0001104659-17-032338.txt : 20170512 0001104659-17-032338.hdr.sgml : 20170512 20170512170308 ACCESSION NUMBER: 0001104659-17-032338 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 41 CONFORMED PERIOD OF REPORT: 20170331 FILED AS OF DATE: 20170512 DATE AS OF CHANGE: 20170512 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Avista Healthcare Public Acquisition Corp. CENTRAL INDEX KEY: 0001661181 STANDARD INDUSTRIAL CLASSIFICATION: BLANK CHECKS [6770] IRS NUMBER: 000000000 STATE OF INCORPORATION: NY FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-37906 FILM NUMBER: 17839693 BUSINESS ADDRESS: STREET 1: 65 EAST 55TH STREET STREET 2: 18TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10022 BUSINESS PHONE: 212 593-6900 MAIL ADDRESS: STREET 1: 65 EAST 55TH STREET STREET 2: 18TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10022 10-Q 1 a17-8939_110q.htm 10-Q

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

 


 

FORM 10-Q

 


 

(Mark One)

x   QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended March 31, 2017

 

OR

 

o    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from             to           

 

Commission File Number: 001-37906

 


 

Avista Healthcare Public Acquisition Corp.

(Exact Name of Registrant as Specified in its Charter)

 


 

Cayman Islands

 

98-1329150

(State or other jurisdiction of

 

(I.R.S. Employer

incorporation or organization)

 

Identification No.)

 

65 East 55th Street, 18th Floor
New York, NY

 

10022

(Address of principal executive offices)

 

(Zip Code)

 

Registrant’s telephone number, including area code: (212) 593-6900

 


 

Indicate by check mark whether the registrant:  (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes x     No o

 

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes x     No o

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.  (Check one):

 

Large accelerated filer

o

Accelerated filer

o

Non-accelerated filer

x(Do not check if a smaller reporting company)

 

 

 

 

Smaller reporting company

o

 

 

Emerging growth company

x

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  o

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes x No o

 

At May 9, 2017, there were 31,000,000 Class A ordinary shares, $0.0001 par value per share and 7,750,000 Class B ordinary shares, $0.0001 par value per share outstanding.

 

 

 



Table of Contents

 

Table of Contents

 

 

 

Page

PART I.

FINANCIAL INFORMATION

3

Item 1.

Financial Statements 

3

 

Condensed Balance Sheets

3

 

Condensed Statements of Operations (unaudited)

4

 

Condensed Statements of Cash Flows (unaudited)

5

 

Notes to Condensed Financial Statements (unaudited)

6

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

12

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

16

Item 4.

Controls and Procedures

16

PART II.

OTHER INFORMATION

17

Item 1.

Legal Proceedings

17

Item 1A.

Risk Factors

17

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

17

Item 3.

Defaults Upon Senior Securities

18

Item 4.

Mine Safety Disclosures

18

Item 5.

Other Information

18

Item 6.

Exhibits

18

 

Signatures

19

 

Exhibit Index

20

 

2



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PART I - FINANCIAL INFORMATION

 

Item 1. Financial Statements

 

Avista Healthcare Public Acquisition Corp.

CONDENSED BALANCE SHEETS

 

 

 

As of

 

As of

 

 

 

March 31, 2017

 

December 31, 2016

 

 

 

(Unaudited)

 

 

 

ASSETS

 

 

 

 

 

Current assets

 

 

 

 

 

Cash

 

$

486,200

 

$

1,040,068

 

Prepaid expenses

 

393,526

 

395,843

 

Total current assets

 

879,726

 

1,435,911

 

 

 

 

 

 

 

Accrued interest receivable held in trust account

 

359,511

 

 

Cash and cash equivalents held in trust account

 

310,000,000

 

310,000,000

 

Total assets

 

$

311,239,237

 

$

311,435,911

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

Current liabilities

 

 

 

 

 

Offering costs payable

 

$

 

$

427,578

 

Accrued expenses

 

140,823

 

50,782

 

Total current liabilities

 

140,823

 

478,360

 

 

 

 

 

 

 

Deferred underwriting commission

 

10,850,000

 

10,850,000

 

 

 

 

 

 

 

Total liabilities

 

10,990,823

 

11,328,360

 

 

 

 

 

 

 

COMMITMENTS

 

 

 

 

 

Class A ordinary shares subject to possible redemption, $0.0001 par value; 29,490,640 and 29,510,755 shares at conversion value at March 31, 2017 and December 31, 2016

 

295,248,410

 

295,107,550

 

Shareholders’ equity

 

 

 

 

 

Preferred shares, $0.0001 par value, 1,000,000 shares authorized: no shares issued and outstanding at March 31, 2017 and December 31, 2016

 

 

 

Ordinary shares, $0.0001 par value, 220,000,000 shares authorized

 

 

 

 

 

Class A ordinary shares 200,000,000 shares authorized; 1,509,360 and 1,489,245 shares issued and outstanding at March 31, 2017 and December 31, 2016 respectively, (excluding 29,490,640 shares subject to possible redemption at March 31, 2017)

 

151

 

149

 

Class B ordinary shares, 20,000,000 shares authorized; 7,750,000 and 7,750,000 shares issued and outstanding at March, 31, 2017 and December 31, 2016

 

775

 

775

 

Additional paid-in capital

 

5,092,075

 

5,232,937

 

Accumulated deficit

 

(92,997

)

(233,860

)

Total shareholders’ equity

 

5,000,004

 

5,000,001

 

Total liabilities and shareholders’ equity

 

$

311,239,237

 

$

311,435,911

 

 

The accompanying notes are an integral part of the unaudited condensed financial statements.

 

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Avista Healthcare Public Acquisition Corp.

CONDENSED STATEMENTS OF OPERATIONS (UNAUDITED)

 

 

 

For the Three

 

For the Three

 

 

 

Months Ended

 

Months Ended

 

 

 

March 31, 2017

 

March 31, 2016

 

 

 

 

 

 

 

Operating costs

 

$

(218,648

)

$

(15,550

)

Loss from operations

 

(218,648

)

(15,550

)

Other income:

 

 

 

 

 

Interest income

 

359,511

 

 

Net income/(loss)

 

$

140,863

 

$

(15,550

)

 

 

 

 

 

 

Weighted average number of shares outstanding, basic and diluted

 

9,239,245

 

7,500,000

 

Basic and diluted net income/(loss) per share

 

$

0.02

 

$

(0.00

)

 

The accompanying notes are an integral part of the unaudited condensed financial statements.

 

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Avista Healthcare Public Acquisition Corp.

CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)

 

 

 

For the Three

 

For the Three

 

 

 

Months Ended

 

Months Ended

 

 

 

March 31, 2017

 

March 31, 2016

 

 

 

 

 

 

 

Cash flows from operating activities:

 

 

 

 

 

Net income/(loss)

 

$

140,863

 

$

(15,550

)

Adjustments to reconcile net income to net cash used in operating activities:

 

 

 

 

 

Change in operating assets and liabilities:

 

 

 

 

 

Accrued interest receivable held in trust account

 

(359,511

)

 

Accounts receivable

 

 

(241

)

Prepaid expenses

 

2,317

 

 

Accrued expenses

 

90,041

 

15,550

 

Net cash used in operating activities:

 

(126,290

)

(241

)

 

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

 

Payment of offering costs

 

(427,578

)

(20,000

)

Net cash used in financing activities:

 

(427,578

)

(20,000

)

Net decrease in cash

 

(553,868

)

(20,241

)

Cash at beginning of period

 

1,040,068

 

126,062

 

Cash at end of period

 

$

486,200

 

$

105,821

 

Supplemental disclosure of non-cash financing activities:

 

 

 

 

 

 

 

Change in ordinary shares subject to possible redemption

 

$

 

140,860

 

$

 

 

 

The accompanying notes are an integral part of the unaudited condensed financial statements.

 

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AVISTA HEALTHCARE PUBLIC ACQUISITION CORP.

NOTES TO CONDENSED FINANCIAL STATEMENTS

 

Note 1—Organization and Plan of Business Operations

 

Organization and General

 

Avista Healthcare Public Acquisition Corp. (the “Company”) was incorporated as a Cayman Islands exempted company on December 4, 2015. The Company was formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses (a “Business Combination”). The Company intends to focus its search for a target business in the healthcare industry, although it may seek to complete a Business Combination with an operating company in any industry or sector. The Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart Our Business Startups Act of 2012 (as amended, the “JOBS Act”). The Company’s sponsor is Avista Acquisition Corp. (the “Sponsor”), which was incorporated on December 4, 2015.

 

At March 31, 2017, the Company had not commenced any operations. All activity through March 31, 2017 relates to the Company’s formation, its initial public offering of 30,000,000 units (the “Units”) at $10.00 per Unit, each consisting of one of the Company’s Class A ordinary shares, par value $0.0001 per share (the “Class A Shares”), and one warrant (the “Warrants”) to purchase one-half of one Class A Share (the “Public Offering”) and efforts directed towards locating a suitable initial Business Combination. The Company also granted the Underwriters (as defined below) of the Public Offering a 45-day option to purchase up to 4,500,000 additional Units to cover over-allotments (the “Over-allotment Option”). The Class A Shares sold as part of the Units in the Public Offering are sometimes referred to herein as the “public shares.” The Company will not generate any operating revenues until after completion of a Business Combination, at the earliest. The Company has selected December 31 as its fiscal year end.

 

Financing

 

The registration statement for the Company’s Public Offering was declared effective by the U.S. Securities and Exchange Commission (the “SEC”) on October 7, 2016. The Public Offering closed on October 14, 2016 (the “Close Date”). The Sponsor and certain other accredited investors (the “Initial Shareholders”) purchased an aggregate of 16,000,000 warrants (the “Private Placement Warrants”) at a purchase price of $0.50 per warrant, or $8,000,000 in the aggregate, in a private placement at the Close Date (the “Private Placement”).

 

On November 28, 2016, the Company consummated the closing of the sale of 1,000,000 Units which were sold pursuant to the Over-allotment Option. The Company also consummated a simultaneous private placement of an additional 400,000 Private Placement Warrants with the Initial Shareholders. Following the closing of the Over-allotment Option and Private Placement, an additional $10,000,000 was placed into the Trust Account, after paying additional underwriting discounts of $200,000.

 

The Company intends to finance a Business Combination with net proceeds from its $310,000,000 Public Offering and $8,200,000 Private Placement (see Note 3). Following the Public Offering, after paying underwriting discounts of $6,200,000 and funds designated for operational use of $2,000,000, the remaining net proceeds of $310,000,000 were deposited in a trust account with Continental Stock Transfer and Trust Company acting as trustee (the “Trust Account”) as described below.

 

The Trust Account

 

On January 6, 2017, the funds in the Trust Account were invested in U.S. government treasury bills, which matured on April 6, 2017. On April 6, 2017, the funds in the Trust Account were reinvested in US government treasury bills, maturing on July 6, 2017, until the earlier of (i) the consummation of the Business Combination and (ii) the Company’s failure to consummate a Business Combination within the prescribed time. Placing funds in the Trust Account may not protect those funds from third-party claims against the Company. Although the Company will seek to have all vendors, service providers (other than its independent auditors), prospective target businesses or other entities it engages execute agreements with the Company waiving any claim of any kind in or to any monies held in the Trust Account, there is no guarantee that such persons will execute such agreements. The Sponsor has agreed that it will be liable to the Company under certain circumstances if and to the extent any claims by such persons reduce the amount of funds in the Trust Account below a specified threshold. The Company has not independently verified whether the Sponsor has sufficient funds to satisfy its indemnity obligations and believes that the Sponsor’s only assets are securities of the Company.

 

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Therefore, the Sponsor may not be able to satisfy those obligations should they arise. The remaining net proceeds (not held in the Trust Account) may be used to pay for business, legal and accounting due diligence on prospective acquisitions and continuing general and administrative expenses as well as any taxes. The balance in the Trust Account as of March 31, 2017 was $310,359,511, of this amount $359,511 was accrued interest.

 

Business Combination

 

The Company’s management has broad discretion with respect to the specific application of the net proceeds of the Public Offering, the sale of the Private Placement Warrants and the Over-allotment Option, although substantially all of the net proceeds are intended to be applied generally toward consummating a Business Combination. There is no assurance that the Company will be able to successfully effect a Business Combination. The Company will provide the holders of the public shares (the “Public Shareholders”) with the opportunity to redeem all or a portion of their public shares upon the completion of the Business Combination, either (i) in connection with a shareholder meeting called to approve the Business Combination or (ii) by means of a tender offer, in either case at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account as of two business days prior to the consummation of the Business Combination, including interest (which interest shall be net of taxes payable) divided by the number of then outstanding public shares. Notwithstanding the foregoing, if the Company seeks shareholder approval of the Business Combination and the Company does not conduct redemptions pursuant to the tender offer rules, a Public Shareholder, together with any affiliate of such shareholder or any other person with whom such shareholder is acting in concert or as a “group” (as defined in Section 13(d)(3) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), will be restricted from redeeming its shares with respect to more than an aggregate of 15% of the public shares. In connection with any shareholder vote required to approve any Business Combination, the Initial Shareholders have agreed (i) to vote any of their respective Ordinary Shares (as defined below) in favor of the Business Combination and (ii) not to redeem any of their Ordinary Shares in connection therewith.

 

The NASDAQ rules require that the Business Combination must be with one or more target businesses that together have an aggregate fair market value equal to at least 80% of the balance in the Trust Account (less any Deferred Commissions (as defined below) and taxes payable on interest earned) at the time of the Company signing a definitive agreement in connection with the Business Combination.

 

If the Company has not completed a Business Combination by October 14, 2018, the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but not more than ten business days thereafter, redeem the public shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest (which interest shall be net of taxes payable, and less up to $50,000 of interest to pay dissolution expenses) divided by the number of then outstanding public shares, which redemption will completely extinguish the rights of the Public Shareholders as Shareholders (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining shareholders and its Board of Directors, dissolve and liquidate, subject in each case to the Company’s obligations under Cayman Islands law to provide for claims of creditors and the requirements of other applicable law. In the event of a liquidation, the Public Shareholders will be entitled to receive a full pro rata interest in the Trust Account (initially anticipated to be approximately $10.00 per share, plus any pro rata interest earned on the Trust Fund not previously released to the Company and less up to $50,000 of interest to pay dissolution expenses). There will be no redemption rights or liquidating distributions with respect to the Founder Shares (as defined below) or the Private Placement Warrants, which will expire worthless if the Company fails to complete a Business Combination within the 24-month time period.

 

Liquidity

 

As of March 31, 2017, the Company had $345,377 in cash held outside of the Trust Account available for working capital purposes.  In order to preserve liquidity, as of April 30, 2017, the affiliate of the Sponsor (the “Affiliate”) has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate.  If needed to finance ongoing operating expenses, the Sponsor may, but is not obligated to, make working capital loans to the Company, as noted in Note 6.

 

Based on the foregoing, management believes that the Company will have sufficient working capital to continue as a going concern.

 

Note 2—Significant Accounting Policies

 

Basis of Presentation

 

The accompanying unaudited condensed financial statements have been prepared in U.S dollars in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted, pursuant to the rules and regulations of the SEC for interim financial reporting. Accordingly, they do not include all of the information and footnotes necessary for a comprehensive presentation of the financial position, results of operations or cash flows. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented.

 

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The accompanying unaudited condensed financial statements should be read in conjunction with the Company’s final prospectus as filed with the SEC on October 10, 2016 and declared effective on October 7, 2016, as well as the Company’s form 8-K, as filed with the SEC on October 20, 2016. Operating results for the three months ended March 31, 2017 are not necessarily indicative of the results that may be expected for the year ending December 31, 2017 or any other future period.

 

Emerging Growth Company

 

Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.

 

Use of Estimates

 

The preparation of the Company’s financial statements in conformity with US GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.

 

Cash and Cash Equivalents

 

The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.

 

Concentration of Credit Risk

 

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in a financial institution, which at times, may exceed the Federal depository insurance coverage of $250,000. The Company has not experienced losses on these accounts and management believes the Company is not exposed to significant risks on such accounts.

 

Financial Instruments

 

The fair value of the Company’s assets and liabilities, which qualify as financial instruments under FASB ASC 820, Fair Value Measurements and Disclosures, approximates the carrying amounts represented in the balance sheet.

 

Fair Value Measurement

 

ASC 820 establishes a fair value hierarchy that prioritizes and ranks the level of observability of inputs used to measure investments at fair value. The observability of inputs is impacted by a number of factors, including the type of investment, characteristics specific to the investment, market conditions and other factors. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements).

 

Investments with readily available quoted prices or for which fair value can be measured from quoted prices in active markets will typically have a higher degree of input observability and a lesser degree of judgment applied in determining fair value.

 

The three levels of the fair value hierarchy under ASC 820 are as follows:

 

Level I — Quoted prices (unadjusted) in active markets for identical investments at the measurement date are used.

 

Level II — Pricing inputs are other than quoted prices included within Level I that are observable for the investment, either directly or indirectly. Level II pricing inputs include quoted prices for similar investments in active markets, quoted prices for identical or similar investments in markets that are not active, inputs other than quoted prices that are observable for the investment, and inputs that are derived principally from or corroborated by observable market data by correlation or other means.

