Rice Acquisition Corporation 3 Announces Pricing of $300 Million Initial Public Offering

Rhea-AI Summary

Rice Acquisition Corporation 3 (NYSE:KRSP) has announced the pricing of its $300 million initial public offering, consisting of 30 million units at $10.00 per unit. Each unit includes one Class A ordinary share and one-sixth of one redeemable warrant, with whole warrants exercisable at $11.50 per share.

The SPAC, backed by Rice Investment Group and Mercuria, will trade on NYSE under KRSP.U starting October 1, 2025, with Class A shares and warrants later trading separately as KRSP and KRSP.W. The company aims to target businesses in upstream oil and gas, power generation, energy infrastructure, and critical metals and minerals. Barclays and Jefferies are serving as joint bookrunners, with an option to purchase up to 4.5 million additional units.

Positive

• Significant IPO size of $300 million indicates strong initial capital base
• Strategic focus on high-potential energy and minerals sectors
• Backing from established firms Rice Investment Group and Mercuria adds credibility
• 45-day underwriter option for additional $45 million in units shows confidence in offering

Negative

• No specific acquisition target identified yet
• SPAC structure carries inherent uncertainty until business combination is completed
• Warrant dilution potential if exercised at $11.50 per share
• Limited time window to complete acquisition before potential redemption

Insights

SPAC & IPO Investment Specialist

Rice Acquisition Corp 3 has priced its $300M SPAC IPO at $10/unit, targeting energy sector acquisitions with backing from established industry investors.

Rice Acquisition Corporation 3 (RAC III) has successfully priced its $300 million initial public offering, selling 30 million units at $10.00 per unit. Each unit includes one Class A ordinary share and one-sixth of a redeemable warrant, with whole warrants exercisable at $11.50 per share. The units will trade on the NYSE under ticker "KRSP.U" starting October 1, with the shares and warrants eventually trading separately as "KRSP" and "KRSP.W".

This SPAC brings together significant industry expertise through its sponsors: Rice Investment Group (a multi-strategy energy investment fund) and Mercuria (a major commodity trading firm). This partnership provides RAC III with substantial deal sourcing capabilities and industry connections in its target sectors, which include upstream oil and gas, power generation, energy infrastructure, and critical metals and minerals.

The 45% overallotment option granted to underwriters Barclays and Jefferies could potentially increase the total offering size to $345 million if fully exercised. This additional capital would enhance RAC III's ability to pursue larger acquisition targets.

SPACs typically have 18-24 months to identify and complete an acquisition, so investors should watch for announcements regarding potential targets in the coming quarters. The SPAC structure gives private companies in the energy sector an alternative path to public markets compared to traditional IPOs, particularly valuable in volatile market conditions.

CARNEGIE, Pa. and GENEVA, Sept. 30, 2025 /PRNewswire/ -- Rice Investment Group, a multi-strategy investment fund focused on a diverse array of energy-related investments, and Mercuria, one of the world's leading independent energy, metals and commodity trading firms, announce that Rice Acquisition Corporation 3 ("RAC III"), a special purpose acquisition company ("SPAC"), priced its initial public offering of 30,000,000 units at a price of $10.00 per unit. The units will be listed on the New York Stock Exchange (the "NYSE") under the symbol "KRSP.U" beginning October 1, 2025. Each unit consists of one Class A ordinary share and one-sixth of one redeemable warrant. Each whole warrant entitles the holder thereof to purchase one Class A ordinary share at an exercise price of $11.50 per share, subject to adjustment. Once the securities comprising the units begin separate trading, the Class A ordinary shares and warrants are expected to be listed on the NYSE under the symbols "KRSP" and "KRSP.W," respectively. No fractional warrants will be issued upon separation of the units and only whole warrants will trade.

The offering is expected to close on October 2, 2025, subject to customary closing conditions.

