In the midst of a hostile takeover battle with CoreLogic, Fidelity Chairman William Foley, II has started a blank check company to “effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses or entities.”
Newly formed Foley Trasimene Acquisition Corp. II (FTAC II) announced the closing of its initial public offering of 130 million units at a public offering price of $10 per unit.
The company said each unit consists of one share of the company’s Class A common stock and one-third of one warrant. Each whole warrant entitles the holder to one share of the company’s Class A common stock at a price of $11.50 per share.
The sponsor of FTAC II is Trasimene Capital FT, LP II, an affiliate of Trasimene Capital Management, LLC, led by Foley. Credit Suisse Securities (USA) LLC and BofA Securities are acting as joint book-running managers for the offering.
Additionally, Cannae Holdings, Inc. announced that it has entered into a forward purchase agreement with FTAC II in which Cannae will purchase shares of FTAC II’s Class A common stock in an aggregate share amount equal to 15 million shares of Class A common stock, plus an aggregate of 5 million redeemable warrants to purchase one share of Class A common stock at $11.50 per share, for an aggregate purchase price of $150 million, or $10 per Class A common stock.
Cannae said it has an approximately 15 percent limited partnership interest in Trasimene Capital FT, LP II and an indirect economic interest in 15 percent of the founder shares, which equates to an indirect economic interest in 3 percent of the outstanding shares of common stock. Foley is Cannae’s chairman.
“Cannae looks forward to working with FTAC II, its sponsor, and the other limited partners of the sponsor to identify prospective target businesses within the industries of financial technology or business process outsourcing and leveraging our collective transaction and organizational optimization experience,” Foley said in a release.
In June, Senator Investment Group LP and Cannae Holdings made an unsolicited $7 billion bid for CoreLogic Inc. Saying the bid significantly undervalues the company, raises serious regulatory concerns, and is not in the best interests of its shareholders, CoreLogic rejected it. The suitors have requested a special shareholder meeting to replace a majority of CoreLogic’s board with independent directors.