McKinley Acquisition Corp Announces Full Exercise of Over-Allotment Option in connection with its Initial Public Offering

Rhea-AI Summary

McKinley Acquisition Corporation (Nasdaq: MKLY) announced the successful completion of its initial public offering (IPO) with the full exercise of the over-allotment option. The company issued an additional 2,250,000 units on top of the initial 15,000,000 units, with each unit priced at $10.00.

The total gross proceeds reached $172,250,000, with $172,500,000 placed in trust. Each unit comprises one Class A ordinary share and one right, with the right convertible to one-tenth of a Class A ordinary share upon business combination completion. Clear Street LLC served as the sole book-running manager, with Brookline Capital Markets as co-manager.

Positive

• Successfully raised $172.25 million in total gross proceeds
• Full exercise of over-allotment option indicates strong investor demand
• $172.5 million placed in trust, providing substantial capital for potential business combination

Negative

• No specific acquisition target identified yet
• Shareholders face uncertainty until business combination is identified and completed

Insights

SPAC Financial Analyst

McKinley Acquisition Corp secured $172.25M through its IPO and over-allotment option, strengthening its position for future acquisition targets.

McKinley Acquisition Corporation has successfully completed its initial public offering (IPO) by selling an additional 2,250,000 units following the underwriter's full exercise of its over-allotment option. This comes after the company's initial offering of 15,000,000 units. With all units priced at $10.00 each, the offering generated aggregate gross proceeds of $172,250,000.

The structure of each unit includes one Class A ordinary share and one right, with each right allowing holders to receive one-tenth of a Class A ordinary share upon completion of the company's initial business combination. The units began trading on Nasdaq under the symbol "MKLYU" on August 13, with the separated components to trade as "MKLY" (shares) and "MKLYR" (rights) once separate trading begins.

Of particular significance, $172,500,000 (representing $10.00 per unit from the public offering) has been placed in trust. This trust amount slightly exceeds the gross proceeds, suggesting additional capital may have come from the simultaneous private placement mentioned in the release.

As a Special Purpose Acquisition Company (SPAC), McKinley has now secured its capital base and will begin searching for acquisition targets. The substantial trust amount gives the company significant buying power for its eventual business combination. Clear Street LLC served as the sole book-running manager, with Brookline Capital Markets acting as co-manager for the offering.

The successful completion of both the initial offering and the full over-allotment option indicates strong initial investor interest in McKinley's SPAC proposition and management team, particularly notable in today's more selective SPAC market environment.

NEEDHAM, Mass., Aug. 19, 2025 (GLOBE NEWSWIRE) --  McKinley Acquisition Corporation (Nasdaq: MKLYU) (the “Company”) previously announced the closing of its initial public offering of 15,000,000 units. On August 19, 2025, the Company closed on an additional 2,250,000 units that were issued pursuant to the full exercise by the underwriter of its over-allotment option. After giving effect to the full exercise of the over-allotment option, the offering was priced at $10.00 per unit, resulting in aggregate gross proceeds of $172,250,000.

The Company’s units began trading on August 13, 2025, on The Nasdaq Global Market under the symbol “MKLYU”. Each unit consists of one Class A ordinary share and one right. Each right entitles the holder to receive one-tenth (1/10) of one Class A ordinary share upon consummation of the Company’s initial business combination. Once the securities comprising the units begin separate trading, the Class A ordinary shares and rights will be traded on Nasdaq under the symbols “MKLY” and “MKLYR,” respectively.

Of the proceeds received from the consummation of the initial public offering (including the exercise of the over-allotment option) and a simultaneous private placement of units, $172,500,000 (or $10.00 per unit sold in the public offering) was placed in trust.

Clear Street LLC acted as the sole book-running manager for the offering. Brookline Capital Markets, a division of Arcadia Securities, LLC, acted as co-manager.

A registration statement relating to these securities has been declared effective by the U.S. Securities and Exchange Commission (the "SEC"). This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any State or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such State or jurisdiction.

FORWARD-LOOKING STATEMENTS

This press release contains statements that constitute "forward-looking statements," including with respect to the proposed initial public offering and the anticipated use of the net proceeds. 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 the Company, including those set forth in the Risk Factors section of the Company's registration statement and preliminary prospectus for the Company's offering filed with the SEC. Copies are available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

Company Contact:
McKinley Acquisition Corp
info@mckinleyspac.com
Peter Wright

FAQ

How much did McKinley Acquisition Corp (MKLY) raise in its IPO including over-allotment?

McKinley Acquisition Corp raised $172.25 million in total gross proceeds, with units priced at $10.00 each, including the full exercise of the 2.25 million unit over-allotment option.

What is included in each MKLY unit offering?

Each unit consists of one Class A ordinary share and one right, with each right convertible to one-tenth (1/10) of a Class A ordinary share upon completion of the initial business combination.

When did McKinley Acquisition Corp (MKLY) units begin trading?

McKinley Acquisition Corp units began trading on August 13, 2025 on The Nasdaq Global Market under the symbol MKLYU.

How much of McKinley Acquisition Corp's IPO proceeds were placed in trust?

$172.5 million ($10.00 per unit sold in the public offering) was placed in trust from the IPO proceeds and simultaneous private placement.

What are the trading symbols for McKinley Acquisition Corp's securities?

The units trade as MKLYU, while the Class A ordinary shares and rights will trade separately under MKLY and MKLYR respectively once separate trading begins.