these investment vehicles. Investors should be aware that while some SPACs have performed exceptionally well post-merger, others have not met investor expectations.
  • Economic Impact: The broader economic environment will influence SPAC performance. Interest rates, economic growth and sector-specific trends are pivotal factors that could affect Eureka Acquisition Corp's ability to identify and merge with a high-value target.
  • Investor Sentiment: Market sentiment towards SPACs can be volatile. Positive news about successful SPAC mergers can drive investor interest, while regulatory challenges or high-profile failures can dampen enthusiasm.

Ultimately, while Eureka Acquisition Corp's IPO closing is a positive development, the true test will be in identifying and merging with a compelling target company that justifies investor confidence and delivers value.

Shanghai, July 03, 2024 (GLOBE NEWSWIRE) -- Eureka Acquisition Corp (the “Company”), a blank check company incorporated as a Cayman Islands exempted company today announced the closing of its previously announced initial public offering of 5,000,000 units at an offering price of $10.00 per unit, for aggregate gross proceeds to the Company of $50,000,000. Each unit consists of one Class A ordinary share and one right. Each right entitles the holder to receive one-fifth (1/5) of one Class A ordinary share upon consummation of an initial business combination. The units began trading on the Nasdaq Capital Market (“Nasdaq”) under the ticker symbol “EURKU” on July 2, 2024. Once the securities comprising the units begin separate trading, the Class A ordinary shares and the rights are expected to be traded on Nasdaq under the symbols “EURK” and “EURKR,” respectively.

The Company has granted the underwriters a 45-day option to purchase up to an additional 750,000 units at an offering price of $10.00 per unit to cover over-allotments, if any.

Maxim Group LLC acted as the sole book-running manager for the offering.

A registration statement on Form S-1 (File No. 333-277780) relating to the securities sold in the initial public offering was declared effective by the U.S. Securities and Exchange Commission (the “SEC”) on July 1, 2024. The offering has been made only by means of a prospectus, copies of which may be obtained from Maxim Group LLC, 300 Park Avenue, 16th Floor, New York, NY 10022, or by accessing the SEC’s website,

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Eureka Acquisition Corp

Eureka Acquisition Corp is a blank check company, also commonly referred to as a special purpose acquisition company, or SPAC, incorporated for the purpose of effecting a merger, share exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses.

Forward-Looking Statements

This press release contains statements that constitute “forward-looking statements,” including with respect to the Company’s initial public offering (“IPO”), underwriters’ exercise of over-allotment option and search for an initial business combination. No assurance can be given that the net proceeds of the offering will be used as indicated. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of Eureka Acquisition Corp, including those set forth in the Risk Factors section of Eureka Acquisition Corp’s registration statement and prospectus for the IPO filed with the SEC. Copies are available on the SEC’s website, Eureka Acquisition Corp undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

Contact Information:
Fen Zhang
Chairman and Chief Executive Officer
Tel: +86 135 0189 0555


What did Eureka Acquisition Corp announce on July 3, 2024?

Eureka Acquisition Corp announced the successful closing of its $50 million initial public offering.

How much money was raised in Eureka Acquisition Corp's IPO?

Eureka Acquisition Corp raised $50 million in its initial public offering.

What does each unit of Eureka Acquisition Corp's offering consist of?

Each unit consists of one Class A ordinary share and one right, entitling the holder to receive one-fifth of one Class A ordinary share upon consummation of an initial business combination.

Under what ticker symbols are Eureka Acquisition Corp's securities trading?

The units are trading under 'EURKU', the Class A ordinary shares will trade under 'EURK', and the rights will trade under 'EURKR'.

Who was the sole book-running manager for Eureka Acquisition Corp's IPO?

Maxim Group acted as the sole book-running manager for the IPO.



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