Skillz Mobile-Game Company to Go Public Via Blank-Check Deal (1)

Skillz Inc., a mobile-gaming company with titles like Solitaire Cube and Jewel Blitz, will go public by merging with blank-check company Flying Eagle Acquisition Corp., giving it an equity valuation of $3.5 billion.

Investors, including Wellington Management, Fidelity Management & Research, Franklin Templeton and Neuberger Berman, have committed $159 million in the form of private investment in public equity, according to a statement Wednesday. They’ve set a price of $10 per share of Flying Eagle.

The deal reflects the growing popularity of using SPACs, or special-purpose acquisition companies, to list promising startups without the hurdles of an initial ...