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The deal

Definitive agreement

The signed, binding contract to combine, the point at which a target stops being a rumour.

Also written: merger agreement, business combination agreement

Signing is disclosed in a current report on Form 8-K, usually under Item 1.01, and almost always alongside a Form 425 communication and a press release.

Signing is not closing. Between the two sit a registration statement, regulatory clearance, a shareholder vote and a redemption window, and deals fail at every one of those steps.

Related terms

See the term in the wild: the screener shows trust size, per-share value and deadlines for every U.S. SPAC, and each profile links to the filings the numbers came from.

Definitions describe market practice and are not investment, legal or tax advice.