How much new equity or equity-linked capital will MultiPlan receive?

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MultiPlan to Receive Up to US$3.7 Billion in New Capital Through SPAC Merger

MultiPlan is set to receive up to US$3.7 billion in new equity or equity-linked capital as part of its definitive agreement to merge with Churchill Capital Corp III. This transaction is valued at approximately US$11 billion and will facilitate MultiPlan's transition to becoming a publicly listed company. The influx of capital is intended to reduce the firm's existing debt burden.
Transaction Structure Includes Equity and Convertible Debt

The merger agreement specifies that MultiPlan will gain access to US$1.3 billion in fully committed common stock, priced at US$10 per share. Additionally, the company will receive US$1.3 billion in convertible debt, which carries a conversion price of US$13 per share. These components form a significant portion of the total capital infusion aimed at strengthening MultiPlan's financial position.
Churchill Capital III Contributes IPO Funds

Churchill Capital Corp III, which itself went public in February, will inject up to US$1.1 billion in cash into the merged entity. These funds were raised during Churchill's initial public offering and are a key component of the overall deal financing. This contribution underscores the substantial nature of the Spac merger.
Largest Spac Merger to Date

The combined transaction represents the largest Spac merger ever recorded, according to MultiPlan's parent company, Hellman & Friedman (H&F). H&F acquired MultiPlan in 2016 and will remain the largest shareholder in the newly public company, which will operate under the MultiPlan name and be listed on the New York Stock Exchange (NYSE). The deal is anticipated to be finalized by the end of October 2020.

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How much new equity or equity-linked capital will MultiPlan receive?

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