 

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Level III — Pricing inputs are unobservable and include situations where there is little, if any, market activity for the investment. The inputs used in determination of fair value require significant judgment and estimation.

 

In some cases, the inputs used to measure fair value might fall within different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the investment is categorized in its entirety is determined based on the lowest level input that is significant to the investment. Assessing the significance of a particular input to the valuation of an investment in its entirety requires judgment and considers factors specific to the investment. The categorization of an investment within the hierarchy is based upon the pricing transparency of the investment and does not necessarily correspond to the perceived risk of that investment.

 

Offering Costs

 

The Company complies with the requirements of ASC 340-10-S99-1 and SEC Staff Accounting Bulletin Topic 5A; “Expenses of Offering”. The Company incurred offering costs in connection with its Public Offering of $833,589, primarily consisting of accounting and legal services, securities registration expenses and exchange listing fees, and excluding $6,200,000 in underwriting discounts and $10,850,000 in deferred underwriting discounts. These offering costs, along with underwriting discounts, were charged to shareholders’ equity.

 

Net Income Per Share

 

Net income/(loss) per ordinary share is computed by dividing net income attributable to ordinary shares by the weighted average number of ordinary shares outstanding during the period (excluding 29,490,640 Class A Shares subject to possible redemption as of March 31, 2017 and 1,125,000 Class B Shares subject to forfeiture as of March 31, 2016), plus, to the extent dilutive, the incremental number of Class A Shares to settle the Private Placement Warrants and the Warrants included in the Units. At March 31, 2017, the Company had outstanding warrants for the purchase of up to 23,700,000 Class A Shares. For the period ended March 31, 2017, the weighted average of these shares was excluded from the calculation of diluted net income per ordinary share since the exercise of the warrants is contingent on the occurance of future events. As a result, diluted net income per ordinary share is equal to basic net income/(loss) per ordinary share.

 

Income Taxes

 

The Company accounts for income taxes under FASB ASC 740, Income Taxes (“ASC 740”). ASC 740 requires the recognition of deferred tax assets and liabilities for both the expected impact of differences between the financial statement and tax basis of assets and liabilities and for the expected future tax benefit to be derived from tax loss and tax credit carry forwards. ASC 740 additionally requires a valuation allowance to be established when it is more likely than not that all or a portion of deferred tax assets will not be realized.

 

ASC 740 also clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. There were no unrecognized tax benefits as of March 31, 2017. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position.

 

There is currently no taxation imposed on income by the Government of the Cayman Islands.

 

Recent Accounting Pronouncements

 

Management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying balance sheet.

 

Subsequent Events

 

On April 6, 2017, the Company invested the funds held in the Trust Account in U.S. Treasury Bills maturing on July 6, 2017.

 

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Other than the foregoing, management has performed an evaluation of subsequent events from March 31, 2017 through the date which these financial statements were issued. Based upon the review, management did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the financial statements.

 

Note 3—Public Offering

 

In the Public Offering, the Company issued and sold 31,000,000 Units at a price of $10.00 per Unit, including 1,000,000 Units issued upon exercise of the Over-allotment Option. The ordinary shares and warrants comprising the Units began separate trading on November 29, 2016. The holders have the option to continue to hold Units or separate their Units into the component securities. Each Unit consists of one Class A Share and one Warrant to purchase one-half of one Class A Share. Two Warrants must be exercised for one whole Class A Share at a price of $11.50 per share. The Warrants will become exercisable on the later of 30 days after completion of the Business Combination or 12 months after the Close Date and will expire five years from the completion of the Business Combination or earlier upon redemption or liquidation. The Company may redeem the Warrants at a price of $0.01 per Warrant upon 30 days’ notice, only in the event that the last sale price of the Class A Shares is at least $24.00 per share (as adjusted for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like) for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which notice of redemption is given. The Company will not redeem the Warrants unless a registration statement under the Securities Act covering the Class A Shares issuable upon exercise of the Warrants is effective and a current prospectus relating to those shares is available throughout the 30 day redemption period, unless the Warrants may be exercised on a cashless basis and such cashless exercise is exempt from registration under the Securities Act. If the Company redeems the Warrants as described above, management will have the option to require all holders that wish to exercise their Warrants to do so on a cashless basis, provided an exemption from registration is available. No Warrants will be exercisable for cash unless the Company has an effective registration statement covering the Class A Shares issuable upon exercise of the Warrants and a current prospectus relating to such shares. If the shares issuable upon exercise of the Warrants are not registered under the Securities Act, holders will be permitted to exercise their Warrants on a cashless basis. However, no Warrant will be exercisable for cash or on a cashless basis, and the Company will not be obligated to issue any Class A Shares to holders seeking to exercise their Warrants, unless the issuance of the Class A Shares upon such exercise is registered or qualified under the securities laws of the state of the exercising holder, or an exemption is available.

 

Note 4—Commitments

 

Underwriting Agreement

 

The Company entered into an agreement with the underwriters (the “Underwriters”) of the Public Offering (“Underwriting Agreement”) that required the Company to pay an underwriting discount of 2.0% of the gross proceeds of the Public Offering and Over-allotment Option to the Underwriters at the Close Date of the Public Offering. The Company will pay the Underwriters a deferred underwriting discount of 3.5% of the gross proceeds of the Public Offering and Over-allotment Option (“Deferred Commissions”) at the time of the closing of the Business Combination. The Deferred Commission was placed in the Trust Account at the completion of the Public Offering and will be forfeited if the Company is unable to complete a Business Combination in the prescribed time.

 

Registration Rights

 

Holders of the Founder Shares, the Private Placement Warrants, and warrants that may be issued on conversion of working capital loans (and any Class A Shares issuable upon exercise of such warrants and upon conversion of the Founder Shares) will be entitled to registration rights with respect to such securities (in the case of the Founder Shares, only after conversion to Class A Shares) pursuant to an agreement signed on the effective date of the Public Offering. The holders of these securities are entitled to make up to three demands, excluding short form demands, that the Company register such securities for resale. In addition, the holders have certain “piggy-back” registration rights with respect to registration statements filed subsequent to the Business Combination. However, the registration rights agreement will provide that the Company will not permit any registration statement to become effective until termination of applicable lock-up periods with respect to such securities.

 

Note 5—Cash Held in Trust Account

 

Gross proceeds of $310,000,000 and $8,200,000 from the Public Offering and Over-allotment Option, and Private Placement, respectively, less underwriting discounts of $6,200,000 and $2,000,000 designated for offering expenses and to fund the Company’s ongoing administrative and acquisition search costs, were held in the Trust Account at the close date.

 

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On January 6, 2017, funds held in the Trust Account were invested in US Treasury Bills, which are considered Level 1 investments under ASC 820. For the three months ended March 31, 2017, the investments held in the Trust Account generated interest income of $359,511. At March 31, 2017, the balance of funds held in the Trust Account was $310,359,511.

 

Note 6—Related Party Transactions

 

Related Party Loans

 

The Company issued to the Sponsor on December 14, 2015, as amended and restated on September 1, 2016, an unsecured promissory note pursuant to which the Company was permitted to borrow up to $300,000 in aggregate principal amount. Between inception and the Close Date, the Company borrowed $300,000. This note was non-interest bearing and was repaid in full to the Sponsor at the Close Date.

 

The Sponsor may make a working capital loan to the Company and up to $1,500,000 of such loan may be converted into warrants, at the price of $0.50 per warrant at the option of the Sponsor. Such warrants would be identical to the Private Placement Warrants.

 

Administrative Services Agreement

 

The Company presently occupies office space provided by an Affiliate. The Affiliate has agreed that, until the Company consummates a Business Combination, it will make such office space, as well as certain support services, available to the Company, as may be required by the Company from time to time. The Company will pay the Affiliate an aggregate of $10,000 per month for such office space and support services.

 

As of April 30, 2017, the Affiliate has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate.

 

Private Placement Warrants

 

The Initial Shareholders purchased 16,000,000 Private Placement Warrants at $0.50 per warrant (for an aggregate purchase price of $8,000,000) from the Company in a Private Placement on the Close Date. A portion of the proceeds from the sale of the Private Placement Warrants were placed into the Trust Account. The Initial Shareholders have also purchased an additional 400,000 Private Placement Warrants at $0.50 per warrant (for an aggregate purchase price of $200,000) simultaneously with the underwriter’s exercise of the Over-Allotment Option. Each Private Placement Warrant is exercisable for one-half of one Class A Share. Two Private Placement Warrants must be exercised for one whole Class A Share at a price of $11.50 per share. The Private Placement Warrants are identical to the Warrants included in the Units to be sold in the Public Offering except that the Private Placement Warrants: (i) will not be redeemable by the Company and (ii) may be exercised for cash or on a cashless basis, as described in the registration statement relating to the Public Offering, so long as they are held by the Initial Shareholders or any of their permitted transferees. Additionally, the Initial Shareholders have agreed not to transfer, assign or sell any of the Private Placement Warrants, including the Class A Shares issuable upon exercise of the Private Placement Warrants (except to certain permitted transferees), until 30 days after the completion of the Business Combination.

 

Founder Shares

 

In connection with the organization of the Company, on December 14, 2015, an aggregate of 8,625,000 Class B Shares (the “Founder Shares”) were sold to the Sponsor at a price of approximately $0.003 per share, for an aggregate price of $25,000. In October 2016, the Sponsor transferred 50,000 Founder Shares to each of the Company’s independent directors at a price per share of approximately $0.003 per share. In addition, at such time, each of our independent directors purchased an additional 421,250 Founder Shares from our Sponsor at a price per share of approximately $0.003 per share. The 8,625,000 Founder Shares included an aggregate of up to 1,125,000 shares that were subject to forfeiture if the Over-allotment Option was not exercised in full by the Underwriters in order to maintain the Initial Shareholders’ ownership at 20% of the issued and outstanding Ordinary Shares upon completion of the Public Offering. Following the partial exercise of the Over-allotment Option, 875,000 Founder Shares were forfeited in order to maintain the Initial Shareholder’s ownership at 20% of the issued and outstanding Ordinary shares. The Founder Shares are identical to the Class A Shares included in the Units sold in the Public Offering, except that the Founder Shares (i) have the voting rights described in Note 7, (ii) are subject to certain transfer restrictions described below, and (iii) are convertible into Class A Shares on a one-for-one basis, subject to adjustment pursuant to the anti-dilution provisions contained therein. The Founder Shares may not be transferred, assigned or sold until the earlier of (i) one year after the completion of the Business Combination and (ii) the date on which the Company completes a liquidation, merger, share exchange, reorganization or other similar transaction after the Business Combination that results in all of the Public Shareholders having the right to exchange their Class A Shares for cash, securities or other property. Notwithstanding the foregoing, if the last sale price of the Class A Shares equals or exceeds $12.00 per share (as adjusted for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like) for any 20 trading days within any 30 trading day period commencing at least 150 days after the Business Combination, the Founder Shares will be released from the lock-up.

 

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Note 7—Shareholders’ Equity

 

Preferred Shares

 

The Company is authorized to issue 1,000,000 preferred shares with a par value of $0.0001. The Company’s board of directors will be authorized to fix the voting rights, if any, designations, powers, preferences, the relative, participating, optional or other special rights and any qualifications, limitations and restrictions thereof, applicable to the shares of each series. The board of directors will be able to, without shareholder approval, issue preferred shares with voting and other rights that could adversely affect the voting power and other rights of the holders of the Ordinary Shares and could have anti-takeover effects. At March 31, 2017 there were no preferred shares issued or outstanding.

 

Ordinary Shares

 

The Company is authorized to issue 200,000,000 Class A Shares, with a par value of $0.0001 each, and 20,000,000 Class B ordinary shares, with a par value of $0.0001 each (the “Class B Shares” and, together with the Class A Shares, the “Ordinary Shares”). Holders of the Ordinary Shares are entitled to one vote for each Ordinary Share; provided, that only holders of the Class B Shares have the right to vote on the election of directors prior to the Business Combination. The Class B Shares will automatically convert into Class A Shares at the time of the Business Combination, on a one-for-one basis, subject to adjustment for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like, and subject to further adjustment as provided herein. In the case that additional Class A Shares, or equity-linked securities, are issued or deemed issued in excess of the amounts sold in the Public Offering and related to the closing of the Business Combination, the ratio at which the Class B Shares shall convert into Class A Shares will be adjusted (unless the holders of a majority of the outstanding Class B ordinary shares agree to waive such anti-dilution adjustment with respect to any such issuance or deemed issuance) so that the number of Class A Shares issuable upon conversion of all Class B Shares will equal, in the aggregate, 20% of the sum of all Ordinary Shares outstanding upon completion of the Public Offering plus all Class A Shares and equity-linked securities issued or deemed issued in connection with the Business Combination, excluding any Ordinary Shares or equity-linked securities issued, or to be issued, to any seller in the Business Combination. Holders of Founder Shares may also elect to convert their Class B Shares into an equal number of Class A Shares, subject to adjustment as provided above, at any time. At March 31, 2017 there were 31,000,000 Class A Shares issued and outstanding, of which 29,490,640 shares were subject to possible redemption and are classified outside of shareholders’ equity at the balance sheet date and 7,750,000 Class B Shares issued and outstanding.

 

Redeemable Ordinary Shares

 

The Class A Shares subject to possible redemption will be recorded at redemption value and classified as temporary equity in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 480, Distinguishing Liabilities from Equity. The Company will proceed with a Business Combination only if it has net tangible assets of at least $5,000,001 upon consummation of the Business Combination and, in the case of a shareholder vote, a majority of the outstanding Ordinary Shares voted are voted in favor of the Business Combination. Accordingly, at March 31, 2017, 29,490,640 of the Company’s 31,000,000 Class A Shares were classified outside of permanent equity at their redemption value.

 

Item 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

 

References in this report (this “Quarterly Report”) to “we,” “us” or the “Company” refer to Avista Healthcare Public Acquisition Corp.  References to our “management” or our “management team” refer to our officers and directors, and references to the “sponsor” refer to Avista Acquisition Corp.  The following discussion and analysis of the Company’s financial condition and results of operations should be read in conjunction with the condensed financial statements and the notes thereto contained elsewhere in this Quarterly Report.  Certain information contained in the discussion and analysis set forth below includes forward-looking statements. Our actual results may differ materially from those anticipated in these forward-looking statements as a result of many factors, including those set forth under “Special Note Regarding Forward-Looking Statements,” “Item 1A. Risk Factors” and elsewhere in this Quarterly Report.

 

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Special Note regarding Forward-Looking Statements

 

This Quarterly Report on Form 10-Q contains statements that are forward-looking and as such are not historical facts. This includes, without limitation, statements under “Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations” regarding the Company’s financial position, business strategy and the plans and objectives of management for future operations. These statements constitute projections, forecasts and forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of performance. They involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by these statements. Such statements can be identified by the fact that they do not relate strictly to historical or current facts. When used in this Quarterly Report on Form 10-Q, words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. When the Company discusses its strategies or plans, it is making projections, forecasts or forward-looking statements. Such statements are based on the beliefs of, as well as assumptions made by and information currently available to, the Company’s management. Actual results and shareholders’ value will be affected by a variety of risks and factors, including, without limitation, international, national and local economic conditions, merger, acquisition and business combination risks, financing risks, geo-political risks, acts of terror or war, and those risk factors described under “Item 1A. Risk Factors.” Many of the risks and factors that will determine these results and shareholders’ value are beyond the Company’s ability to control or predict.

 

All such forward-looking statements speak only as of the date of this Quarterly Report on Form 10-Q. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. All subsequent written or oral forward-looking statements attributable to us or persons acting on the Company’s behalf are qualified in their entirety by this Special Note Regarding Forward-Looking Statements.

 

Overview

 

We are a blank check company incorporated as a Cayman Islands exempted company and formed for the purpose of effecting a Business Combination in the form of a merger, share exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more target businesses.  We have reviewed, and continue to review, a number of opportunities to enter into a Business Combination with an operating business, but we are not able to determine at this time whether we will complete a Business Combination with any of the businesses that we have reviewed or with any other target business.  We intend to effectuate a Business Combination using cash from the proceeds from the Public Offering and the sale of the Private Placement Warrants, and from additional issuances of, if any, our capital stock and debt or a combination of cash, stock and debt. At March 31, 2017, we held cash of $486,200, had current liabilities of $140,823 and deferred underwriting compensation of $10,850,000. Further, we expect to continue to incur significant costs in the pursuit of our acquisition plans. We cannot assure you that our plans to complete a Business Combination will be successful.

 

Results of Operations

 

For the three months ended March 31, 2017 we had net income of $140,863, which consisted of interest income from the trust account of $359,511 and operating costs of $218,648. For the three months ended March 31, 2016 we had a loss of $15,550. Our business activities for the three months ended March 31, 2017 consisted solely of identifying and evaluating prospective acquisition targets for a Business Combination. We will not generate any operating revenues until after completion of our Business Combination at the earliest. Starting in January 2017, we began generating non-operating income in the form of interest income on the funds held in the Trust Account. There has been no significant change in our financial or trading position and no material adverse change has occurred since the date of our financial statements. We incur expenses as a result of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence expenses related to our acquisition plans. We believe that we have sufficient funds available to complete our efforts to effect a Business Combination with an operating business by October 14, 2018, which is 24 months from the closing of the Public Offering.

 

Liquidity and Capital Resources

 

As of March 31, 2017 we had cash of $486,200 and $345,377 available for working capital purposes.

