SPAC Finnovate Acquisition Plans $150M IPO

Finnovate Acquisition, a special-purpose acquisition company (SPAC) dealing with the Israeli FinTech sector, has filed with the SEC in hopes of raising up to $150 million in an initial public offering.

The Cayman Islands-based company said Friday (Oct. 15) it aims to raise the money by offering 15 million units at $10 each. Finnovate will target FinTech businesses, including those in the payments, InsureTech, WealthTech, RegTech, digital banking, FinTech as a Service, and Banking as a Service sectors.

Its interests also include firms working on blockchain and cryptocurrencies, algorithmic-trading and exchanges, lending and credit line platforms. The companies in question are also those that are “domiciled in Israel, carry out all or a substantial portion of their activities in Israel, or that have some other significant Israeli connection,” the announcement said.

Founded in 2021, Finnovate says the proposed move would allow it to command a $189 million market value. The firm is led by CEO and Chairman David Gershon.

Read more: FinTech Startup Pagaya Could Go Public in $9B SPAC Deal

Last month saw the announcement that Pagaya Technologies, a FinTech with operations in Israel and the U.S., was considering a merger with the SPAC EJF Acquisition Corp that would value the company at roughly $9 billion.

Founded in 2016, Pagaya aims to bring greater efficiency to lending and other financial services, using centralized enabling technology to power its AI network.

Other news: Report: India’s Pine Labs is Weighing IPO

In other IPO news, this week also saw the Indian FinTech Pine Labs planning to go public as it follows opportunities in digital payments. The firm is valued at around $3.5 billion, generates $35 billion in revenue a year and boasts a client list that includes McDonald’s, Starbucks and Flipkart.