CO2 Energy Transition Corp. Announces Closing of Previously Announced IPO and Full Exercise of Over-allotment Option, Raising $69 Million in Gross Proceeds

Rhea-AI Summary

CO2 Energy Transition Corp. (Nasdaq: NOEM) has successfully completed its initial public offering, raising $69 million in gross proceeds. The company sold 6,000,000 units at $10.00 per unit, with an additional 900,000 units through the full exercise of the underwriter's over-allotment option. Each unit includes one common stock share, one warrant exercisable at $11.50, and one right to receive one-eighth of a share upon business combination. The units trade on Nasdaq under 'NOEMU', with individual components to trade as 'NOEM,' 'NOEMW,' and 'NOEMR'. Kingswood Capital Partners served as the sole underwriter.

Positive

• Successfully raised $69 million in gross proceeds through IPO
• Full exercise of over-allotment option indicating strong demand
• Listed on Nasdaq Global Market providing strong market visibility

Negative

• No established business operations as a blank check company
• Warrant dilution risk at $11.50 exercise price
• Additional dilution risk from rights conversion (1/8 share per right)

News Market Reaction

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On the day this news was published, NOEMU declined NaN%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

HOUSTON, TEXAS, Nov. 22, 2024 (GLOBE NEWSWIRE) -- CO2 Energy Transition Corp. (Nasdaq: NOEM) (the “Company”) announced today that it closed its initial public offering of 6,000,000 units at $10.00 per unit, plus the full exercise of the underwriter’s option to purchase an additional 900,000 units to cover over-allotments. Each unit consists of one share of common stock, one warrant to purchase one share of common stock at a per share exercise price of $11.50 and one right. Each right entitles the holder thereof to receive one-eighth (1/8) of one share of common stock upon the consummation of an initial business combination.

The units are listed on The Nasdaq Global Market (“Nasdaq”) and began trading under the ticker symbol “NOEMU” on November 21, 2024. Once the securities comprising the units begin separate trading, the shares of common stock, warrants and rights are expected to be listed on Nasdaq under the symbols “NOEM,” “NOEMW” and “NOEMR,” respectively.

Kingswood Capital Partners, LLC acted as sole underwriter in the offering. Loeb & Loeb LLP served as legal counsel to the Company. Olshan Frome Wolosky LLP served as legal counsel to Kingswood.

A registration statement on Form S-1, as amended (File No. 333-269932), relating to these securities was filed with the Securities and Exchange Commission (“SEC”) and became effective on November 12, 2024. A final prospectus relating to the offering was filed with the SEC and is available on the SEC’s website at http://www.sec.gov. The offering was made only by means of a prospectus forming part of the effective registration statement. Electronic copies of the prospectus relating to this offering may be obtained from Kingswood Capital Partners, LLC, 126 East 56th Street, Suite 22S, New York, NY 10022, Attn: Syndicate, or by email at syndicate@kingswoodus.com, or by accessing the SEC’s website at http://www.sec.gov.

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 CO2 Energy Transition Corp.

CO2 Energy Transition Corp. is a blank check company, also commonly referred to as a special purpose acquisition company, or SPAC, formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities. The Company will not be limited to any particular industry or geographic region, although it initially intends to pursue targets in the carbon capture, utilization and storage industry.

Forward-Looking Statements

This press release contains statements that constitute “forward-looking statements,” including with respect to the Company’s initial public offering (“IPO”) 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 CO2 Energy Transition Corp., including those set forth in the Risk Factors section of CO2 Energy Transition Corp.’s registration statement and prospectus for the IPO filed with the SEC. Copies are available on the SEC’s website, www.sec.gov. CO2 Energy Transition 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:

CO2 Energy Transition Corp.
Brady Rodgers
President and Chief Executive Officer
bradyr@co2et.com
www.co2et.com

Andrew J. Martin
andym@co2et.com
(832) 724-3149 

FAQ

How much did CO2 Energy Transition Corp (NOEMU) raise in its IPO?

CO2 Energy Transition Corp raised $69 million in gross proceeds through its IPO, selling 6,000,000 units at $10.00 per unit plus 900,000 additional units through the over-allotment option.

What is included in each NOEMU unit from the IPO?

Each unit consists of one share of common stock, one warrant to purchase one share at $11.50, and one right to receive one-eighth of a share upon business combination completion.

When did NOEMU start trading on Nasdaq?

NOEMU units began trading on The Nasdaq Global Market on November 21, 2024.

What will be the separate trading symbols for NOEMU components?

Once securities begin separate trading, they will trade under NOEM (common stock), NOEMW (warrants), and NOEMR (rights) on Nasdaq.