Sizzle targets foodservice and foodtech start-ups as management boasts vast restaurant experience

Special Purpose Acquisition Company (SPAC) Sizzle Acquisition Corp has closed its upsized IPO after securing $155 million from the sale of 15.5 million shares priced at $10 per unit.

Sizzle will shortly commence trading on the Nasdaq on 4 November under the ticker symbol SZZL.

Each unit sold consisted of on share of common stock and one-half of a redeemable warrant.

With each whole warrant, one share of the SPAC’s common stock can be purchased at $11.50.

Sizzle is targeting F&B businesses targeting the consumer space, as well as foodtech and foodservice companies.

The SPAC’s management team is led by chairman and CEO Steve Salis, who has a colourful background in founding and owning restaurants and bakeries in Washington DC.

For the last six years Salis has invested in consumer tech and food and beverage companies via his investment vehicle Salis Holdings.

Salis Holdings executive chairman Jamie Karson joins the SPAC as non-executive vice chairman, while foodservice giant Nandos’ US CFO Nestor Nova also sits on the management team.

Karen Kelley, COO for US restaurant chain Jack’s Family Restaurants, joins Sizzle as a member of its board.

The blank cheque company had initially expected to raise $135 million in its IPO.

SPACs are becoming increasingly common in fast-growing tech sectors like foodtech and gaming.

Young companies can IPO quickly under a blank cheque company while still maintaining a great deal of control.

Date published: 10 November 2021

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