CO2 Energy Transition Corp., a blank check company targeting the carbon capture, utilization, and storage industry, lowered the proposed deal size for its upcoming IPO on Tuesday, January 16, 2024. The company originally filed in February 2023, and before January 9th had not updated its prospectus since March, 2023.
The Houston, TX-based company now plans to raise $60 million by offering 6 million units at $10. The company had previously filed to offer 8 million units. Each unit now consists of one share of common stock, one right to receive one-tenth of a share upon the completion of an initial business combination, and one warrant, exercisable at $11.50. At the revised terms, CO2 Energy Transition Corp. will raise 25% less in proceeds than previously anticipated.
CO2 Energy Transition Corp. is led by CEO Brady Rodgers, whose current roles include serving as CEO of Antelope Energy Partners and Native State CCS, and Chairman Charles Fox, the co-founder and CEO of oil and gas producer Windy Cove Energy II, and Pure Earth Plasma Holdings. The SPAC plans to target the carbon capture, utilization, and storage industry, focusing on businesses with enterprise values between $150 million and $250 million, sound environmental and regulatory performance criteria, and significant growth potential, among other characteristics.
CO2 Energy Transition Corp. was founded in 2021 and plans to list on the Nasdaq under the symbol NOEMU. EF Hutton is the sole bookrunner on the deal.