Saturday 25 June 2022

Tims China announces pre-merger financing round and PIPE Commitments

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SHANGHAI, China – TH International Limited (“THIL” or “Tims China“) revealed yesterday a substantial pre-merger financing round by a leading international property supervisor (the “Investor”). In addition, Tims China revealed its invoice of numerous preliminary commitments to a bigger personal financial investment in public equities (“PIPE”) financing to be closed simultaneously with THIL’s merger with Silver Crest Acquisition Corporation (“Silver Crest”).

The Investor’s financing plan consists of both an instant $50 million capital injection in the kind of a note, convertible into shares of THIL at a 15% premium to the merger cost for Tims China concurred in its service mix arrangement with Silver Crest, and an additional dedication to the PIPE.

Concurrently, Tims China revealed commitments to the PIPE from numerous present financiers, consisting of affiliates of Sequoia Capital China and Eastern Bell Capital, which undergo traditional terms and last documents.

Tims China holds the unique master franchise rights for Tim Hortons coffeehouse in China. Formed in 2019 by personal equity company Cartesian Capital Group (“Cartesian”), it brings a renowned coffee and bakeshop brand name to among the fastest-growing coffee markets worldwide. At present, Tims China runs over 340 stores.

Peter Yu, Chairman of Tims China and Managing Partner of Cartesian, stated, “It is a privilege to welcome a new investor as our partner in Tims China. Their deep engagement, understanding of the coffee opportunity in China, and extensive diligence resonate with our own data-driven philosophy. They are well-suited to support our growth toward our 5-year goal of delighting our guests at 2,700+ profitable cafés and beyond. We also welcome their notable commitment to our PIPE transaction, together with that of our current valued partners, including affiliates of Sequoia Capital China and Eastern Bell.”

Overview of the Transactions Contemplated by the Merger Agreement

THIL and Silver Crest Acquisition Corporation (“Silver Crest”), an openly traded unique function acquisition business, have actually signed a conclusive arrangement associated to a proposed service mix that would lead to THIL ending up being a public business. As an outcome of business mix, THIL will continue as the parent/public business and will maintain the name “TH International Limited”. THIL plans to obtain listing of its common shares on the NASDAQ Stock Market under the proposed sign “THCH” to be reliable at the consummation of business mix.

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