 

At March 31, 2017, $310,359,511 was held in the Trust Account and consisted of cash, U.S. Treasury Bills and

 

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accrued interest.  The U.S. Treasury Bills matured on April 6, 2017.

 

On December 14, 2015, our Sponsor purchased 8,625,000 Founder Shares for an aggregate purchase price of $25,000, or approximately $0.003 per share. In October 2016, our Sponsor transferred 50,000 Founder Shares to each of our independent directors at their original per share purchase price. In addition, at such time, each of our independent directors purchased an additional 421,250 Founder Shares from our Sponsor at their original purchase price.

 

On October 14, 2016, the Company consummated its Public Offering of 30,000,000 Units, each unit consisting of one Class A ordinary share and one Warrant to purchase one-half of one Class A ordinary share. The Units were sold at an offering price of $10.00 per Unit, generating gross proceeds of $300,000,000. The Company granted the underwriters a 45-day option to purchase up to 4,500,000 additional Units to cover over-allotments, if any. On November 28, 2016, the underwriters partially exercised the Over-allotment Option, and we sold an additional 1,000,000 Units at a price of $10.00 per Unit, generating an additional $10,000,000 of gross proceeds.

 

On October 14, 2016, simultaneously with the consummation of the Public Offering, the Company completed a private placement of an aggregate of 16,000,000 Private Placement Warrants to the Sponsor and the Company’s independent directors, at a purchase price of $0.50 per warrant, generating gross proceeds of $8,000,000. On November 28, 2016, the Initial Shareholders purchased an additional 400,000 Private Placement Warrants at a price of $0.50 per warrant (or an aggregate purchase price of $200,000) in conjunction with the exercise of the Over-allotment Option. Following the partial exercise of the Over-allotment Option, 875,000 Founder Shares were forfeited in order to maintain the ownership of the Initial Shareholders at 20% of the issued and outstanding ordinary shares. On November 28, 2016, our Sponsor sold 161,180 Founder Shares and 350,114 Private Placement Warrants to one of our independent directors at their original purchase price.

 

A total of $310,000,000 of the net proceeds from the Public Offering and the sale of the Private Placement Warrants was deposited in the Trust Account established for the benefit of the Company’s public shareholders. Remaining proceeds of approximately $2,000,000 were used to repay the sponsor note and accrued offering and formation costs, and the remainder was deposited in the Company’s operating account and is available for working capital purposes.

 

We intend to use substantially all of the funds held in the Trust Account, including any amounts representing interest earned on the Trust Account (which interest shall be net of taxes payable and excluding deferred underwriting commissions) to complete our Business Combination. We may withdraw interest to pay taxes, if any. Our annual income tax obligations will depend on the amount of interest and other income earned on the amounts held in the Trust Account.  To the extent that our ordinary shares or debt is used, in whole or in part, as consideration to complete our Business Combination, the remaining proceeds held in the Trust Account will be used as working capital to finance the operations of the target business or businesses, make other acquisitions and pursue our growth strategies.

 

We will use the funds held outside the Trust Account primarily to identify and evaluate target businesses, perform business due diligence on prospective target businesses, travel to and from the offices, plants or similar locations of prospective target businesses or their representatives or owners, review corporate documents and material agreements of prospective target businesses, structure, negotiate and complete a Business Combination, and to pay taxes to the extent the interest earned on the Trust Account is not sufficient to pay our taxes. Such expenses may be significant, and we expect that a portion of these expenses will be paid upon completion of a Business Combination.

 

In order to fund working capital deficiencies or finance transaction costs in connection with an intended Business Combination, our sponsor or an Affiliate or certain of our officers and directors may, but are not obligated to, loan us funds as may be required. If we complete our Business Combination, we would repay such loaned amounts. In the event that our Business Combination does not close, we may use a portion of the working capital held outside the Trust Account to repay such loaned amounts but no proceeds from our Trust Account would be used for such repayment. Up to $1,500,000 of such loans may be convertible into warrants at a price of $0.50 per warrant at the option of the lender. The warrants would be identical to the Private Placement Warrants issued to our Initial Shareholders. The terms of such loans by our officers and directors, if any, have not been determined and no written agreements exist with respect to such loans. We do not expect to seek loans from parties other than our Sponsor or an Affiliate as we do not believe third parties will be willing to loan such funds and provide a waiver against any and all rights to seek access to funds in our Trust Account.

 

In order to preserve liquidity, as of April 30, 2017, the Affiliate has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate. We do not believe we will need to raise additional funds during the next 12 months in order to meet the expenditures required for operating our business. However, if our estimates of the costs of identifying a target business, undertaking in-depth due diligence and negotiating a Business Combination are less than the actual amount necessary to do so, we may have insufficient funds available to operate our business prior to our Business Combination. Moreover, we may need to obtain

 

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additional financing either to complete our Business Combination or because we become obligated to redeem a significant number of our Public Shares upon completion of a Business Combination, in which case we may issue additional securities or incur debt in connection with such Business Combination.

 

We have 24 months after the Close Date to complete a Business Combination. If we do not complete a Business Combination within this time period, we shall (i) cease all operations except for the purposes of winding up, (ii) as promptly as reasonably possible, but not more than ten business days thereafter, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest, net of tax (less up to $50,000 of such net interest to pay dissolution expenses), divided by the number of then outstanding Public Shares, which redemption will completely extinguish the shareholder rights of owners of Class A ordinary shares (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining shareholders and the board of directors, dissolve and liquidate, subject in each case to the Company’s obligations under Cayman Islands law to provide for claims of creditors and the requirements of other applicable law.

 

Off-Balance Sheet Financing Arrangements

 

As of March 31, 2017, we did not have any obligations, assets or liabilities which would be considered off-balance sheet arrangements.  We do not participate in transactions that create relationships with unconsolidated entities or financial partnerships, often referred to as variable interest entities, which would have been established for the purpose of facilitating off-balance sheet arrangements.  We have not entered into any off-balance sheet financing arrangements, established any special purpose entities, guaranteed any debt or commitments of other entities, or purchased any non-financial assets.

 

Contractual Obligations

 

As of March 31, 2017, we did not have any long-term debt, capital lease obligations, operating lease obligations or long-term liabilities.  On October 10, 2016, we entered into an administrative services agreement pursuant to which have agreed to pay an Affiliate a total of $10,000 per month for office space, administrative and support services.  Upon completion of a Business Combination or our liquidation, we will cease paying these monthly fees. We paid an Affiliate $30,000 for such services for the three months ended March 31, 2017. In order to preserve liquidity, as of April 30, 2017, the Affiliate has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate.

 

The underwriters are entitled to underwriting commissions of 5.5%, of which 2.0% ($6,200,000) was paid at the closing of the Public Offering and Over-allotment Option, and 3.5% ($10,850,000) was deferred.  The deferred underwriting commissions held in the Trust Account will be forfeited in the event we do not complete a Business Combination, subject to the terms of the underwriting agreement. The underwriters are not entitled to any interest accrued on the deferred underwriting commissions.

 

Critical Accounting Policies

 

The preparation of condensed financial statements and related disclosures in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the condensed financial statements, and income and expenses during the periods reported.  Actual results could materially differ from those estimates.  The Company has identified the following as its critical accounting policies:

 

Offering Costs

 

The Company complies with the requirements of Accounting Standards Codification (“the ASC”) 340-10-S99-1 and SEC Staff Accounting Bulletin (SAB) Topic 5A — “Expenses of Offering”.  We incurred offering costs in connection with the Public Offering of $833,589, primarily consisting of accounting and legal services, securities registration expenses and exchange listing fees. These costs, along with paid and deferred underwriting commissions totaling $17,050,000, were charged to additional paid-in capital at the Close Date.

 

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Redeemable Ordinary Shares

 

The Class A ordinary shares subject to possible redemption will be recorded at redemption value and classified as temporary equity in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 480, Distinguishing Liabilities from Equity. The Company will proceed with a Business Combination only if it has net tangible assets of at least $5,000,001 upon consummation of the Business Combination and, in the case of a shareholder vote, a majority of the outstanding ordinary shares voted are voted in favor of the Business Combination. Accordingly, at March 31, 2017, 29,490,640 of the Company’s 31,000,000 Class A ordinary shares were classified outside of permanent equity at their redemption value.

 

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

 

All activity through March 31, 2017 related to our formation and the preparation for the Public Offering and identifying and evaluating prospective acquisition targets for a Business Combination.  On January 6, 2017, the net proceeds of the Public Offering and the sale of the Private Placement Warrants held in the Trust Account were invested in U.S. government treasury bills with a maturity of 180 days or less. Due to the short-term nature of these investments, we believe there will be no associated material exposure to interest rate risk. For the three months ended March 31, 2017, the effective annualized interest rate earned on our US Treasury Bills investment was 0.508%

 

At March 31, 2017, $310,359,511 was held in the Trust Account for the purposes of consummating a Business Combination. If we complete a Business Combination within 24 months after the Close Date, funds in the Trust Account will be used to pay for the Business Combination, redemptions of Class A ordinary shares, if any, the deferred underwriting compensation of $10,850,000 and accrued expenses related to the Business Combination. Any funds remaining will be made available to us to provide working capital to finance our operations.

 

We have not engaged in any hedging activities since our inception. We do not expect to engage in any hedging activities with respect to the market risk to which we are exposed.

 

ITEM 4. CONTROLS AND PROCEDURES

 

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Securities Exchange Act of 1934 as amended (the “Exchange Act”) is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms.  Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in Company reports filed or submitted under the Exchange Act is accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosure.

 

Evaluation of Disclosure Controls and Procedures

 

As required by Rules 13a-15 and 15d-15 under the Exchange Act, our Chief Executive Officer and Chief Financial Officer carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures as of March 31, 2017.  Based upon their evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures (as defined in Rules 13a-15 (e) and 15d-15 (e) under the Exchange Act) were effective.

 

Changes in Internal Control Over Financial Reporting

 

During the most recently completed fiscal quarter, there has been no change in our internal control over financial reporting that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

 

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Part II — Other Information

 

ITEM 1. LEGAL PROCEEDINGS

 

None.

 

ITEM 1A. RISK FACTORS

 

Factors that could cause our actual results to differ materially from those in this report are any of the risks disclosed in our Annual Report on Form 10-K for the year ended December 31, 2016, which was filed with the SEC on March 28, 2017. Any of these factors could result in a significant or material adverse effect on our results of operations or financial condition. Additional risk factors not presently known to us or that we currently deem immaterial may also impair our business or results of operations.

 

As of the date of this Quarterly Report on Form 10-Q, there have been no material changes to the risk factors disclosed in our Annual Report on Form 10-K for the year ended December 31, 2016, which was filed with the SEC on March 28, 2017.  However, we may disclose changes to such factors or disclose additional factors from time to time in our future filings with the SEC.

 

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

 

On December 14, 2015 our Sponsor purchased 8,625,000 Class B ordinary shares for $25,000, or approximately $0.003 per share. In October 2016, the Sponsor transferred 50,000 Founder Shares to each of the Company’s independent directors at a price per share of approximately $0.003 per share. In addition, at such time, each of our independent directors purchased an additional 421,250 Founder Shares from our Sponsor at a price per share of approximately $0.003 per share.

 

Simultaneously with the consummation of our Public Offering, the Initial Shareholders purchased from the Company an aggregate of 16,000,000 Private Placement Warrants at a price of $0.50 per Private Placement Warrant (or an aggregate purchase price of $8,000,000). On November 28, 2016, the Initial Shareholders purchased an additional 400,000 Private Placement Warrants at a price of $0.50 per warrant (or an aggregate purchase price of $200,000) in conjunction with the exercise of the Over-allotment Option. Following the partial exercise of the Over-allotment Option, 875,000 Founder Shares were forfeited in order to maintain the Initial Shareholder’s ownership at 20% of the issued and outstanding ordinary shares. On November 28, 2016, our Sponsor sold 161,180 Founder Shares and 350,114 Private Placement Warrants to one of our independent directors at their original per share purchase price. Each Private Placement Warrant entitles the holder to purchase one-half of one Class A ordinary share at $5.75 per one-half share. The Private Placement Warrants have terms and provisions that are identical to those of the Warrants sold as part of the Units in the Public Offering, except that the Private Placement Warrants may be exercised on a cashless basis and are not redeemable by us so long as they are held by the Initial Shareholders or their permitted transferees.

 

The sales of the above securities by the Company were deemed to be exempt from registration under the Securities Act, in reliance on Section 4(a)(2) of the Securities Act as transactions by an issuer not involving a public offering.

 

Use of Proceeds from the Offering

 

On October 14, 2016, we consummated our Public Offering of 30,000,000 Units at a price of $10.00 per Unit. Our Public Offering did not terminate before all of the securities registered in our registration statement were sold. Credit Suisse Securities (USA) LLC and I-Bankers Securities, Inc. acted as underwriters for the offering. The securities sold in the offering were registered under the Securities Act on a registration statement on Form S-1 (File No. 333-213465). The SEC declared the registration statement effective on October 7, 2016. On November 28, 2016, the Underwriters partially exercised the Over-allotment Option, and we sold an additional 1,000,000 Units at a price of $10.00 per Unit.

 

From Inception through March 31, 2017, we incurred $833,589 for costs and expenses related to the Public Offering. Additionally, at the closing of the Public Offering and Over-allotment Option, we paid a total of $6,200,000 in underwriting discounts and commissions. In addition, the underwriters agreed to defer the payment of $10,850,000 in underwriting discounts and commissions, which amount will be payable upon consummation of our Business Combination, if consummated. Prior to the closing of the Public Offering, our Sponsor loaned us $300,000 to be used for a portion of the expenses of the Public Offering. These loans were repaid upon completion of the Public Offering out of the $900,000 of Public Offering proceeds that were allocated for the payment of offering expenses other than underwriting discounts and commissions. Other than such loans, no payments were made by

 

17



Table of Contents

 

us to directors, officers or persons owning ten percent or more of our ordinary shares or to their associates, or to our affiliates. There has been no material change in the planned use of proceeds from the Public Offering as described in our final prospectus, dated October 10, 2016, filed with the SEC.

 

After deducting the underwriting discounts and commissions (excluding the deferred portion of $10,850,000 in underwriting commissions, which amount will be payable upon consummation of the Business Combination, if consummated) and the estimated offering expenses, the total net proceeds from the Public Offering and the sale of the Private Placement Warrants were $311,166,411, of which $310,000,000 (or $10.00 per share sold in the Public Offering) was placed in the Trust Account.

 

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

 

None.

 

ITEM 4. MINE SAFETY DISCLOSURES

 

Not applicable.

 

ITEM 5. OTHER INFORMATION

 

None.

 

ITEM 6. Exhibits

 

The following exhibits are filed as part of, or incorporated by reference into, this Quarterly Report on Form 10-Q.

 

Exhibit
Number

 

Description

31.1*

 

Certification of Chief Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2*

 

Certification of Chief Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1*

 

Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2*

 

Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS*

 

XBRL Instance Document

101.SCH*

 

XBRL Taxonomy Extension Schema Document

101.CAL*

 

XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF*

 

XBRL Taxonomy Extension Definition Linkbase Document

101.LAB*

 

XBRL Taxonomy Extension Label Linkbase Document

101.PRE*

 

XBRL Taxonomy Extension Presentation Linkbase Document

 


*              Filed herewith.

 

18



Table of Contents

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

Avista Healthcare Public Acquisition Corp.

 

 

 

Date: May 12, 2017

By:

/s/ David Burgstahler

 

 

David Burgstahler

 

 

Chief Executive Officer (Principal Executive Officer)

 

 

 

Date: May 12, 2017

By:

/s/ John Cafasso

 

 

John Cafasso

 

 

Chief Financial Officer (Principal Financial and Accounting Officer)

 

19



Table of Contents

 

Exhibit Index

 

Exhibit
Number

 

Description

31.1*

 

Certification of Chief Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2*

 

Certification of Chief Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1*

 

Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2*

 

Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS*

 

XBRL Instance Document

101.SCH*

 

XBRL Taxonomy Extension Schema Document

101.CAL*

 

XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF*

 

XBRL Taxonomy Extension Definition Linkbase Document

101.LAB*

 

XBRL Taxonomy Extension Label Linkbase Document

101.PRE*

 

XBRL Taxonomy Extension Presentation Linkbase Document

 


*        Filed herewith.

