Property Solutions Acquisition II files for $250M IPO

Property Solutions Acquisition Corp. II, or Property Solutions Acquisition II, filed for an IPO of 25.0 million units at $10.00 apiece, for gross proceeds of $250.0 million.

Each unit consists of one class A common share and one-third of one redeemable warrant, with each whole warrant exchangeable for one class A common share at $11.50 apiece. The offering comes with a 45-day overallotment option for the underwriters to buy up to 3,750,000 additional units.

Property Solutions Acquisition Sponsor II LLC, the company's sponsor, agreed to buy 580,000 units at $10.00 apiece, for an aggregate of $5.8 million, in a private placement concurrent with the IPO closing. The sponsor will buy 636,250 units if the overallotment option is fully exercised, for about $6.4 million.

EarlyBirdCapital Inc. also agreed to acquire 125,000 units at $10.00 apiece, or $1.25 million in the aggregate, in another private placement concurrent with the IPO completion. It will buy 143,750 units if the overallotment option is exercised in full, for an aggregate of about $1.4 million.

The blank-check company will target businesses that service the real estate market or that specialize in property technology. It expects gross proceeds from the IPO and concurrent private placements to come to $295.3 million, assuming the full exercise of the overallotment option. It will deposit the bulk of the proceeds into a trust account, with Continental Stock Transfer & Trust Co. serving as trustee.

Property Solutions Acquisition II will seek to have its units listed on The Nasdaq Capital Market under the ticker PSAGU, and its class A common stock and warrants are expected to separately trade on Nasdaq under the respective symbols PSAG and PSAGW.

EarlyBirdCapital is the underwriter and bookrunning manager for the IPO.