(RTTNews) - Currenc (CURR) has entered into a non-binding term sheet with Animoca Brands in relation to a potential proposal for Currenc to acquire 100% of Animoca Brands issued shares via a reverse merger. Under the proposed structure, shareholders of Animoca Brands would collectively own approximately 95% of the issued shares in the resulting entity, and current shareholders of Currenc would hold approximately 5%. Currenc expects to authorize a dualclass share structure in connection with the transaction.
The resulting Nasdaq-listed company is expected to operate under the Animoca Brands name. The companies have agreed to a three-month exclusivity period to finalize terms and proceed toward a definitive implementation agreement.
In connection with the proposed merger, Currenc intends to divest some of its existing business operations, which include AI-powered solutions for financial institutions and a digital remittance platform. These operations are expected to be spun off to Currenc's current shareholders.
Shares of Currenc are up 16% in pre-market trade on Monday.
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