 

20


EX-31.1 2 a17-8939_1ex31d1.htm EX-31.1

Exhibit 31.1

 

CERTIFICATION

 

I, David Burgstahler, certify that:

 

1. I have reviewed this Quarterly Report on Form 10-Q of Avista Healthcare Public Acquisition Corp.;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statement made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:

 

(a)   Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b)   [omitted];

 

(c)   Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d)   Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

 

(a)   All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

(b)   Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

 

Date: May 12, 2017

 

 

 

 

 

 

/s/ David Burgstahler

 

David Burgstahler

 

President and Chief Executive Officer

 


 

EX-31.2 3 a17-8939_1ex31d2.htm EX-31.2

Exhibit 31.2

 

CERTIFICATION

 

I, John Cafasso, certify that:

 

1. I have reviewed this Quarterly Report on Form 10-Q of Avista Healthcare Public Acquisition Corp.;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statement made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:

 

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b) [omitted];

 

(c)  Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

 

(a) All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

 

Date: May 12, 2017

 

 

 

 

/s/ John Cafasso

 

John Cafasso

 

Chief Financial Officer

 


EX-32.1 4 a17-8939_1ex32d1.htm EX-32.1

Exhibit 32.1

 

CERTIFICATION PURSUANT TO

 

18 U.S.C. 1350

 

(SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002)

 

I, David Burgstahler, President and Chief Executive Officer of Avista Healthcare Public Acquisition Corp. (the “Company”), certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350, that, to the best of my knowledge:

 

(1) the Quarterly Report on Form 10-Q of the Company for the quarterly period ended March 31, 2017 (the “Report”) fully complies with the requirements of Section 13 (a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and

 

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

Date: May 12, 2017

 

 

 

 

 

 

/s/ David Burgstahler

 

David Burgstahler

 

President and Chief Executive Officer

 

The foregoing certification is being furnished solely pursuant to 18 U.S.C. 1350 (as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002) and is not being filed as part of the Report or as a separate disclosure document.

 


EX-32.2 5 a17-8939_1ex32d2.htm EX-32.2

Exhibit 32.2

 

CERTIFICATION PURSUANT TO

 

18 U.S.C. 1350

 

(SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002)

 

I, John Cafasso, Chief Financial Officer of Avista Healthcare Public Acquisition Corp. (the “Company”), certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350, that, to the best of my knowledge:

 

(1) the Quarterly Report on Form 10-Q of the Company for the quarterly period ended March 31, 2017 (the “Report”) fully complies with the requirements of Section 13 (a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and

 

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

Date: May 12, 2017

 

 

 

 

 

 

/s/ John Cafasso

 

John Cafasso

 

Chief Financial Officer

 

The foregoing certification is being furnished solely pursuant to 18 U.S.C. 1350 (as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002) and is not being filed as part of the Report or as a separate disclosure document.

 


 

