Sam Zell is one of the biggest names in the real estate markets and an early leader in REITS in the United States. Now, he's launching a SPAC to target the industrial sector.
The Leadership Team: Equity Distribution Acquisition Corp will be led by Sam Zell, the founder of Equity Group Investments. Zell has a track record of 50 years founding companies, leading turnarounds, leading industry consolidations, and taking companies public. Zell has sponsored 11 IPOs.
Zell is widely recognized as a founding father of the REIT, according to the filing.
In the 1990s, Zell created three of the largest REITs. Equity Office Properties, which Zell founded in 1997, was sold for $39 billion in 2007. Equity Residential EQR, a multi-family REIT, and Equity LifeStyle Properties ELS, a manufacturer housing REIT, both have founder Zell as the current chairman. Zell also chairs Equity Commonwealth EQC, an office REIT.
Outside of REITS, Zell is also chairman of energy from waste company Covanta Holding Corporation CVA.
Zell was once the owner of the Chicago Cubs and was part of the $8.2 billion buyout of the Tribune Company. Forbes ranks Zell as the 148th richest American with a net worth of $8.2 billion.
The Offering: Equity Distribution Acquisition Corp plans to trade on the NYSE with symbol EQD. The company is planning on selling 30 million units at $10 each. Each share will have one-third of a warrant to buy a share at $11.50.
Equity Distribution Acquisition Corp: The SPAC plans to target the highly fragmented industrial market in North America, especially focusing on technology-enabled solutions.
The company’s strategy includes using its strong track record in growing companies to identify a potential company. The company plans to help an acquired company with driving innovation and transformation mergers and acquisitions.
Criteria for an acquisition target includes a strong competitive position, potential attractive FCF, strong management team, proven track record, and an attractive risk-adjusted return.
Photo credit: "Sam Zell Shares The Secrets To His Success" via The Ross School of Business - University of Michigan on YouTube.
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