RAC III intends to focus its search for a target business in the areas of upstream oil and gas, power generation, energy infrastructure, and critical metals and minerals.

Barclays and Jefferies are acting as the joint bookrunning managers for the offering. RAC III has granted the underwriters a 45-day option to purchase on a pro rata basis up to 4,500,000 additional units at the initial public offering price, less the underwriting discounts and commissions.

The offering will be made only by means of a prospectus. Copies of the preliminary prospectus relating to the offering and final prospectus, when available, may be obtained free of charge by visiting EDGAR on the U.S. Securities and Exchange Commission's (the "SEC") website at www.sec.gov or from Barclays Capital Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, by phone at (888) 603-5847, or by email at barclaysprospectus@broadridge.com, or from Jefferies LLC, Attn: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, New York 10022, by phone at (877) 821-7388, or by email at Prospectus_Department@Jefferies.com.

A registration statement relating to these securities has been declared effective by the SEC on September 30, 2025. This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, 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 Rice Investment Group

Rice Investment Group is a multi-strategy investment fund that has deployed several hundred million dollars since its founding in 2018. The fund is focused on a diverse array of energy-related investments, including oil and gas exploration and production, oil and gas midstream, oilfield services and manufacturing, software and technology companies supporting the energy sector, renewable natural gas production, liquified natural gas ("LNG"), data centers, and lithium extraction. Rice Investment Group maintains a long-term investment horizon and has relied upon the experience, breadth of knowledge and vision of its management team to find, create and invest in compelling long-term energy opportunities.

About Mercuria

Mercuria is one of the world's leading independent energy, metals and commodity trading firms, with annual gross revenues exceeding $100 billion over the last few years and a global investment platform. Mercuria is led by its co-founders, Marco Dunand and Daniel Jaeggi, and has a team of over 1,200 professionals. The Mercuria team specializes in commodity trading, structured products and investments, integrating a wide variety of physical and derivative trading businesses with a diversified global asset base. Mercuria's commercial activities and investments span across many industries, including crude and refined products, natural gas and LNG, power, metals, shipping, biofuels, and carbon. The Mercuria team has executed on and realized successful investments across the energy value chain, leveraging their sector experience as well as their expertise in creating and capturing growth opportunities for their portfolio companies.

Cautionary Statement Concerning Forward-Looking Statements

This press release includes forward-looking statements, including statements relating to the anticipated closing of the offering. There can be no assurance that the offering will be completed as anticipated or at all, and there are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements made herein, including risks relating to unanticipated developments that prevent, delay or negatively impact the offering and other risks and uncertainties disclosed by RAC III from time to time in its filings with the SEC. The forward-looking statements contained in this press release reflect management's expectations as of the date of this press release. RAC III, Rice Investment Group and Mercuria expressly disclaim any obligation to update these forward-looking statements except as may be required by law.

Contact:

Charles Burrus

info@riceinvestmentgroup.com

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SOURCE Rice Investment Group

FAQ

What is the IPO price and size for Rice Acquisition Corporation 3 (KRSP)?

Rice Acquisition Corporation 3 priced its IPO at $10.00 per unit for a total of $300 million, consisting of 30 million units.

When will KRSP stock begin trading on the NYSE?

The units will begin trading on the NYSE under symbol KRSP.U on October 1, 2025. The Class A shares and warrants will later trade separately as KRSP and KRSP.W.

What industries is Rice Acquisition Corporation 3 targeting for acquisition?

The SPAC is targeting businesses in upstream oil and gas, power generation, energy infrastructure, and critical metals and minerals sectors.

What is included in each KRSP unit offering?

Each unit consists of one Class A ordinary share and one-sixth of one redeemable warrant. Each whole warrant allows purchase of one Class A share at $11.50 per share.

Who are the underwriters for the KRSP IPO?

Barclays and Jefferies are acting as joint bookrunning managers for the offering, with a 45-day option to purchase up to 4.5 million additional units.