New Providence Acquisition Corp. III Announces the Pricing of $261,000,000 Initial Public Offering

Rhea-AI Summary

New Providence Acquisition Corp. III has announced the pricing of its $261 million initial public offering, consisting of 26,100,000 units. Each unit, priced at $10.05, includes one Class A ordinary share and one-third of one redeemable warrant. The units will trade on Nasdaq under 'NPACU' starting April 24, 2025.

The company is a blank check company targeting acquisitions in the consumer industry. The warrants allow holders to purchase shares at $11.50 each. The Class A shares and warrants will eventually trade separately under 'NPAC' and 'NPACW'. The IPO includes a 45-day option for underwriters to purchase up to 3,915,000 additional units.

The management team is led by co-CEOs Gary Smith and Alexander Coleman, with Leo Valentine as CFO. Cantor Fitzgerald & Co. serves as the sole book-running manager for the offering, expected to close on April 25, 2024.

Positive

• Large IPO size of $261 million provides substantial acquisition capital
• Trust value of $10.05 per unit offers investor protection
• Listing on major exchange (Nasdaq) provides liquidity
• Experienced management team with industry veterans
• Flexibility in acquisition targets across consumer industry

Negative

• No specific acquisition target identified yet
• Warrant dilution potential at $11.50 exercise price
• to only whole warrant trading
• Time constraints to complete business combination

Insights

Financial Analyst

New Providence Acquisition Corp. III launches $261M SPAC IPO with typical structure, targeting future consumer industry acquisition.

New Providence Acquisition Corp. III has successfully priced its $261,000,000 initial public offering, consisting of 26,100,000 units expected to begin trading on Nasdaq on April 24 under ticker symbol "NPACU." This SPAC (Special Purpose Acquisition Company) offering follows a standard structure with some notable details.

Each unit is priced at $10 and contains one Class A ordinary share plus one-third of a redeemable warrant. The warrant structure allows holders to purchase shares at $11.50 once exercisable. The company will place $10.05 per unit into a trust account, which represents the capital held until a business combination is completed.

The SPAC's management includes co-CEOs Gary Smith and Alexander Coleman, with Leo Valentine serving as CFO. While primarily targeting the consumer industry for acquisition opportunities, the company maintains flexibility to pursue businesses in other sectors.

For investors familiar with SPACs, the structure contains standard elements: Cantor Fitzgerald serving as book-runner, a 45-day overallotment option for underwriters (for an additional 3,915,000 units), and plans for the components to eventually trade separately under "NPAC" and "NPACW" symbols.

The $10.05 trust value provides a slight premium over the typical $10 baseline seen in many SPACs, while the one-third warrant per unit represents a conventional allocation ratio. The offering is scheduled to close on April 25, pending customary conditions.

Palm Beach, FL, April 23, 2025 (GLOBE NEWSWIRE) -- New Providence Acquisition Corp. III (the “Company”) announced today the pricing of its initial public offering of 26,100,000 units. The units are expected to be listed on The Nasdaq Global Stock Market LLC (“Nasdaq”) and begin trading tomorrow, April 24, 2025, under the ticker symbol “NPACU.” Each unit consists of one Class A ordinary share and one-third of one redeemable warrant, each whole warrant entitling the holder thereof to purchase one Class A ordinary share at a price of $11.50 per share, subject to certain adjustments. No fractional warrants will be issued upon separation of the units and only whole warrants will trade. An amount equal to $10.05 per unit will be deposited into a trust account upon the closing of the offering. Once the securities constituting the units begin separate trading, the Class A ordinary shares and warrants are expected to be listed on Nasdaq under the symbols “NPAC” and “NPACW,” respectively. The offering is expected to close on April 25, 2024, subject to customary closing conditions. The Company has granted the underwriters a 45-day option to purchase up to an additional 3,915,000 units at the initial public offering price to cover over-allotments, if any.

The Company is a blank check company formed for the purpose of effecting a merger, amalgamation, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses. The Company seeks to acquire and operate a business in the consumer industry however it may pursue an acquisition opportunity in any business or industry or at any stage of its corporate evolution.

The Company’s management team is led by Gary Smith and Alexander Coleman, each a Co-Chief Executive Officer and Co-Chairman of the Board of Directors (the “Board”), and Leo Valentine, its Chief Financial Officer. The Board also includes Rick Mazer, Daniel Ginsberg, Timothy Gannon, and Greg Stevens.

Cantor Fitzgerald & Co. is acting as sole book-running manager for the offering.

The offering is being made only by means of a prospectus. When available, copies of the prospectus may be obtained from Cantor Fitzgerald & Co., Attention: Capital Markets, 499 Park Avenue, 5th Floor New York, New York 10022, or by email at prospectus@cantor.com.

A registration statement relating to the securities has been filed with the U.S. Securities and Exchange Commission (“SEC”) and became effective on April 23, 2025. 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 search for an initial business combination. No assurance can be given that the offering discussed above will be completed on the terms described, or at all.

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 prospectus for the Company’s initial public offering filed with the SEC. Copies of these documents 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.

Investor Contacts

New Providence Acquisition Corp. III
Leo Valentine
leo.valentine@npa-corp.com
929-249-8832

FAQ

What is the total value of New Providence Acquisition Corp. III's IPO and when will NPAC start trading?

The IPO is valued at $261 million, consisting of 26,100,000 units. Trading begins April 24, 2025 under 'NPACU', with NPAC shares trading separately later.

How are the NPAC units structured and what is the warrant exercise price?

Each unit contains one Class A ordinary share and one-third of one redeemable warrant. Each whole warrant allows purchase of one share at $11.50.

What is the trust account amount per unit for NPAC's IPO?

$10.05 per unit will be deposited into a trust account upon the offering's closing.

What is the over-allotment option for NPAC's IPO underwriters?

Underwriters have a 45-day option to purchase up to 3,915,000 additional units to cover over-allotments.

What industry sector is NPAC targeting for acquisition?

The company is targeting acquisitions in the consumer industry, though it may pursue opportunities in any business sector.