Binance has invested $200 million into Forbes, a century-old U.S. business news publisher, ahead of the company’s SPAC merger with Magnum Opus Acquisition. 💰 💰
The crypto exchange, which is worth $86 billion, will become Forbes’ second biggest shareholder. Binance will also reportedly pick up two of Forbes’ nine board seats in the process. It’s an ironic buy, given that Binance sued Forbes in 2020 after they published a story suggesting the crypto exchange skirted U.S. regulations.
Binance was able to swoop in and make the investment because many institutional investors “decommitted” funds thanks to the SPAC. According to CNBC, sources say that Binance will replace half of the $400 millions in commitments.
The company is expected to have a post-merger value of more than $630 million. This news follows a flurry of media SPACs which have come to market, many to lackluster success. 👎 The deal is expected to close this quarter. Magnum Opus Acquisition was led by former Point72 executive Jonathan Lin.
Binance’s CEO, Changpeng Zhao, stressed that Binance will not influence editorial decisions or content. However, the company said it would help the publisher with crypto and blockchain strategies, as well as with Forbes’ understanding the world of web3. 🌎
The SPAC, which trades under $OPA, fell 0.1% today.