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Bitcoin Depot to go public with crypto ATM business via SPAC deal

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Lux Vending aka Bitcoin Depot, the world’s largest crypto ATM company with over 7,000 machines operating in North America, plans to go public through a US$885 million reverse merger with the special purpose acquisition company (SPAC) GSR ​​II Meteora.

According to a press release, the deal has been unanimously approved by the administrators of Bitcoin Depot and GSRM and is expected to close by the first quarter of 2023, subject to regulatory and shareholder approvals.

“Today marks an important milestone for Bitcoin Depot,” said founder Brandon Mintz. “We are always looking to expand our reach so that as many people as possible can access cryptocurrency to control their own money and make easier, simpler financial transactions.”

Since its inception in 2016, Bitcoin Depot’s ATMs have facilitated transactions worth $1.2 billion, while net income for the past 12 months has been $6 million.

The company will be listed on the NASDAQ stock exchange under the symbol BTM.

Bitcoin Depot is advised on the deal by Kirkland & Ellis.

PSPC boom and bust

Also known as “blank check companies,” SPACs have grown in popularity in recent years as an easy way to take a company public by bypassing the traditional IPO process.

SPAC transactions accounted for more than half of all IPOs in 2021.

However, the US law firm white and case noted that SPAC transactions have declined significantly in 2022, accounting for just 13% of IPOs to date.

SPACs also have a less than stellar track record.

High-profile deals involving US bakery chain Panera and the trading platform have failed to materialize this year, while the de-SPAC index is down around 80% from its 2021 peak .

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