BUSINESS OF SLAM AND CERTAIN INFORMATION ABOUT SLAM
References in this section to we, our, or us refer to Slam Corp.
General
We are a blank check company
incorporated as an exempted company in the Cayman Islands on December 18, 2020 formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or other similar business combination with one or
more businesses or entities. We are an early stage and emerging growth company and, as such, we are subject to all of the risk associated with early stage and emerging growth companies.
Initial Public Offering and Private Placement
On February 25, 2021, we consummated our Initial Public Offering of 57,500,000 Units, including the issuance of 7,500,000 additional units
as a result of the underwriters full exercise of their over-allotment option, at $10.00 per Unit, generating gross proceeds of $575,000,000. The securities in the offering were registered under the Securities Act on a registration statement on
Form S-1 (No. 333-252104). The SEC declared the registration statement effective on February 2, 2021. Simultaneously with the closing of our Initial Public
Offering, we consummated the sale of 11,333,333 Private Placement Warrants to the Sponsor at a price of $1.50 per Private Placement Warrant, generating gross proceeds of $17,000,000.
Following the closing of our Initial Public Offering on February 25, 2021, an amount of $575,000,000 ($10.00 per Unit) from the net
proceeds of the sale of the Units in our Initial Public Offering and the sale of the Private Placement Warrants were placed in a Trust Account, and invested in U.S. government securities, within the meaning set forth in the Investment Company Act,
with a maturity of 185 days or less, or in any open-ended investment company that holds itself out as a money market fund investing solely in U.S. Treasuries and meeting certain conditions under Rule 2a-7 of
the Investment Company Act. Slam currently intends, prior to the Shareholder Meeting, to instruct Continental, the trustee managing the Trust Account, to liquidate the U.S. government treasury obligations or money market funds held in the Trust
Account and thereafter to maintain the funds in the Trust Account in cash in an interest-bearing demand deposit account at a bank until the earlier of consummation of a Business Combination and liquidation of Slam. Interest on such deposit account
is currently approximately 2.5-3.0% per annum, but such deposit account carries a variable rate and Slam cannot assure you that such rate will not decrease or increase significantly.
First Extension Meeting
On
February 21, 2023 we held an extraordinary general meeting of shareholders (the First Extension Meeting) to, in part, amend our amended and restated memorandum and articles of association to extend the date by which we
have to consummate a business combination. In connection with that vote, the holders of 32,164,837 Class A ordinary shares of the Company properly exercised their right to redeem their shares for an aggregate redemption amount of approximately
$328,092,029.60. After the satisfaction of such redemptions, the balance in our trust account was approximately $258,427,084.32. Because we are able to complete our initial business combination using our cash, debt or equity securities, or a
combination of the foregoing, we have the flexibility to use the most efficient combination that will allow us to tailor the consideration to be paid to the target business to fit its needs and desires. However, we have not taken any steps to secure
third-party financing and there can be no assurance it will be available to us.
41