Tom Hicks to list $400m ‘blank-cheque’(3)

The legendary Texas buyout pro has joined a long list of hopeful backers of special purpose acquisition vehicles – so called ‘blank-cheque’ pools of capital that are listed on an exchange in anticipation of an unnamed deal.

Thomas Hicks is hoping to raise $400 million for a new special purpose acquisition vehicle (SPAC) that is being formed for an as-yet unidentified acquisition, according to regulatory filings.

The vehicle, Hicks Acquisition Company I, is the the latest in a string of moves Hicks has made since stepping down from the Dallas buyout firm he founded, Hicks, Muse Tate & Furst, in 2005. That firm is now called HM Capital Partners.

According to regulatory filings, Hicks Acquisition will seek to acquire a business with a “proven track record”, “strong free cash flow characteristics”, a “strong competitive industry position”, “exeprienced management team” and “diversified customer and supplier base”.

The filings describe Hicks as a professionals wtih 35 years of private equity expertise and holdings in three major sports leagues as well as other private companies.

The Hicks SPAC has 24 months to complete an acquisition or be liquidated.
Companies such as Jamba Juice and American Apparel have already been acquired by SPACs, while high-profile former private equity general partners such as Michael Gross from Apollo Management have become affiliated with these vehicles.