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Matterport Ex-CEO Wins Challenge to SPAC Stock Lockup Provision

Jan. 10, 2022, 7:53 PM

Matterport Inc.'s former CEO can freely sell his shares in the 3D technology maker, which went public through a blank-check merger in July, a Delaware judge ruled Monday, rejecting the company’s attempt to enforce a post-deal stock lockup bylaw against him.

Vice Chancellor Lori W. Will ruled in favor of William J. Brown in a brief decision for Delaware’s Chancery Court. Because Brown wasn’t given stock in the combined company until he executed “letters of transmittal” months after the transaction, those shares weren’t covered by the bylaw, the judge said.

“It is unnecessary to define the precise time period” covered ...