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However, no Warrant will be exercisable for cash or on a cashless basis, and the Company will not be obligated to issue any Class&nbsp;A Shares to holders seeking to exercise their Warrants, unless the issuance of the Class&nbsp;A Shares upon such exercise is registered or qualified under the securities laws of the state of the exercising holder, or an exemption is available.</font> </p><div /></div> </div> 0.15 P2D P1Y 1125000 1125000 31000000 31000000 31000000 310000000 1000000 30000000 310000000 310000000 10000000 2000000 10.00 10.00 10.00 P30D P20D P10D false --12-31 Q1 2017 2017-03-31 10-Q 0001661181 31000000 7750000 Yes Non-accelerated Filer Avista Healthcare Public Acquisition Corp. 10000 50782 140823 5232937 5092075 23700000 311435911 311239237 1435911 879726 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Basis of Presentation</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The accompanying unaudited condensed financial statements have been prepared in U.S dollars in accordance with accounting principles generally accepted in the United States of America (&#x201C;US GAAP&#x201D;) for interim financial information and in accordance with the instructions to Form&nbsp;10-Q and Article&nbsp;10 of Regulation S-X of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted, pursuant to the rules&nbsp;and regulations of the SEC for interim financial reporting. Accordingly, they do not include all of the information and footnotes necessary for a comprehensive presentation of the financial position, results of operations or cash flows. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The accompanying unaudited condensed financial statements should be read in conjunction with the Company&#x2019;s final prospectus as filed with the SEC on October&nbsp;10, 2016 and declared effective on October&nbsp;7, 2016, as well as the Company&#x2019;s form 8-K, as filed with the SEC on October&nbsp;20, 2016. Operating results for the three months ended March&nbsp;31, 2017 are not necessarily indicative of the results that may be expected for the year ending December&nbsp;31, 2017 or any other future period.</font> </p><div /></div> </div> 126062 105821 1040068 486200 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-size:10pt;">Note&nbsp;5&#x2014;Cash Held in Trust Account</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Gross proceeds of $310,000,000 and $8,200,000 from the Public Offering and Over-allotment Option, and Private Placement, respectively, less underwriting discounts of $6,200,000 and $2,000,000 designated for offering expenses and to fund the Company&#x2019;s ongoing administrative and acquisition search costs, were held in the Trust Account at the close date.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">On January&nbsp;6, 2017, funds held in the Trust Account were invested in US Treasury Bills, which are considered Level 1 investments under ASC 820. For the three months ended March&nbsp;31, 2017, the investments held in the Trust Account generated interest income of $359,511. At March&nbsp;31, 2017, the balance of funds held in the Trust Account was $310,359,511.</font> </p><div /></div> </div> <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Cash and Cash Equivalents</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.</font> </p><div /></div> </div> 11.50 11.50 0.5 0.5 0.5 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-size:10pt;">Note&nbsp;4&#x2014;Commitments</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Underwriting Agreement</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company entered into an agreement with the underwriters (the &#x201C;Underwriters&#x201D;) of the Public Offering (&#x201C;Underwriting Agreement&#x201D;) that required the Company to pay an underwriting discount of 2.0% of the gross proceeds of the Public Offering and Over-allotment Option to the Underwriters at the Close Date of the Public Offering. The Company will pay the Underwriters a deferred underwriting discount of 3.5% of the gross proceeds of the Public Offering and Over-allotment Option (&#x201C;Deferred Commissions&#x201D;) at the time of the closing of the Business Combination. The Deferred Commission was placed in the Trust Account at the completion of the Public Offering and will be forfeited if the Company is unable to complete a Business Combination in the prescribed time.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Registration Rights</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Holders of the Founder Shares, the Private Placement Warrants, and warrants that may be issued on conversion of working capital loans (and any Class&nbsp;A Shares issuable upon exercise of such warrants and upon conversion of the Founder Shares) will be entitled to registration rights with respect to such securities (in the case of the Founder Shares, only after conversion to Class&nbsp;A Shares) pursuant to an agreement signed on the effective date of the Public Offering. The holders of these securities are entitled to make up to three demands, excluding short form demands, that the Company register such securities for resale. In addition, the holders have certain &#x201C;piggy-back&#x201D; registration rights with respect to registration statements filed subsequent to the Business Combination. However, the registration rights agreement will provide that the Company will not permit any registration statement to become effective until termination of applicable lock-up periods with respect to such securities.</font> </p><div /></div> </div> 0.0001 0.0001 0.0001 0.0001 0.0001 0.0001 0.0001 0.0001 220000000 200000000 20000000 220000000 200000000 20000000 8625000 50000 1489245 7750000 1509360 7750000 1489245 7750000 1509360 7750000 25000 149 775 151 775 one vote <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Concentration of Credit Risk</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in a financial institution, which at times, may exceed the Federal depository insurance coverage of $250,000. The Company has not experienced losses on these accounts and management believes the Company is not exposed to significant risks on such accounts.</font> </p><div /></div> </div> 1500000 0.50 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Offering Costs</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company complies with the requirements of ASC 340-10-S99-1 and SEC Staff Accounting Bulletin Topic 5A; &#x201C;Expenses of Offering&#x201D;. The Company incurred offering costs in connection with its Public Offering of $833,589, primarily consisting of accounting and legal services, securities registration expenses and exchange listing fees, and excluding $6,200,000 in underwriting discounts and $10,850,000 in deferred underwriting discounts. These offering costs, along with underwriting discounts, were charged to shareholders&#x2019; equity.</font> </p><div /></div> </div> 0.00 0.02 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Net Income Per Share</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Net income/(loss) per ordinary share is computed by dividing net income attributable to ordinary shares by the weighted average number of ordinary shares outstanding during the period (excluding 29,490,640 Class&nbsp;A Shares subject to possible redemption as of March&nbsp;31, 2017 and 1,125,000 Class B Shares subject to forfeiture as of March 31, 2016), plus, to the extent dilutive, the incremental number of Class&nbsp;A Shares to settle the Private Placement Warrants and the Warrants included in the Units. At March&nbsp;31, 2017, the Company had outstanding warrants for the purchase of up to 23,700,000 Class&nbsp;A Shares. For the period ended March&nbsp;31, 2017, the weighted average of these shares was excluded from the calculation of diluted net income per ordinary share since the exercise of the warrants is contingent on the occurance of future events. As a result, diluted net income per ordinary share is equal to basic net income/(loss) per ordinary share.</font> </p><div /></div> </div> <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Fair Value Measurement</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">ASC 820 establishes a fair value hierarchy that prioritizes and ranks the level of observability of inputs used to measure investments at fair value. The observability of inputs is impacted by a number of factors, including the type of investment, characteristics specific to the investment, market conditions and other factors. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements).</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Investments with readily available quoted prices or for which fair value can be measured from quoted prices in active markets will typically have a higher degree of input observability and a lesser degree of judgment applied in determining fair value.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The three levels of the fair value hierarchy under ASC 820 are as follows:</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Level I &#x2014; Quoted prices (unadjusted) in active markets for identical investments at the measurement date are used.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Level II &#x2014; Pricing inputs are other than quoted prices included within Level I that are observable for the investment, either directly or indirectly. Level II pricing inputs include quoted prices for similar investments in active markets, quoted prices for identical or similar investments in markets that are not active, inputs other than quoted prices that are observable for the investment, and inputs that are derived principally from or corroborated by observable market data by correlation or other means.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Level III &#x2014; Pricing inputs are unobservable and include situations where there is little, if any, market activity for the investment. The inputs used in determination of fair value require significant judgment and estimation.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">In some cases, the inputs used to measure fair value might fall within different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the investment is categorized in its entirety is determined based on the lowest level input that is significant to the investment. Assessing the significance of a particular input to the valuation of an investment in its entirety requires judgment and considers factors specific to the investment. The categorization of an investment within the hierarchy is based upon the pricing transparency of the investment and does not necessarily correspond to the perceived risk of that investment.</font> </p><div /></div> </div> <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Financial Instruments</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The fair value of the Company&#x2019;s assets and liabilities, which qualify as financial instruments under FASB ASC 820, </font><font style="display:inline;font-family:Times New Roman,Times,serif;font-style:italic;font-size:10pt;">Fair Value Measurements and Disclosures</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">, approximates the carrying amounts represented in the balance sheet.</font> </p><div /></div> </div> 250000 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Income Taxes</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company accounts for income taxes under FASB ASC 740,&nbsp;</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-style:italic;font-size:10pt;">Income Taxes</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;"> (&#x201C;ASC 740&#x201D;). ASC&nbsp;740 requires the recognition of deferred tax assets and liabilities for both the expected impact of differences between the financial statement and tax basis of assets and liabilities and for the expected future tax benefit to be derived from tax loss and tax credit carry forwards. ASC 740 additionally requires a valuation allowance to be established when it is more likely than not that all or a portion of deferred tax assets will not be realized.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">ASC 740 also clarifies the accounting for uncertainty in income taxes recognized in an enterprise&#x2019;s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. There were no unrecognized tax benefits as of March&nbsp;31, 2017. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">There is currently no taxation imposed on income by the Government of the Cayman Islands.</font> </p><div /></div> </div> 241 359511 15550 90041 -2317 359511 359511 11328360 10990823 311435911 311239237 478360 140823 300000 -20241 -553868 -20000 -427578 -241 -126290 -15550 140863 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Recent Accounting Pronouncements</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying balance sheet.</font> </p><div /></div> </div> 15550 218648 -15550 -218648 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-size:10pt;">Note&nbsp;2&#x2014;Significant Accounting Policies</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Basis of Presentation</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The accompanying unaudited condensed financial statements have been prepared in U.S dollars in accordance with accounting principles generally accepted in the United States of America (&#x201C;US GAAP&#x201D;) for interim financial information and in accordance with the instructions to Form&nbsp;10-Q and Article&nbsp;10 of Regulation S-X of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted, pursuant to the rules&nbsp;and regulations of the SEC for interim financial reporting. Accordingly, they do not include all of the information and footnotes necessary for a comprehensive presentation of the financial position, results of operations or cash flows. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The accompanying unaudited condensed financial statements should be read in conjunction with the Company&#x2019;s final prospectus as filed with the SEC on October&nbsp;10, 2016 and declared effective on October&nbsp;7, 2016, as well as the Company&#x2019;s form 8-K, as filed with the SEC on October&nbsp;20, 2016. Operating results for the three months ended March&nbsp;31, 2017 are not necessarily indicative of the results that may be expected for the year ending December&nbsp;31, 2017 or any other future period.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Emerging Growth Company</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Section&nbsp;102(b)(1)&nbsp;of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Use of Estimates</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The preparation of the Company&#x2019;s financial statements in conformity with US&nbsp;GAAP requires the Company&#x2019;s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Cash and Cash Equivalents</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Concentration of Credit Risk</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in a financial institution, which at times, may exceed the Federal depository insurance coverage of $250,000. The Company has not experienced losses on these accounts and management believes the Company is not exposed to significant risks on such accounts.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Financial Instruments</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The fair value of the Company&#x2019;s assets and liabilities, which qualify as financial instruments under FASB ASC 820, </font><font style="display:inline;font-family:Times New Roman,Times,serif;font-style:italic;font-size:10pt;">Fair Value Measurements and Disclosures</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">, approximates the carrying amounts represented in the balance sheet.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Fair Value Measurement</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">ASC 820 establishes a fair value hierarchy that prioritizes and ranks the level of observability of inputs used to measure investments at fair value. The observability of inputs is impacted by a number of factors, including the type of investment, characteristics specific to the investment, market conditions and other factors. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements).</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Investments with readily available quoted prices or for which fair value can be measured from quoted prices in active markets will typically have a higher degree of input observability and a lesser degree of judgment applied in determining fair value.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The three levels of the fair value hierarchy under ASC 820 are as follows:</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Level I &#x2014; Quoted prices (unadjusted) in active markets for identical investments at the measurement date are used.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Level II &#x2014; Pricing inputs are other than quoted prices included within Level I that are observable for the investment, either directly or indirectly. Level II pricing inputs include quoted prices for similar investments in active markets, quoted prices for identical or similar investments in markets that are not active, inputs other than quoted prices that are observable for the investment, and inputs that are derived principally from or corroborated by observable market data by correlation or other means.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Level III &#x2014; Pricing inputs are unobservable and include situations where there is little, if any, market activity for the investment. The inputs used in determination of fair value require significant judgment and estimation.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">In some cases, the inputs used to measure fair value might fall within different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the investment is categorized in its entirety is determined based on the lowest level input that is significant to the investment. Assessing the significance of a particular input to the valuation of an investment in its entirety requires judgment and considers factors specific to the investment. The categorization of an investment within the hierarchy is based upon the pricing transparency of the investment and does not necessarily correspond to the perceived risk of that investment.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Offering Costs</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company complies with the requirements of ASC 340-10-S99-1 and SEC Staff Accounting Bulletin Topic 5A; &#x201C;Expenses of Offering&#x201D;. The Company incurred offering costs in connection with its Public Offering of $833,589, primarily consisting of accounting and legal services, securities registration expenses and exchange listing fees, and excluding $6,200,000 in underwriting discounts and $10,850,000 in deferred underwriting discounts. These offering costs, along with underwriting discounts, were charged to shareholders&#x2019; equity.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Net Income Per Share</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Net income/(loss) per ordinary share is computed by dividing net income attributable to ordinary shares by the weighted average number of ordinary shares outstanding during the period (excluding 29,490,640 Class&nbsp;A Shares subject to possible redemption as of March&nbsp;31, 2017 and 1,125,000 Class B Shares subject to forfeiture as of March 31, 2016), plus, to the extent dilutive, the incremental number of Class&nbsp;A Shares to settle the Private Placement Warrants and the Warrants included in the Units. At March&nbsp;31, 2017, the Company had outstanding warrants for the purchase of up to 23,700,000 Class&nbsp;A Shares. For the period ended March&nbsp;31, 2017, the weighted average of these shares was excluded from the calculation of diluted net income per ordinary share since the exercise of the warrants is contingent on the occurance of future events. As a result, diluted net income per ordinary share is equal to basic net income/(loss) per ordinary share.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Income Taxes</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company accounts for income taxes under FASB ASC 740,&nbsp;</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-style:italic;font-size:10pt;">Income Taxes</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;"> (&#x201C;ASC 740&#x201D;). ASC&nbsp;740 requires the recognition of deferred tax assets and liabilities for both the expected impact of differences between the financial statement and tax basis of assets and liabilities and for the expected future tax benefit to be derived from tax loss and tax credit carry forwards. ASC 740 additionally requires a valuation allowance to be established when it is more likely than not that all or a portion of deferred tax assets will not be realized.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">ASC 740 also clarifies the accounting for uncertainty in income taxes recognized in an enterprise&#x2019;s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. There were no unrecognized tax benefits as of March&nbsp;31, 2017. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">There is currently no taxation imposed on income by the Government of the Cayman Islands.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Recent Accounting Pronouncements</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying balance sheet.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Subsequent Events</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">On April&nbsp;6, 2017, the Company invested the funds held in the Trust Account in U.S. Treasury Bills maturing on July&nbsp;6, 2017.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Other than the foregoing, management has performed an evaluation of subsequent events from March&nbsp;31, 2017 through the date which these financial statements were issued. Based upon the review, management did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the financial statements.</font> </p><div /></div> </div> <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-size:10pt;">Note&nbsp;1&#x2014;Organization and Plan of Business Operations</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Organization and General</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Avista Healthcare Public Acquisition Corp. (the &#x201C;Company&#x201D;) was incorporated as a Cayman Islands exempted company on December&nbsp;4, 2015. The Company was formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses (a &#x201C;Business Combination&#x201D;). The Company intends to focus its search for a target business in the healthcare industry, although it may seek to complete a Business Combination with an operating company in any industry or sector. The Company is an &#x201C;emerging growth company,&#x201D; as defined in Section&nbsp;2(a)&nbsp;of the Securities Act of 1933, as amended (the &#x201C;Securities Act&#x201D;), as modified by the Jumpstart Our Business Startups Act of 2012 (as amended, the &#x201C;JOBS Act&#x201D;). The Company&#x2019;s sponsor is Avista Acquisition Corp. (the &#x201C;Sponsor&#x201D;), which was incorporated on December&nbsp;4, 2015.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">At March&nbsp;31, 2017, the Company had not commenced any operations. All activity through March&nbsp;31, 2017 relates to the Company&#x2019;s formation, its initial public offering of 30,000,000 units (the &#x201C;Units</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-style:italic;font-size:10pt;">&#x201D;)</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;"> at $10.00 per Unit, each consisting of one of the Company&#x2019;s Class&nbsp;A ordinary shares, par value $0.0001 per share (the &#x201C;Class&nbsp;A Shares&#x201D;), and one warrant (the &#x201C;Warrants&#x201D;) to purchase one-half of one Class&nbsp;A Share (the &#x201C;Public Offering&#x201D;) and efforts directed towards locating a suitable initial Business Combination. The Company also granted the Underwriters (as defined below) of the Public Offering a 45-day option to purchase up to 4,500,000 additional Units to cover over-allotments (the &#x201C;Over-allotment Option&#x201D;). The Class&nbsp;A Shares sold as part of the Units in the Public Offering are sometimes referred to herein as the &#x201C;public shares.&#x201D; The Company will not generate any operating revenues until after completion of a Business Combination, at the earliest. The Company has selected December&nbsp;31 as its fiscal year end.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Financing</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The registration statement for the Company&#x2019;s Public Offering was declared effective by the U.S. Securities and Exchange Commission (the &#x201C;SEC&#x201D;) on October&nbsp;7, 2016. The Public Offering closed on October&nbsp;14, 2016 (the &#x201C;Close Date&#x201D;). The Sponsor and certain other accredited investors (the &#x201C;Initial Shareholders&#x201D;) purchased an aggregate of 16,000,000 warrants (the &#x201C;Private Placement Warrants&#x201D;) at a purchase price of $0.50 per warrant, or $8,000,000 in the aggregate, in a private placement at the Close Date (the &#x201C;Private Placement&#x201D;).</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">On November&nbsp;28, 2016, the Company consummated the closing of the sale of 1,000,000 Units which were sold pursuant to the Over-allotment Option. The Company also consummated a simultaneous private placement of an additional 400,000 Private Placement Warrants with the Initial Shareholders. Following the closing of the Over-allotment Option and Private Placement, an additional $10,000,000 was placed into the Trust Account, after paying additional underwriting discounts of $200,000.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company intends to finance a Business Combination with net proceeds from its $310,000,000 Public Offering and $8,200,000 Private Placement (see Note&nbsp;3). Following the Public Offering, after paying underwriting discounts of $6,200,000 and funds designated for operational use of $2,000,000, the remaining net proceeds of $310,000,000 were deposited in a trust account with Continental Stock Transfer and Trust Company acting as trustee (the &#x201C;Trust Account&#x201D;) as described below.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">The Trust Account</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">On January&nbsp;6, 2017, the funds in the Trust Account were invested in U.S. government treasury bills, which matured on April&nbsp;6, 2017. On April&nbsp;6, 2017, the funds in the Trust Account were reinvested in US government treasury bills, maturing on July&nbsp;6, 2017, until the earlier of (i)&nbsp;the consummation of the Business Combination and (ii)&nbsp;the Company&#x2019;s failure to consummate a Business Combination within the prescribed time. Placing funds in the Trust Account may not protect those funds from third-party claims against the Company. Although the Company will seek to have all vendors, service providers (other than its independent auditors), prospective target businesses or other entities it engages execute agreements with the Company waiving any claim of any kind in or to any monies held in the Trust Account, there is no guarantee that such persons will execute such agreements. The Sponsor has agreed that it will be liable to the Company under certain circumstances if and to the extent any claims by such persons reduce the amount of funds in the Trust Account below a specified threshold. The Company has not independently verified whether the Sponsor has sufficient funds to satisfy its indemnity obligations and believes that the Sponsor&#x2019;s only assets are securities of the Company. Therefore, the Sponsor may not be able to satisfy those obligations should they arise. The remaining net proceeds (not held in the Trust Account) may be used to pay for business, legal and accounting due diligence on prospective acquisitions and continuing general and administrative expenses as well as any taxes. The balance in the Trust Account as of March&nbsp;31, 2017 was $310,359,511, of this amount $359,511 was accrued interest.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Business Combination</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company&#x2019;s management has broad discretion with respect to the specific application of the net proceeds of the Public Offering, the sale of the Private Placement Warrants and the Over-allotment Option, although substantially all of the net proceeds are intended to be applied generally toward consummating a Business Combination. There is no assurance that the Company will be able to successfully effect a Business Combination. The Company will provide the holders of the public shares (the &#x201C;Public Shareholders&#x201D;) with the opportunity to redeem all or a portion of their public shares upon the completion of the Business Combination, either (i)&nbsp;in connection with a shareholder meeting called to approve the Business Combination or (ii)&nbsp;by means of a tender offer, in either case at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account as of two business days prior to the consummation of the Business Combination, including interest (which interest shall be net of taxes payable) divided by the number of then outstanding public shares. Notwithstanding the foregoing, if the Company seeks shareholder approval of the Business Combination and the Company does not conduct redemptions pursuant to the tender offer rules, a Public Shareholder, together with any affiliate of such shareholder or any other person with whom such shareholder is acting in concert or as a &#x201C;group&#x201D; (as defined in Section&nbsp;13(d)(3)&nbsp;of the Securities Exchange Act of 1934, as amended (the &#x201C;Exchange Act&#x201D;), will be restricted from redeeming its shares with respect to more than an aggregate of 15% of the public shares. In connection with any shareholder vote required to approve any Business Combination, the Initial Shareholders have agreed (i)&nbsp;to vote any of their respective Ordinary Shares (as defined below) in favor of the Business Combination and (ii)&nbsp;not to redeem any of their Ordinary Shares in connection therewith.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The NASDAQ rules&nbsp;require that the Business Combination must be with one or more target businesses that together have an aggregate fair market value equal to at least 80% of the balance in the Trust Account (less any Deferred Commissions (as defined below) and taxes payable on interest earned) at the time of the Company signing a definitive agreement in connection with the Business Combination.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">If the Company has not completed a Business Combination by October&nbsp;14, 2018, the Company will (i)&nbsp;cease all operations except for the purpose of winding up, (ii)&nbsp;as promptly as reasonably possible but not more than ten business days thereafter, redeem the public shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest (which interest shall be net of taxes payable, and less up to $50,000 of interest to pay dissolution expenses) divided by the number of then outstanding public shares, which redemption will completely extinguish the rights of the Public Shareholders as Shareholders (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii)&nbsp;as promptly as reasonably possible following such redemption, subject to the approval of the Company&#x2019;s remaining shareholders and its Board of Directors, dissolve and liquidate, subject in each case to the Company&#x2019;s obligations under Cayman Islands law to provide for claims of creditors and the requirements of other applicable law. In the event of a liquidation, the Public Shareholders will be entitled to receive a full pro rata interest in the Trust Account (initially anticipated to be approximately $10.00 per share, plus any pro rata interest earned on the Trust Fund not previously released to the Company and less up to $50,000 of interest to pay dissolution expenses). There will be no redemption rights or liquidating distributions with respect to the Founder Shares (as defined below) or the Private Placement Warrants, which will expire worthless if the Company fails to complete a Business Combination within the 24-month time period.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Liquidity</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">As of March&nbsp;31, 2017, the Company had $345,377 in cash held outside of the Trust Account available for working capital purposes.&nbsp;&nbsp;In order to preserve liquidity, as of April&nbsp;30, 2017, the affiliate of the Sponsor (the &#x201C;Affiliate&#x201D;) has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate.&nbsp;&nbsp;If needed to finance ongoing operating expenses, the Sponsor may, but is not obligated to, make working capital loans to the Company, as noted in Note&nbsp;6.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Based on the foregoing, management believes that the Company will have sufficient working capital to continue as a going concern.</font> </p><div /></div> </div> 20000 427578 0.0001 0.0001 1000000 1000000 0 0 0 0 395843 393526 8200000 300000 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-size:10pt;">Note&nbsp;6&#x2014;Related Party Transactions</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Related Party Loans</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company issued to the Sponsor on December&nbsp;14, 2015, as amended and restated on September&nbsp;1, 2016, an unsecured promissory note pursuant to which the Company was permitted to borrow up to $300,000 in aggregate principal amount. Between inception and the Close Date, the Company borrowed $300,000. This note was non-interest bearing and was repaid in full to the Sponsor at the Close Date.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Sponsor may make a working capital loan to the Company and up to $1,500,000 of such loan may be converted into warrants, at the price of $0.50 per warrant at the option of the Sponsor. Such warrants would be identical to the Private Placement Warrants.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Administrative Services Agreement</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company presently occupies office space provided by an Affiliate. The Affiliate has agreed that, until the Company consummates a Business Combination, it will make such office space, as well as certain support services, available to the Company, as may be required by the Company from time to time. The Company will pay the Affiliate an aggregate of $10,000 per month for such office space and support services.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">As of April&nbsp;30, 2017, the Affiliate has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Private Placement Warrants</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Initial Shareholders purchased 16,000,000 Private Placement Warrants at $0.50 per warrant (for an aggregate purchase price of $8,000,000) from the Company in a Private Placement on the Close Date. A portion of the proceeds from the sale of the Private Placement Warrants were placed into the Trust Account. The Initial Shareholders have also purchased an additional 400,000 Private Placement Warrants at $0.50 per warrant (for an aggregate purchase price of $200,000) simultaneously with the underwriter&#x2019;s exercise of the Over-Allotment Option. Each Private Placement Warrant is exercisable for one-half of one Class&nbsp;A Share. Two Private Placement Warrants must be exercised for one whole Class&nbsp;A Share at a price of $11.50 per share. The Private Placement Warrants are identical to the Warrants included in the Units to be sold in the Public Offering except that the Private Placement Warrants: (i)&nbsp;will not be redeemable by the Company and (ii)&nbsp;may be exercised for cash or on a cashless basis, as described in the registration statement relating to the Public Offering, so long as they are held by the Initial Shareholders or any of their permitted transferees. Additionally, the Initial Shareholders have agreed not to transfer, assign or sell any of the Private Placement Warrants, including the Class&nbsp;A Shares issuable upon exercise of the Private Placement Warrants (except to certain permitted transferees), until 30&nbsp;days after the completion of the Business Combination.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Founder Shares</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">In connection with the organization of the Company, on December&nbsp;14, 2015, an aggregate of 8,625,000 Class&nbsp;B Shares (the &#x201C;Founder Shares&#x201D;) were sold to the Sponsor at a price of approximately $0.003 per share, for an aggregate price of $25,000. In October&nbsp;2016, the Sponsor transferred 50,000 Founder Shares to each of the Company&#x2019;s independent directors at a price per share of approximately $0.003 per share. In addition, at such time, each of our independent directors purchased an additional 421,250 Founder Shares from our Sponsor at a price per share of approximately $0.003 per share. The 8,625,000 Founder Shares included an aggregate of up to 1,125,000 shares that were subject to forfeiture if the Over-allotment Option was not exercised in full by the Underwriters in order to maintain the Initial Shareholders&#x2019; ownership at 20% of the issued and outstanding Ordinary Shares upon completion of the Public Offering. Following the partial exercise of the Over-allotment Option, 875,000 Founder Shares were forfeited in order to maintain the Initial Shareholder&#x2019;s ownership at 20% of the issued and outstanding Ordinary shares. The Founder Shares are identical to the Class&nbsp;A Shares included in the Units sold in the Public Offering, except that the Founder Shares (i)&nbsp;have the voting rights described in Note&nbsp;7, (ii)&nbsp;are subject to certain transfer restrictions described below, and (iii)&nbsp;are convertible into Class&nbsp;A Shares on a one-for-one basis, subject to adjustment pursuant to the anti-dilution provisions contained therein. The Founder Shares may not be transferred, assigned or sold until the earlier of (i)&nbsp;one year after the completion of the Business Combination and (ii)&nbsp;the date on which the Company completes a liquidation, merger, share exchange, reorganization or other similar transaction after the Business Combination that results in all of the Public Shareholders having the right to exchange their Class&nbsp;A Shares for cash, securities or other property. Notwithstanding the foregoing, if the last sale price of the Class&nbsp;A Shares equals or exceeds $12.00 per share (as adjusted for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like) for any 20 trading days within any 30 trading day period commencing at least 150&nbsp;days after the Business Combination, the Founder Shares will be released from the lock-up.</font> </p><div /></div> </div> 310359511 310000000 310000000 -233860 -92997 0 0.003 0.003 5000001 5000004 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-size:10pt;">Note&nbsp;7&#x2014;Shareholders&#x2019; Equity</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Preferred Shares</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company is authorized to issue 1,000,000 preferred shares with a par value of $0.0001. The Company&#x2019;s board of directors will be authorized to fix the voting rights, if any, designations, powers, preferences, the relative, participating, optional or other special rights and any qualifications, limitations and restrictions thereof, applicable to the shares of each series. The board of directors will be able to, without shareholder approval, issue preferred shares with voting and other rights that could adversely affect the voting power and other rights of the holders of the Ordinary Shares and could have anti-takeover effects. At March&nbsp;31, 2017 there were no preferred shares issued or outstanding.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Ordinary Shares</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Company is authorized to issue 200,000,000 Class&nbsp;A Shares, with a par value of $0.0001 each, and 20,000,000 Class&nbsp;B ordinary shares, with a par value of $0.0001 each (the &#x201C;Class&nbsp;B Shares&#x201D; and, together with the Class&nbsp;A Shares, the &#x201C;Ordinary Shares&#x201D;). Holders of the Ordinary Shares are entitled to one vote for each Ordinary Share; provided, that only holders of the Class&nbsp;B Shares have the right to vote on the election of directors prior to the Business Combination. The Class&nbsp;B Shares will automatically convert into Class&nbsp;A Shares at the time of the Business Combination, on a one-for-one basis, subject to adjustment for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like, and subject to further adjustment as provided herein. In the case that additional Class&nbsp;A Shares, or equity-linked securities, are issued or deemed issued in excess of the amounts sold in the Public Offering and related to the closing of the Business Combination, the ratio at which the Class&nbsp;B Shares shall convert into Class&nbsp;A Shares will be adjusted (unless the holders of a majority of the outstanding Class&nbsp;B ordinary shares agree to waive such anti-dilution adjustment with respect to any such issuance or deemed issuance) so that the number of Class&nbsp;A Shares issuable upon conversion of all Class&nbsp;B Shares will equal, in the aggregate, 20% of the sum of all Ordinary Shares outstanding upon completion of the Public Offering plus all Class&nbsp;A Shares and equity-linked securities issued or deemed issued in connection with the Business Combination, excluding any Ordinary Shares or equity-linked securities issued, or to be issued, to any seller in the Business Combination. Holders of Founder Shares may also elect to convert their Class&nbsp;B Shares into an equal number of Class&nbsp;A Shares, subject to adjustment as provided above, at any time. At March&nbsp;31, 2017 there were 31,000,000 Class&nbsp;A Shares issued and outstanding, of which 29,490,640 shares were subject to possible redemption and are classified outside of shareholders&#x2019; equity at the balance sheet date and 7,750,000 Class&nbsp;B Shares issued and outstanding.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Redeemable Ordinary Shares</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The Class&nbsp;A Shares subject to possible redemption will be recorded at redemption value and classified as temporary equity in accordance with Financial Accounting Standards Board (&#x201C;FASB&#x201D;) Accounting Standards Update (&#x201C;ASU&#x201D;) 480, </font><font style="display:inline;font-family:Times New Roman,Times,serif;font-style:italic;font-size:10pt;">Distinguishing Liabilities from Equity</font><font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">. The Company will proceed with a Business Combination only if it has net tangible assets of at least $5,000,001 upon consummation of the Business Combination and, in the case of a shareholder vote, a majority of the outstanding Ordinary Shares voted are voted in favor of the Business Combination. Accordingly, at March&nbsp;31, 2017, 29,490,640 of the Company&#x2019;s 31,000,000 Class&nbsp;A Shares were classified outside of permanent equity at their redemption value.</font> </p><div /></div> </div> <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Subsequent Events</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">On April&nbsp;6, 2017, the Company invested the funds held in the Trust Account in U.S. Treasury Bills maturing on July&nbsp;6, 2017.</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">Other than the foregoing, management has performed an evaluation of subsequent events from March&nbsp;31, 2017 through the date which these financial statements were issued. Based upon the review, management did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the financial statements.</font> </p><div /></div> </div> 295107550 295248410 0.0001 0.0001 29510755 29490640 29490640 0 <div> <div> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-weight:bold;font-style:italic;font-size:10pt;">Use of Estimates</font> </p> <p style="margin:0pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-size:10pt;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;line-height:100%;font-family:Arial,Helvetica,sans-serif;font-size: 10pt;"> <font style="display:inline;font-family:Times New Roman,Times,serif;font-size:10pt;">The preparation of the Company&#x2019;s financial statements in conformity with US&nbsp;GAAP requires the Company&#x2019;s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.</font> </p><div /></div> </div> 7500000 9239245 29490640 EX-101.SCH 7 ahpau-20170331.xsd XBRL TAXONOMY EXTENSION SCHEMA DOCUMENT 00100 - Statement - CONDENSED BALANCE SHEETS link:presentationLink link:calculationLink link:definitionLink 00200 - Statement - CONDENSED STATEMENTS OF OPERATIONS (UNAUDITED) link:presentationLink link:calculationLink link:definitionLink 00300 - Statement - CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED) link:presentationLink link:calculationLink link:definitionLink 00090 - Document - Document and Entity Information link:presentationLink link:calculationLink link:definitionLink 00105 - Statement - CONDENSED BALANCE SHEETS (Parenthetical) link:presentationLink link:calculationLink link:definitionLink 10101 - Disclosure - Organization and Plan of Business Operations link:presentationLink link:calculationLink link:definitionLink 10201 - Disclosure - Significant Accounting Policies link:presentationLink link:calculationLink link:definitionLink 10301 - Disclosure - Public Offering link:presentationLink link:calculationLink link:definitionLink 10401 - Disclosure - Commitments link:presentationLink link:calculationLink link:definitionLink 10501 - Disclosure - Cash Held in Trust Account link:presentationLink link:calculationLink link:definitionLink 10601 - Disclosure - Related Party Transactions link:presentationLink link:calculationLink link:definitionLink 10701 - Disclosure - Shareholders' Equity link:presentationLink link:calculationLink link:definitionLink 20202 - Disclosure - Significant Accounting Policies (Policies) link:presentationLink link:calculationLink link:definitionLink 40101 - Disclosure - Organization and Plan of Business Operations - Organization and General (Details) link:presentationLink link:calculationLink link:definitionLink 40102 - Disclosure - Organization and Plan of Business Operations - Financing (Details) link:presentationLink link:calculationLink link:definitionLink 40103 - Disclosure - Organization and Plan of Business Operations - The Trust Account (Details) link:presentationLink link:calculationLink link:definitionLink 40104 - Disclosure - Organization and Plan of Business Operations - Business Combination and Liquidity (Details) link:presentationLink link:calculationLink link:definitionLink 40201 - Disclosure - Significant Accounting Policies (Details) link:presentationLink link:calculationLink link:definitionLink 40301 - Disclosure - Public Offering (Details) link:presentationLink link:calculationLink link:definitionLink 40401 - Disclosure - Commitments (Details) link:presentationLink link:calculationLink link:definitionLink 40501 - Disclosure - Cash Held in Trust Account (Details) link:presentationLink link:calculationLink link:definitionLink 40601 - Disclosure - Related Party Transactions - Related Party Loans and Administrative Services Agreement (Details) link:presentationLink link:calculationLink link:definitionLink 40602 - Disclosure - Related Party Transactions - Private Placement Warrants (Details) link:presentationLink link:calculationLink link:definitionLink 40603 - Disclosure - Related Party Transactions - Founder Shares (Details) link:presentationLink link:calculationLink link:definitionLink 40701 - Disclosure - Shareholders' Equity (Details) link:presentationLink link:calculationLink link:definitionLink EX-101.CAL 8 ahpau-20170331_cal.xml XBRL TAXONOMY EXTENSION CALCULATION LINKBASE DOCUMENT EX-101.DEF 9 ahpau-20170331_def.xml XBRL TAXONOMY EXTENSION DEFINITION LINKBASE DOCUMENT EX-101.LAB 10 ahpau-20170331_lab.xml XBRL TAXONOMY EXTENSION LABELS LINKBASE DOCUMENT EX-101.PRE 11 ahpau-20170331_pre.xml XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE DOCUMENT XML 12 R1.htm IDEA: XBRL DOCUMENT v3.7.0.1
Document and Entity Information - shares
3 Months Ended
Mar. 31, 2017
May 09, 2017
Entity Registrant Name Avista Healthcare Public Acquisition Corp.  
Entity Central Index Key 0001661181  
Document Type 10-Q  
Document Period End Date Mar. 31, 2017  
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Entity Current Reporting Status Yes  
Entity Filer Category Non-accelerated Filer  
Document Fiscal Year Focus 2017  
Document Fiscal Period Focus Q1  
Class A    
Entity Common Stock, Shares Outstanding   31,000,000
Class B    
Entity Common Stock, Shares Outstanding   7,750,000
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CONDENSED BALANCE SHEETS - USD ($)
Mar. 31, 2017
Dec. 31, 2016
Current assets    
Cash $ 486,200 $ 1,040,068
Prepaid expenses 393,526 395,843
Total current assets 879,726 1,435,911
Accrued interest receivable held in trust account 359,511  
Cash and cash equivalents held in trust account 310,000,000 310,000,000
Total assets 311,239,237 311,435,911
Current liabilities    
Offering costs payable   427,578
Accrued expenses 140,823 50,782
Total current liabilities 140,823 478,360
Deferred underwriting commission 10,850,000 10,850,000
Total liabilities 10,990,823 11,328,360
COMMITMENTS
Class A ordinary shares subject to possible redemption, $0.0001 par value; 29,490,640 and 29,510,755 shares at conversion value at March 31, 2017 and December 31, 2016 295,248,410 295,107,550
Shareholders' equity    
Preferred shares, $0.0001 par value, 1,000,000 shares authorized: no shares issued and outstanding at March 31, 2017 and December 31, 2016
Additional paid-in capital 5,092,075 5,232,937
Accumulated deficit (92,997) (233,860)
Total shareholders' equity 5,000,004 5,000,001
Total liabilities and shareholders' equity 311,239,237 311,435,911
Class A    
Shareholders' equity    
Ordinary shares, value 151 149
Class B    
Shareholders' equity    
Ordinary shares, value $ 775 $ 775
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CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares
Mar. 31, 2017
Dec. 31, 2016
Class A ordinary shares subject to possible redemption, par value $ 0.0001 $ 0.0001
Class A ordinary shares subject to possible redemption, shares issued 29,490,640 29,510,755
Preferred shares, par value (in dollar per share) $ 0.0001 $ 0.0001
Preferred shares, shares authorized 1,000,000 1,000,000
Preferred shares, shares issued 0 0
Preferred shares, shares outstanding 0 0
Ordinary shares, par value (in dollar per share) $ 0.0001 $ 0.0001
Ordinary shares, shares authorized 220,000,000 220,000,000
Class A    
Ordinary shares, par value (in dollar per share) $ 0.0001 $ 0.0001
Ordinary shares, shares authorized 200,000,000 200,000,000
Ordinary shares, shares issued 1,509,360 1,489,245
Ordinary shares, shares outstanding 1,509,360 1,489,245
Class B    
Ordinary shares, par value (in dollar per share) $ 0.0001 $ 0.0001
Ordinary shares, shares authorized 20,000,000 20,000,000
Ordinary shares, shares issued 7,750,000 7,750,000
Ordinary shares, shares outstanding 7,750,000 7,750,000
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CONDENSED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($)
3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
CONDENSED STATEMENTS OF OPERATIONS (UNAUDITED)    
Operating costs $ (218,648) $ (15,550)
Loss from operations (218,648) (15,550)
Other income:    
Interest income 359,511  
Net income/(loss) $ 140,863 $ (15,550)
Weighted average number of shares outstanding, basic and diluted (in shares) 9,239,245 7,500,000
Basic and diluted net income/(loss) per share $ 0.02 $ 0.00
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CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)
3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Cash flows from operating activities:    
Net income/(loss) $ 140,863 $ (15,550)
Change in operating assets and liabilities:    
Accrued interest receivable held in trust account (359,511)  
Accounts receivable   (241)
Prepaid expenses 2,317  
Accrued expenses 90,041 15,550
Net cash used in operating activities: (126,290) (241)
Cash flows from financing activities:    
Payment of offering costs (427,578) (20,000)
Net cash used in financing activities: (427,578) (20,000)
Net decrease in cash (553,868) (20,241)
Cash at beginning of period 1,040,068 126,062
Cash at end of period 486,200 $ 105,821
Supplemental disclosure of non-cash financing activities:    
Change in ordinary shares subject to possible redemption $ 140,860  
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Organization and Plan of Business Operations
3 Months Ended
Mar. 31, 2017
Organization and Plan of Business Operations  
Organization and Plan of Business Operations

