Skadden, Arps is advising Israeli-American financial technology firm Pagaya Technologies Ltd. on its go-public merger with a special purpose acquisition company.
Simpson Thacher & Bartlett is advising the SPAC, EJF Acquisition Corp. Tel Aviv-based law firm Goldfarb Seligman & Co is also advising Pagaya.
Pagaya, with offices in Tel Aviv, New York City, and Los Angeles, says it uses an artificial intelligence-powered network to help financial service providers expand consumer access to financial services. Its partners work in markets including unsecured consumer, auto, credit card, point-of-sale, and real estate.
The company is slated to get $288 million from EJF Acquisition and $200 million from a private placement from entities associated with the SPAC, the statement says.
After the closing of the transaction, expected in early 2022, Pagaya will become a publicly listed entity and trade under a new ticker symbol, according to a statement. Pagaya is estimated to have an enterprise value of about $8.5 billion.
“We believe that EJF’s unparalleled relationships and expertise across the banking and financial services sector will help accelerate Pagaya’s penetration in this large and fragmented sector,” said Manny Friedman, chairman of EJF Acquisition.