SPAC Deal for Carlyle-Backed Syniverse Nixed Over Shareholder Redemptions

  • $2.85 billion deal spiked as investors opt to redeem shares
  • Redemptions in the sector have skyrocketed since August
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Syniverse Technologies LLC and M3-Brigade Acquisition II Corp. called off their $2.85 billion merger as investors opted to return their shares for cash, making the deal the latest casualty of record redemption rates.

The blank-check company said in a statementBloomberg Terminal Wednesday that the number of shareholders redeeming their stock for cash would’ve exceeded the minimum amount of capital needed for closing the deal. M3-Brigade will now seek a different target to take public while Syniverse remains closely held.