Energem Corp. Secures Standby Equity Purchase Agreement with Yorkville Advisors Global, LP
News Debbie A. Klis · Mark H. Mirkin · Juan Grana · January 18, 2023
Energem Corp. (“Energem”) (Nasdaq: ENCP, ENCPW), a special purpose acquisition company, announced that it has entered into a definitive $200 million Standby Equity Purchase Agreement (“SEPA”) with YA II PN, Ltd., a Cayman Islands exempt limited partnership managed by Yorkville Advisors Global, LP (the “Investor”), and Graphjet Technology Sdn. Bhd., a Malaysian private limited company and pioneering leader in the production of innovative, green, and low-cost graphene, graphite and graphene-based materials (“Graphjet”).
As previously announced, Energem and Graphjet entered into a definitive share purchase agreement that will result in Graphjet becoming a wholly-owned subsidiary of Energem, and Energem to be renamed Graphjet Technology and is expected to be listed on the Nasdaq Global Market under the ticker symbol “GTI” (the “Business Combination”). Completion of the announced Business Combination remains subject to clearance by the Securities and Exchange Commission of Energem’s Form S-4 and approval by shareholders of both Energem and Graphjet.
Under the terms of the SEPA, and subject to the Closing of the Business Combination, Graphjet Technology will have the right, but not the obligation, in its sole discretion, to issue and sell to the Investor up to $200 million in Graphjet Technology’s ordinary shares, based on its funding requirement at any time during the 36 months and the effectiveness of a registration statement with the Securities and Exchange Commission registering Graphjet Technology’s ordinary shares issuable pursuant to the SEPA and other terms and customary conditions set forth in the SEPA.
Rimon attorneys Debbie Klis, Mark Mirkin and Juan Grana served as legal advisors to Energem Corp. on the transaction.
We congratulate our client, Energem Corp. on this exciting milestone.