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SPAC: FTCV -> eToro: What may become of my FTCV shares post merger?

Personal Finance & Money Asked by dev_does_software on September 29, 2021

After yesterday’s announcement that eToro and FTCV are planning on merging, FTCV shares became available to eToro users. Target for the merger of the SPAC and eToro will be Q3 2021.

Opening a position in FTCV now, what will happen to the shares post merger?

  • Could they lose value given that FTCV only owns 9% following the business combination?
  • Will current shareholders of FTCV stock retain their stock post
    merger?
  • Will it only be a ticker change?
  • Do owners of FTCV stock
    bought on eToro have a Warrant to buy stock at a fixed price post
    merger?

Scenario (hypothetical):

  • 500 FTCV shares bought on eToro today at USD 13.00 per unit
  • Share price right before merger would be 20.00 per unit

-> What could happen to the shares post merger?

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