Note 1—Organization and Plan of Business Operations

 

Organization and General

 

Avista Healthcare Public Acquisition Corp. (the “Company”) was incorporated as a Cayman Islands exempted company on December 4, 2015. The Company was formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses (a “Business Combination”). The Company intends to focus its search for a target business in the healthcare industry, although it may seek to complete a Business Combination with an operating company in any industry or sector. The Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart Our Business Startups Act of 2012 (as amended, the “JOBS Act”). The Company’s sponsor is Avista Acquisition Corp. (the “Sponsor”), which was incorporated on December 4, 2015.

 

At March 31, 2017, the Company had not commenced any operations. All activity through March 31, 2017 relates to the Company’s formation, its initial public offering of 30,000,000 units (the “Units”) at $10.00 per Unit, each consisting of one of the Company’s Class A ordinary shares, par value $0.0001 per share (the “Class A Shares”), and one warrant (the “Warrants”) to purchase one-half of one Class A Share (the “Public Offering”) and efforts directed towards locating a suitable initial Business Combination. The Company also granted the Underwriters (as defined below) of the Public Offering a 45-day option to purchase up to 4,500,000 additional Units to cover over-allotments (the “Over-allotment Option”). The Class A Shares sold as part of the Units in the Public Offering are sometimes referred to herein as the “public shares.” The Company will not generate any operating revenues until after completion of a Business Combination, at the earliest. The Company has selected December 31 as its fiscal year end.

 

Financing

 

The registration statement for the Company’s Public Offering was declared effective by the U.S. Securities and Exchange Commission (the “SEC”) on October 7, 2016. The Public Offering closed on October 14, 2016 (the “Close Date”). The Sponsor and certain other accredited investors (the “Initial Shareholders”) purchased an aggregate of 16,000,000 warrants (the “Private Placement Warrants”) at a purchase price of $0.50 per warrant, or $8,000,000 in the aggregate, in a private placement at the Close Date (the “Private Placement”).

 

On November 28, 2016, the Company consummated the closing of the sale of 1,000,000 Units which were sold pursuant to the Over-allotment Option. The Company also consummated a simultaneous private placement of an additional 400,000 Private Placement Warrants with the Initial Shareholders. Following the closing of the Over-allotment Option and Private Placement, an additional $10,000,000 was placed into the Trust Account, after paying additional underwriting discounts of $200,000.

 

The Company intends to finance a Business Combination with net proceeds from its $310,000,000 Public Offering and $8,200,000 Private Placement (see Note 3). Following the Public Offering, after paying underwriting discounts of $6,200,000 and funds designated for operational use of $2,000,000, the remaining net proceeds of $310,000,000 were deposited in a trust account with Continental Stock Transfer and Trust Company acting as trustee (the “Trust Account”) as described below.

 

The Trust Account

 

On January 6, 2017, the funds in the Trust Account were invested in U.S. government treasury bills, which matured on April 6, 2017. On April 6, 2017, the funds in the Trust Account were reinvested in US government treasury bills, maturing on July 6, 2017, until the earlier of (i) the consummation of the Business Combination and (ii) the Company’s failure to consummate a Business Combination within the prescribed time. Placing funds in the Trust Account may not protect those funds from third-party claims against the Company. Although the Company will seek to have all vendors, service providers (other than its independent auditors), prospective target businesses or other entities it engages execute agreements with the Company waiving any claim of any kind in or to any monies held in the Trust Account, there is no guarantee that such persons will execute such agreements. The Sponsor has agreed that it will be liable to the Company under certain circumstances if and to the extent any claims by such persons reduce the amount of funds in the Trust Account below a specified threshold. The Company has not independently verified whether the Sponsor has sufficient funds to satisfy its indemnity obligations and believes that the Sponsor’s only assets are securities of the Company. Therefore, the Sponsor may not be able to satisfy those obligations should they arise. The remaining net proceeds (not held in the Trust Account) may be used to pay for business, legal and accounting due diligence on prospective acquisitions and continuing general and administrative expenses as well as any taxes. The balance in the Trust Account as of March 31, 2017 was $310,359,511, of this amount $359,511 was accrued interest.

 

Business Combination

 

The Company’s management has broad discretion with respect to the specific application of the net proceeds of the Public Offering, the sale of the Private Placement Warrants and the Over-allotment Option, although substantially all of the net proceeds are intended to be applied generally toward consummating a Business Combination. There is no assurance that the Company will be able to successfully effect a Business Combination. The Company will provide the holders of the public shares (the “Public Shareholders”) with the opportunity to redeem all or a portion of their public shares upon the completion of the Business Combination, either (i) in connection with a shareholder meeting called to approve the Business Combination or (ii) by means of a tender offer, in either case at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account as of two business days prior to the consummation of the Business Combination, including interest (which interest shall be net of taxes payable) divided by the number of then outstanding public shares. Notwithstanding the foregoing, if the Company seeks shareholder approval of the Business Combination and the Company does not conduct redemptions pursuant to the tender offer rules, a Public Shareholder, together with any affiliate of such shareholder or any other person with whom such shareholder is acting in concert or as a “group” (as defined in Section 13(d)(3) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), will be restricted from redeeming its shares with respect to more than an aggregate of 15% of the public shares. In connection with any shareholder vote required to approve any Business Combination, the Initial Shareholders have agreed (i) to vote any of their respective Ordinary Shares (as defined below) in favor of the Business Combination and (ii) not to redeem any of their Ordinary Shares in connection therewith.

 

The NASDAQ rules require that the Business Combination must be with one or more target businesses that together have an aggregate fair market value equal to at least 80% of the balance in the Trust Account (less any Deferred Commissions (as defined below) and taxes payable on interest earned) at the time of the Company signing a definitive agreement in connection with the Business Combination.

 

If the Company has not completed a Business Combination by October 14, 2018, the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but not more than ten business days thereafter, redeem the public shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest (which interest shall be net of taxes payable, and less up to $50,000 of interest to pay dissolution expenses) divided by the number of then outstanding public shares, which redemption will completely extinguish the rights of the Public Shareholders as Shareholders (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining shareholders and its Board of Directors, dissolve and liquidate, subject in each case to the Company’s obligations under Cayman Islands law to provide for claims of creditors and the requirements of other applicable law. In the event of a liquidation, the Public Shareholders will be entitled to receive a full pro rata interest in the Trust Account (initially anticipated to be approximately $10.00 per share, plus any pro rata interest earned on the Trust Fund not previously released to the Company and less up to $50,000 of interest to pay dissolution expenses). There will be no redemption rights or liquidating distributions with respect to the Founder Shares (as defined below) or the Private Placement Warrants, which will expire worthless if the Company fails to complete a Business Combination within the 24-month time period.

 

Liquidity

 

As of March 31, 2017, the Company had $345,377 in cash held outside of the Trust Account available for working capital purposes.  In order to preserve liquidity, as of April 30, 2017, the affiliate of the Sponsor (the “Affiliate”) has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate.  If needed to finance ongoing operating expenses, the Sponsor may, but is not obligated to, make working capital loans to the Company, as noted in Note 6.

 

Based on the foregoing, management believes that the Company will have sufficient working capital to continue as a going concern.

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Significant Accounting Policies
3 Months Ended
Mar. 31, 2017
Significant Accounting Policies  
Significant Accounting Policies

Note 2—Significant Accounting Policies

 

Basis of Presentation

 

The accompanying unaudited condensed financial statements have been prepared in U.S dollars in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted, pursuant to the rules and regulations of the SEC for interim financial reporting. Accordingly, they do not include all of the information and footnotes necessary for a comprehensive presentation of the financial position, results of operations or cash flows. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented.

 

The accompanying unaudited condensed financial statements should be read in conjunction with the Company’s final prospectus as filed with the SEC on October 10, 2016 and declared effective on October 7, 2016, as well as the Company’s form 8-K, as filed with the SEC on October 20, 2016. Operating results for the three months ended March 31, 2017 are not necessarily indicative of the results that may be expected for the year ending December 31, 2017 or any other future period.

 

Emerging Growth Company

 

Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.

 

Use of Estimates

 

The preparation of the Company’s financial statements in conformity with US GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.

 

Cash and Cash Equivalents

 

The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.

 

Concentration of Credit Risk

 

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in a financial institution, which at times, may exceed the Federal depository insurance coverage of $250,000. The Company has not experienced losses on these accounts and management believes the Company is not exposed to significant risks on such accounts.

 

Financial Instruments

 

The fair value of the Company’s assets and liabilities, which qualify as financial instruments under FASB ASC 820, Fair Value Measurements and Disclosures, approximates the carrying amounts represented in the balance sheet.

 

Fair Value Measurement

 

ASC 820 establishes a fair value hierarchy that prioritizes and ranks the level of observability of inputs used to measure investments at fair value. The observability of inputs is impacted by a number of factors, including the type of investment, characteristics specific to the investment, market conditions and other factors. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements).

 

Investments with readily available quoted prices or for which fair value can be measured from quoted prices in active markets will typically have a higher degree of input observability and a lesser degree of judgment applied in determining fair value.

 

The three levels of the fair value hierarchy under ASC 820 are as follows:

 

Level I — Quoted prices (unadjusted) in active markets for identical investments at the measurement date are used.

 

Level II — Pricing inputs are other than quoted prices included within Level I that are observable for the investment, either directly or indirectly. Level II pricing inputs include quoted prices for similar investments in active markets, quoted prices for identical or similar investments in markets that are not active, inputs other than quoted prices that are observable for the investment, and inputs that are derived principally from or corroborated by observable market data by correlation or other means.

 

Level III — Pricing inputs are unobservable and include situations where there is little, if any, market activity for the investment. The inputs used in determination of fair value require significant judgment and estimation.

 

In some cases, the inputs used to measure fair value might fall within different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the investment is categorized in its entirety is determined based on the lowest level input that is significant to the investment. Assessing the significance of a particular input to the valuation of an investment in its entirety requires judgment and considers factors specific to the investment. The categorization of an investment within the hierarchy is based upon the pricing transparency of the investment and does not necessarily correspond to the perceived risk of that investment.

 

Offering Costs

 

The Company complies with the requirements of ASC 340-10-S99-1 and SEC Staff Accounting Bulletin Topic 5A; “Expenses of Offering”. The Company incurred offering costs in connection with its Public Offering of $833,589, primarily consisting of accounting and legal services, securities registration expenses and exchange listing fees, and excluding $6,200,000 in underwriting discounts and $10,850,000 in deferred underwriting discounts. These offering costs, along with underwriting discounts, were charged to shareholders’ equity.

 

Net Income Per Share

 

Net income/(loss) per ordinary share is computed by dividing net income attributable to ordinary shares by the weighted average number of ordinary shares outstanding during the period (excluding 29,490,640 Class A Shares subject to possible redemption as of March 31, 2017 and 1,125,000 Class B Shares subject to forfeiture as of March 31, 2016), plus, to the extent dilutive, the incremental number of Class A Shares to settle the Private Placement Warrants and the Warrants included in the Units. At March 31, 2017, the Company had outstanding warrants for the purchase of up to 23,700,000 Class A Shares. For the period ended March 31, 2017, the weighted average of these shares was excluded from the calculation of diluted net income per ordinary share since the exercise of the warrants is contingent on the occurance of future events. As a result, diluted net income per ordinary share is equal to basic net income/(loss) per ordinary share.

 

Income Taxes

 

The Company accounts for income taxes under FASB ASC 740, Income Taxes (“ASC 740”). ASC 740 requires the recognition of deferred tax assets and liabilities for both the expected impact of differences between the financial statement and tax basis of assets and liabilities and for the expected future tax benefit to be derived from tax loss and tax credit carry forwards. ASC 740 additionally requires a valuation allowance to be established when it is more likely than not that all or a portion of deferred tax assets will not be realized.

 

ASC 740 also clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. There were no unrecognized tax benefits as of March 31, 2017. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position.

 

There is currently no taxation imposed on income by the Government of the Cayman Islands.

 

Recent Accounting Pronouncements

 

Management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying balance sheet.

 

Subsequent Events

 

On April 6, 2017, the Company invested the funds held in the Trust Account in U.S. Treasury Bills maturing on July 6, 2017.

 

Other than the foregoing, management has performed an evaluation of subsequent events from March 31, 2017 through the date which these financial statements were issued. Based upon the review, management did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the financial statements.

XML 19 R8.htm IDEA: XBRL DOCUMENT v3.7.0.1
Public Offering
3 Months Ended
Mar. 31, 2017
Public Offering  
Public Offering

Note 3—Public Offering

 

In the Public Offering, the Company issued and sold 31,000,000 Units at a price of $10.00 per Unit, including 1,000,000 Units issued upon exercise of the Over-allotment Option. The ordinary shares and warrants comprising the Units began separate trading on November 29, 2016. The holders have the option to continue to hold Units or separate their Units into the component securities. Each Unit consists of one Class A Share and one Warrant to purchase one-half of one Class A Share. Two Warrants must be exercised for one whole Class A Share at a price of $11.50 per share. The Warrants will become exercisable on the later of 30 days after completion of the Business Combination or 12 months after the Close Date and will expire five years from the completion of the Business Combination or earlier upon redemption or liquidation. The Company may redeem the Warrants at a price of $0.01 per Warrant upon 30 days’ notice, only in the event that the last sale price of the Class A Shares is at least $24.00 per share (as adjusted for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like) for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which notice of redemption is given. The Company will not redeem the Warrants unless a registration statement under the Securities Act covering the Class A Shares issuable upon exercise of the Warrants is effective and a current prospectus relating to those shares is available throughout the 30 day redemption period, unless the Warrants may be exercised on a cashless basis and such cashless exercise is exempt from registration under the Securities Act. If the Company redeems the Warrants as described above, management will have the option to require all holders that wish to exercise their Warrants to do so on a cashless basis, provided an exemption from registration is available. No Warrants will be exercisable for cash unless the Company has an effective registration statement covering the Class A Shares issuable upon exercise of the Warrants and a current prospectus relating to such shares. If the shares issuable upon exercise of the Warrants are not registered under the Securities Act, holders will be permitted to exercise their Warrants on a cashless basis. However, no Warrant will be exercisable for cash or on a cashless basis, and the Company will not be obligated to issue any Class A Shares to holders seeking to exercise their Warrants, unless the issuance of the Class A Shares upon such exercise is registered or qualified under the securities laws of the state of the exercising holder, or an exemption is available.

XML 20 R9.htm IDEA: XBRL DOCUMENT v3.7.0.1
Commitments
3 Months Ended
Mar. 31, 2017
Commitments  
Commitments

Note 4—Commitments

 

Underwriting Agreement

 

The Company entered into an agreement with the underwriters (the “Underwriters”) of the Public Offering (“Underwriting Agreement”) that required the Company to pay an underwriting discount of 2.0% of the gross proceeds of the Public Offering and Over-allotment Option to the Underwriters at the Close Date of the Public Offering. The Company will pay the Underwriters a deferred underwriting discount of 3.5% of the gross proceeds of the Public Offering and Over-allotment Option (“Deferred Commissions”) at the time of the closing of the Business Combination. The Deferred Commission was placed in the Trust Account at the completion of the Public Offering and will be forfeited if the Company is unable to complete a Business Combination in the prescribed time.

 

Registration Rights

 

Holders of the Founder Shares, the Private Placement Warrants, and warrants that may be issued on conversion of working capital loans (and any Class A Shares issuable upon exercise of such warrants and upon conversion of the Founder Shares) will be entitled to registration rights with respect to such securities (in the case of the Founder Shares, only after conversion to Class A Shares) pursuant to an agreement signed on the effective date of the Public Offering. The holders of these securities are entitled to make up to three demands, excluding short form demands, that the Company register such securities for resale. In addition, the holders have certain “piggy-back” registration rights with respect to registration statements filed subsequent to the Business Combination. However, the registration rights agreement will provide that the Company will not permit any registration statement to become effective until termination of applicable lock-up periods with respect to such securities.

XML 21 R10.htm IDEA: XBRL DOCUMENT v3.7.0.1
Cash Held in Trust Account
3 Months Ended
Mar. 31, 2017
Cash Held in Trust Account  
Cash Held in Trust Account

Note 5—Cash Held in Trust Account

 

Gross proceeds of $310,000,000 and $8,200,000 from the Public Offering and Over-allotment Option, and Private Placement, respectively, less underwriting discounts of $6,200,000 and $2,000,000 designated for offering expenses and to fund the Company’s ongoing administrative and acquisition search costs, were held in the Trust Account at the close date.

 

On January 6, 2017, funds held in the Trust Account were invested in US Treasury Bills, which are considered Level 1 investments under ASC 820. For the three months ended March 31, 2017, the investments held in the Trust Account generated interest income of $359,511. At March 31, 2017, the balance of funds held in the Trust Account was $310,359,511.

XML 22 R11.htm IDEA: XBRL DOCUMENT v3.7.0.1
Related Party Transactions
3 Months Ended
Mar. 31, 2017
Related Party Transactions  
Related Party Transactions

Note 6—Related Party Transactions

 

Related Party Loans

 

The Company issued to the Sponsor on December 14, 2015, as amended and restated on September 1, 2016, an unsecured promissory note pursuant to which the Company was permitted to borrow up to $300,000 in aggregate principal amount. Between inception and the Close Date, the Company borrowed $300,000. This note was non-interest bearing and was repaid in full to the Sponsor at the Close Date.

 

The Sponsor may make a working capital loan to the Company and up to $1,500,000 of such loan may be converted into warrants, at the price of $0.50 per warrant at the option of the Sponsor. Such warrants would be identical to the Private Placement Warrants.

 

Administrative Services Agreement

 

The Company presently occupies office space provided by an Affiliate. The Affiliate has agreed that, until the Company consummates a Business Combination, it will make such office space, as well as certain support services, available to the Company, as may be required by the Company from time to time. The Company will pay the Affiliate an aggregate of $10,000 per month for such office space and support services.

 

As of April 30, 2017, the Affiliate has agreed to defer payment of the monthly administrative fee under the Administrative Services Agreement until the initial Business Combination, at which time all such accrued but unpaid fees will be paid to the Affiliate.

 

Private Placement Warrants

 

The Initial Shareholders purchased 16,000,000 Private Placement Warrants at $0.50 per warrant (for an aggregate purchase price of $8,000,000) from the Company in a Private Placement on the Close Date. A portion of the proceeds from the sale of the Private Placement Warrants were placed into the Trust Account. The Initial Shareholders have also purchased an additional 400,000 Private Placement Warrants at $0.50 per warrant (for an aggregate purchase price of $200,000) simultaneously with the underwriter’s exercise of the Over-Allotment Option. Each Private Placement Warrant is exercisable for one-half of one Class A Share. Two Private Placement Warrants must be exercised for one whole Class A Share at a price of $11.50 per share. The Private Placement Warrants are identical to the Warrants included in the Units to be sold in the Public Offering except that the Private Placement Warrants: (i) will not be redeemable by the Company and (ii) may be exercised for cash or on a cashless basis, as described in the registration statement relating to the Public Offering, so long as they are held by the Initial Shareholders or any of their permitted transferees. Additionally, the Initial Shareholders have agreed not to transfer, assign or sell any of the Private Placement Warrants, including the Class A Shares issuable upon exercise of the Private Placement Warrants (except to certain permitted transferees), until 30 days after the completion of the Business Combination.

 

Founder Shares

 

In connection with the organization of the Company, on December 14, 2015, an aggregate of 8,625,000 Class B Shares (the “Founder Shares”) were sold to the Sponsor at a price of approximately $0.003 per share, for an aggregate price of $25,000. In October 2016, the Sponsor transferred 50,000 Founder Shares to each of the Company’s independent directors at a price per share of approximately $0.003 per share. In addition, at such time, each of our independent directors purchased an additional 421,250 Founder Shares from our Sponsor at a price per share of approximately $0.003 per share. The 8,625,000 Founder Shares included an aggregate of up to 1,125,000 shares that were subject to forfeiture if the Over-allotment Option was not exercised in full by the Underwriters in order to maintain the Initial Shareholders’ ownership at 20% of the issued and outstanding Ordinary Shares upon completion of the Public Offering. Following the partial exercise of the Over-allotment Option, 875,000 Founder Shares were forfeited in order to maintain the Initial Shareholder’s ownership at 20% of the issued and outstanding Ordinary shares. The Founder Shares are identical to the Class A Shares included in the Units sold in the Public Offering, except that the Founder Shares (i) have the voting rights described in Note 7, (ii) are subject to certain transfer restrictions described below, and (iii) are convertible into Class A Shares on a one-for-one basis, subject to adjustment pursuant to the anti-dilution provisions contained therein. The Founder Shares may not be transferred, assigned or sold until the earlier of (i) one year after the completion of the Business Combination and (ii) the date on which the Company completes a liquidation, merger, share exchange, reorganization or other similar transaction after the Business Combination that results in all of the Public Shareholders having the right to exchange their Class A Shares for cash, securities or other property. Notwithstanding the foregoing, if the last sale price of the Class A Shares equals or exceeds $12.00 per share (as adjusted for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like) for any 20 trading days within any 30 trading day period commencing at least 150 days after the Business Combination, the Founder Shares will be released from the lock-up.

XML 23 R12.htm IDEA: XBRL DOCUMENT v3.7.0.1
Shareholders' Equity
3 Months Ended
Mar. 31, 2017
Shareholders' Equity  
Shareholders' Equity

Note 7—Shareholders’ Equity

 

Preferred Shares

 

The Company is authorized to issue 1,000,000 preferred shares with a par value of $0.0001. The Company’s board of directors will be authorized to fix the voting rights, if any, designations, powers, preferences, the relative, participating, optional or other special rights and any qualifications, limitations and restrictions thereof, applicable to the shares of each series. The board of directors will be able to, without shareholder approval, issue preferred shares with voting and other rights that could adversely affect the voting power and other rights of the holders of the Ordinary Shares and could have anti-takeover effects. At March 31, 2017 there were no preferred shares issued or outstanding.

 

Ordinary Shares

 

The Company is authorized to issue 200,000,000 Class A Shares, with a par value of $0.0001 each, and 20,000,000 Class B ordinary shares, with a par value of $0.0001 each (the “Class B Shares” and, together with the Class A Shares, the “Ordinary Shares”). Holders of the Ordinary Shares are entitled to one vote for each Ordinary Share; provided, that only holders of the Class B Shares have the right to vote on the election of directors prior to the Business Combination. The Class B Shares will automatically convert into Class A Shares at the time of the Business Combination, on a one-for-one basis, subject to adjustment for share splits, share dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like, and subject to further adjustment as provided herein. In the case that additional Class A Shares, or equity-linked securities, are issued or deemed issued in excess of the amounts sold in the Public Offering and related to the closing of the Business Combination, the ratio at which the Class B Shares shall convert into Class A Shares will be adjusted (unless the holders of a majority of the outstanding Class B ordinary shares agree to waive such anti-dilution adjustment with respect to any such issuance or deemed issuance) so that the number of Class A Shares issuable upon conversion of all Class B Shares will equal, in the aggregate, 20% of the sum of all Ordinary Shares outstanding upon completion of the Public Offering plus all Class A Shares and equity-linked securities issued or deemed issued in connection with the Business Combination, excluding any Ordinary Shares or equity-linked securities issued, or to be issued, to any seller in the Business Combination. Holders of Founder Shares may also elect to convert their Class B Shares into an equal number of Class A Shares, subject to adjustment as provided above, at any time. At March 31, 2017 there were 31,000,000 Class A Shares issued and outstanding, of which 29,490,640 shares were subject to possible redemption and are classified outside of shareholders’ equity at the balance sheet date and 7,750,000 Class B Shares issued and outstanding.

 

Redeemable Ordinary Shares

 

The Class A Shares subject to possible redemption will be recorded at redemption value and classified as temporary equity in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 480, Distinguishing Liabilities from Equity. The Company will proceed with a Business Combination only if it has net tangible assets of at least $5,000,001 upon consummation of the Business Combination and, in the case of a shareholder vote, a majority of the outstanding Ordinary Shares voted are voted in favor of the Business Combination. Accordingly, at March 31, 2017, 29,490,640 of the Company’s 31,000,000 Class A Shares were classified outside of permanent equity at their redemption value.

XML 24 R13.htm IDEA: XBRL DOCUMENT v3.7.0.1
Significant Accounting Policies (Policies)
3 Months Ended
Mar. 31, 2017
Significant Accounting Policies  
Basis of Presentation

Basis of Presentation

 

The accompanying unaudited condensed financial statements have been prepared in U.S dollars in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted, pursuant to the rules and regulations of the SEC for interim financial reporting. Accordingly, they do not include all of the information and footnotes necessary for a comprehensive presentation of the financial position, results of operations or cash flows. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments, consisting of a normal recurring nature, which are necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented.

 

The accompanying unaudited condensed financial statements should be read in conjunction with the Company’s final prospectus as filed with the SEC on October 10, 2016 and declared effective on October 7, 2016, as well as the Company’s form 8-K, as filed with the SEC on October 20, 2016. Operating results for the three months ended March 31, 2017 are not necessarily indicative of the results that may be expected for the year ending December 31, 2017 or any other future period.

Emerging Growth Company

Emerging Growth Company

 

Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.

Use of Estimates

Use of Estimates

 

The preparation of the Company’s financial statements in conformity with US GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.

Cash and Cash Equivalents

Cash and Cash Equivalents

 

The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.

Concentration of Credit Risk

Concentration of Credit Risk

 

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in a financial institution, which at times, may exceed the Federal depository insurance coverage of $250,000. The Company has not experienced losses on these accounts and management believes the Company is not exposed to significant risks on such accounts.

Financial Instruments

Financial Instruments

 

The fair value of the Company’s assets and liabilities, which qualify as financial instruments under FASB ASC 820, Fair Value Measurements and Disclosures, approximates the carrying amounts represented in the balance sheet.

Fair Value Measurement

Fair Value Measurement

 

ASC 820 establishes a fair value hierarchy that prioritizes and ranks the level of observability of inputs used to measure investments at fair value. The observability of inputs is impacted by a number of factors, including the type of investment, characteristics specific to the investment, market conditions and other factors. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements).

 

Investments with readily available quoted prices or for which fair value can be measured from quoted prices in active markets will typically have a higher degree of input observability and a lesser degree of judgment applied in determining fair value.

 

The three levels of the fair value hierarchy under ASC 820 are as follows:

 

Level I — Quoted prices (unadjusted) in active markets for identical investments at the measurement date are used.

 

Level II — Pricing inputs are other than quoted prices included within Level I that are observable for the investment, either directly or indirectly. Level II pricing inputs include quoted prices for similar investments in active markets, quoted prices for identical or similar investments in markets that are not active, inputs other than quoted prices that are observable for the investment, and inputs that are derived principally from or corroborated by observable market data by correlation or other means.

 

Level III — Pricing inputs are unobservable and include situations where there is little, if any, market activity for the investment. The inputs used in determination of fair value require significant judgment and estimation.

 

In some cases, the inputs used to measure fair value might fall within different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the investment is categorized in its entirety is determined based on the lowest level input that is significant to the investment. Assessing the significance of a particular input to the valuation of an investment in its entirety requires judgment and considers factors specific to the investment. The categorization of an investment within the hierarchy is based upon the pricing transparency of the investment and does not necessarily correspond to the perceived risk of that investment.

Offering Costs

Offering Costs

 

The Company complies with the requirements of ASC 340-10-S99-1 and SEC Staff Accounting Bulletin Topic 5A; “Expenses of Offering”. The Company incurred offering costs in connection with its Public Offering of $833,589, primarily consisting of accounting and legal services, securities registration expenses and exchange listing fees, and excluding $6,200,000 in underwriting discounts and $10,850,000 in deferred underwriting discounts. These offering costs, along with underwriting discounts, were charged to shareholders’ equity.

Net Income Per Share

Net Income Per Share

 

Net income/(loss) per ordinary share is computed by dividing net income attributable to ordinary shares by the weighted average number of ordinary shares outstanding during the period (excluding 29,490,640 Class A Shares subject to possible redemption as of March 31, 2017 and 1,125,000 Class B Shares subject to forfeiture as of March 31, 2016), plus, to the extent dilutive, the incremental number of Class A Shares to settle the Private Placement Warrants and the Warrants included in the Units. At March 31, 2017, the Company had outstanding warrants for the purchase of up to 23,700,000 Class A Shares. For the period ended March 31, 2017, the weighted average of these shares was excluded from the calculation of diluted net income per ordinary share since the exercise of the warrants is contingent on the occurance of future events. As a result, diluted net income per ordinary share is equal to basic net income/(loss) per ordinary share.

Income Taxes

Income Taxes

 

The Company accounts for income taxes under FASB ASC 740, Income Taxes (“ASC 740”). ASC 740 requires the recognition of deferred tax assets and liabilities for both the expected impact of differences between the financial statement and tax basis of assets and liabilities and for the expected future tax benefit to be derived from tax loss and tax credit carry forwards. ASC 740 additionally requires a valuation allowance to be established when it is more likely than not that all or a portion of deferred tax assets will not be realized.

 

ASC 740 also clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. There were no unrecognized tax benefits as of March 31, 2017. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position.

 

There is currently no taxation imposed on income by the Government of the Cayman Islands.

Recent Accounting Pronouncements

Recent Accounting Pronouncements

 

Management does not believe that any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying balance sheet.

Subsequent Events

Subsequent Events

 

On April 6, 2017, the Company invested the funds held in the Trust Account in U.S. Treasury Bills maturing on July 6, 2017.

 

Other than the foregoing, management has performed an evaluation of subsequent events from March 31, 2017 through the date which these financial statements were issued. Based upon the review, management did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the financial statements.

XML 25 R14.htm IDEA: XBRL DOCUMENT v3.7.0.1
Organization and Plan of Business Operations - Organization and General (Details) - USD ($)
3 Months Ended
Nov. 28, 2016
Oct. 14, 2016
Mar. 31, 2017
Dec. 31, 2016
Organization and Financing        
Par value of common stock (in dollars per share)     $ 0.0001 $ 0.0001
Revenue     $ 0  
Class A        
Organization and Financing        
Par value of common stock (in dollars per share)     $ 0.0001 0.0001
IPO        
Organization and Financing        
Sale of units   310,000,000 30,000,000  
Price of units (in dollars per unit)   $ 10.00 $ 10.00  
Number of warrants included in each unit   1 1  
IPO | Class A        
Organization and Financing        
Number of shares of common stock included in each unit   1 1  
Par value of common stock (in dollars per share)     $ 0.0001 $ 0.0001
Number of shares called by each warrant   0.5 0.5  
Over-Allotment Option        
Organization and Financing        
Sale of units 1,000,000      
Term of option to purchase additional units     45 days  
Over-Allotment Option | Maximum        
Organization and Financing        
Additional units available for purchase     4,500,000  
XML 26 R15.htm IDEA: XBRL DOCUMENT v3.7.0.1
Organization and Plan of Business Operations - Financing (Details) - USD ($)
3 Months Ended
Nov. 28, 2016
Oct. 14, 2016
Mar. 31, 2017
Private Placement      
Organization and Financing      
Warrants issued (in shares) 400,000 16,000,000  
Purchase price of warrants   $ 0.50  
Aggregate value of warrants, net of proceeds reserved for operations   $ 8,000,000  
Aggregate value of warrants   8,200,000  
IPO      
Organization and Financing      
Net proceeds from sale of units   310,000,000  
Payment of underwriting discounts   6,200,000  
Funds designated for operational use   $ 2,000,000  
Sale of units   310,000,000 30,000,000
Over-Allotment Option      
Organization and Financing      
Sale of units 1,000,000    
Over-Allotment Option and Private Placement      
Organization and Financing      
Payment of underwriting discounts $ 200,000    
Over-Allotment Option and Private Placement | Assets held in trust      
Organization and Financing      
Net proceeds from sale of units $ 10,000,000    
XML 27 R16.htm IDEA: XBRL DOCUMENT v3.7.0.1
Organization and Plan of Business Operations - The Trust Account (Details)
Mar. 31, 2017
USD ($)
The Trust Account  
Accrued interest receivable held in trust account $ 359,511
U.S. Treasury bills | Fair Value, Inputs, Level 1  
The Trust Account  
Cash balance in the Trust Account $ 310,359,511
XML 28 R17.htm IDEA: XBRL DOCUMENT v3.7.0.1
Organization and Plan of Business Operations - Business Combination and Liquidity (Details)
3 Months Ended
Mar. 31, 2017
USD ($)
item
$ / shares
Business Combination  
Business combination, redemption valuation period prior to consummation 2 days
Uncompleted business combination, wind-up period 10 days
Liquidity  
Cash held outside of the Trust Account available for working capital $ 345,377
Minimum  
Business Combination  
Number of target businesses for Business Combination | item 1
Class A | Maximum  
Business Combination  
Percent of aggregate public shares that may be redeemed by a shareholder 15.00%
Assets held in trust  
Business Combination  
Price of units (in dollars per unit) | $ / shares $ 10.00
Assets held in trust | Maximum  
Business Combination  
Portion of interest income allowed to pay dissolution expenses $ 50,000
Assets held in trust | Minimum  
Business Combination  
Business combination, fair value percent of assets held in trust 80.00%
XML 29 R18.htm IDEA: XBRL DOCUMENT v3.7.0.1
Significant Accounting Policies (Details) - USD ($)
3 Months Ended
Oct. 14, 2016
Mar. 31, 2017
Mar. 31, 2016
Concentration of Credit Risk      
Federal depository insurance coverage   $ 250,000  
Income Taxes      
Unrecognized tax benefits   $ 0  
Class A      
Net Income Per Share      
Ordinary shares subject to possible redemption, shares issued   29,490,640  
Outstanding warrants to purchase Class A Shares   23,700,000  
Class B      
Net Income Per Share      
Shares subject to forfeiture     1,125,000
IPO      
Offering Costs      
Offering Costs $ 833,589    
Underwriting discounts 6,200,000    
Deferred underwriting commission $ 10,850,000    
XML 30 R19.htm IDEA: XBRL DOCUMENT v3.7.0.1
Public Offering (Details) - $ / shares
3 Months Ended
Nov. 28, 2016
Oct. 14, 2016
Mar. 31, 2017
Public Offering      
Period after the completion of the Business Combination for exercise of warrants (in days)   30 days  
Period from closing of Public Offering for exercise of warrants (in months)   12 months  
Expiration period of warrants after completion of the Business Combination   5 years  
Redemption price per warrant   $ 0.01  
Redemption notice period   30 days  
Warrants redemption covenant, threshold trading days   20 days  
Warrants redemption covenant, threshold consecutive trading days   30 days  
Class A      
Public Offering      
Number of warrants required for conversion to one whole share   2  
Exercise price   $ 11.50  
Minimum price per share required for redemption of warrants   $ 24.00  
IPO      
Public Offering      
Sale of units   310,000,000 30,000,000
Price of units (in dollars per unit)   $ 10.00 $ 10.00
Number of warrants included in each unit   1 1
IPO | Class A      
Public Offering      
Number of shares of common stock included in each unit   1 1
Number of shares called by each warrant   0.5 0.5
Over-Allotment Option      
Public Offering      
Sale of units 1,000,000    
IPO and Over-Allotment Option      
Public Offering      
Sale of units   31,000,000  
XML 31 R20.htm IDEA: XBRL DOCUMENT v3.7.0.1
Commitments (Details) - item
Mar. 31, 2017
Oct. 14, 2016
Registration Rights    
Maximum number of demands 3  
IPO    
Underwriting Agreement    
Underwriting discount   2.00%
Deferred underwriting discount 3.50%  
Over-Allotment Option    
Underwriting Agreement    
Underwriting discount   2.00%
Deferred underwriting discount 3.50%  
XML 32 R21.htm IDEA: XBRL DOCUMENT v3.7.0.1
Cash Held in Trust Account (Details) - USD ($)
3 Months Ended
Oct. 14, 2016
Mar. 31, 2017
Cash Held in Trust Account    
Interest income   $ 359,511
U.S. Treasury bills | Fair Value, Inputs, Level 1    
Cash Held in Trust Account    
Cash balance in the Trust Account   $ 310,359,511
IPO and Over-Allotment Option    
Cash Held in Trust Account    
Net proceeds from sale of units $ 310,000,000  
Private Placement    
Cash Held in Trust Account    
Proceeds from issuance of Private Placement Warrants 8,200,000  
IPO    
Cash Held in Trust Account    
Net proceeds from sale of units 310,000,000  
Underwriting discounts 6,200,000  
Funds designated for operational use $ 2,000,000  
XML 33 R22.htm IDEA: XBRL DOCUMENT v3.7.0.1
Related Party Transactions - Related Party Loans and Administrative Services Agreement (Details) - USD ($)
10 Months Ended
Oct. 14, 2016
Oct. 14, 2016
Mar. 31, 2017
Dec. 14, 2015
Related Party Loans | Sponsor | Unsecured Promissory Note        
Related Party Transactions        
Promissory note, maximum borrowing capacity       $ 300,000
Amount borrowed between inception and the Close Date   $ 300,000    
Repayment of note payable to Sponsor $ (300,000)      
Related Party Loans | Sponsor | Working Capital Loan        
Related Party Transactions        
Conversion price per warrant     $ 0.50  
Related Party Loans | Sponsor | Working Capital Loan | Maximum        
Related Party Transactions        
Portion of working capital loan that may be converted into warrants     $ 1,500,000  
Administrative Services Agreement        
Related Party Transactions        
Monthly payment for office space and support services     $ 10,000  
XML 34 R23.htm IDEA: XBRL DOCUMENT v3.7.0.1
Related Party Transactions - Private Placement Warrants (Details) - USD ($)
3 Months Ended
Nov. 28, 2016
Oct. 14, 2016
Mar. 31, 2017
Related Party Transactions      
Period after the completion of the Business Combination for exercise of warrants (in days)   30 days  
Private Placement      
Related Party Transactions      
Warrants issued (in shares) 400,000 16,000,000  
Purchase price of warrants   $ 0.50  
Aggregate value of warrants, net of proceeds reserved for operations   $ 8,000,000  
Aggregate value of warrants   $ 8,200,000  
Class A      
Related Party Transactions      
Number of warrants required for conversion to one whole share   2  
Exercise price   $ 11.50  
Private Placement Warrants      
Related Party Transactions      
Period after the completion of the Business Combination for exercise of warrants (in days)     30 days
Private Placement Warrants | Private Placement      
Related Party Transactions      
Warrants issued (in shares)   16,000,000  
Purchase price of warrants   $ 0.50  
Aggregate value of warrants, net of proceeds reserved for operations   $ 8,000,000  
Number of shares called by each warrant     0.5
Private Placement Warrants | Class A      
Related Party Transactions      
Exercise price     $ 11.50
Private Placement Warrants | Class A | Private Placement      
Related Party Transactions      
Number of warrants required for conversion to one whole share     2
Private Placement Warrants | Initial Shareholders | Private Placement      
Related Party Transactions      
Warrants issued (in shares) 400,000    
Purchase price of warrants $ 0.50    
Aggregate value of warrants $ 200,000    
XML 35 R24.htm IDEA: XBRL DOCUMENT v3.7.0.1
Related Party Transactions - Founder Shares (Details)
1 Months Ended 3 Months Ended
Oct. 14, 2016
shares
Dec. 14, 2015
USD ($)
$ / shares
shares
Oct. 31, 2016
$ / shares
shares
Mar. 31, 2017
USD ($)
$ / shares
shares
Mar. 31, 2016
shares
Dec. 31, 2016
USD ($)
shares
Related Party Transactions            
Minimum ownership of ordinary shares by initial shareholders (as a percent)       20.00%    
Founder Shares redemption covenant, minimum price per share | $ / shares       $ 12.00    
Class B            
Related Party Transactions            
Ordinary shares, shares issued       7,750,000   7,750,000
Ordinary shares, value | $       $ 775   $ 775
Shares subject to forfeiture         1,125,000  
Ratio of conversion from Class B to Class A ordinary shares       1    
Founder Shares Transactions | Class B            
Related Party Transactions            
Ratio of conversion from Class B to Class A ordinary shares       1    
Restriction to transfer Class B ordinary shares (in years)       1 year    
Founder Shares redemption covenant, threshold trading days       20 days    
Founder Shares redemption covenant, threshold consecutive trading days       30 days    
Founder Shares redemption covenant, minimum restriction term (in days)       150 days    
Founder Shares Transactions | Sponsor            
Related Party Transactions            
Shares subject to forfeiture   1,125,000        
Founder Shares Transactions | Sponsor | Class B            
Related Party Transactions            
Ordinary shares, shares issued   8,625,000        
Price per share | $ / shares   $ 0.003        
Ordinary shares, value | $   $ 25,000        
Shares forfeited 875,000          
Founder Shares Transactions | Initial Shareholders            
Related Party Transactions            
Minimum ownership of ordinary shares by initial shareholders (as a percent) 20.00% 20.00%        
Founder Shares Transactions | Director | Class B            
Related Party Transactions            
Ordinary shares, shares issued     50,000      
Price per share | $ / shares     $ 0.003      
Additional purchase of ordinary shares     421,250      
XML 36 R25.htm IDEA: XBRL DOCUMENT v3.7.0.1
Shareholders' Equity (Details)
3 Months Ended
Mar. 31, 2017
USD ($)
$ / shares
shares
Dec. 31, 2016
$ / shares
shares
Shareholders' Equity    
Preferred shares, shares authorized 1,000,000 1,000,000
Preferred shares, par value (in dollar per share) | $ / shares $ 0.0001 $ 0.0001
Preferred shares, shares issued 0 0
Preferred shares, shares outstanding 0 0
Ordinary shares, shares authorized 220,000,000 220,000,000
Ordinary shares, par value (in dollar per share) | $ / shares $ 0.0001 $ 0.0001
Ordinary shares, voting rights per share one vote  
Minimum ownership of ordinary shares by initial shareholders (as a percent) 20.00%  
Ordinary shares subject to redemption, shares issued 29,490,640 29,510,755
Ordinary shares subject to redemption, shares outstanding 29,490,640  
Net tangible assets | $ $ 5,000,001  
Class A    
Shareholders' Equity    
Ordinary shares, shares authorized 200,000,000 200,000,000
Ordinary shares, par value (in dollar per share) | $ / shares $ 0.0001 $ 0.0001
Total ordinary shares issued, including shares subject to redemption 31,000,000  
Total ordinary shares outstanding, including shares subject to redemption 31,000,000  
Ordinary shares, shares issued 1,509,360 1,489,245
Ordinary shares, shares outstanding 1,509,360 1,489,245
Class B    
Shareholders' Equity    
Ordinary shares, shares authorized 20,000,000 20,000,000
Ordinary shares, par value (in dollar per share) | $ / shares $ 0.0001 $ 0.0001
Ratio of conversion from Class B to Class A ordinary shares 1  
Ordinary shares, shares issued 7,750,000 7,750,000
Ordinary shares, shares outstanding 7,750,000 7,750,000
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