ALIGNVEST Acquisition II Corporation, the special purpose company set to acquire all the shares in Sagicor Financial Corporation, has raised CAN$601 million ($59 billion) from its initial public offering on the Toronto Stock Exchange, Canadian $86 million ($8.5 billion) ahead of its target for CAN$515 million ($50.6 billion).

The raised equity, which is also well in excess of the US$220 million ($29.8 billion) minimum net cash requirement secured from Alignvest investors— KGT Investments, known as Highgate; and HG Vora Investments — provides Alignvest with ‘funding certainty’ to close the acquisition deal with Sagicor.

According to a statement from the company, approximately 97 per cent of Alignvest’s Class A restricted voting shareholders elected to redeem, which more than offset capital commitments from Alignvest’s previously announced additional subscriptions and forward purchase commitments.

On November 27, 2018, Alignvest announced that it had entered into a definitive arrangement agreement with Sagicor to effect a business combination by way of an Ontario court approved plan of arrangement and a Bermuda court approved scheme of arrangement.

Sagicor is a market-leading provider of insurance products and related financial services in the Caribbean region, notably in Jamaica, Trinidad and Tobago, and Barbados, and has a growing presence as a provider of life insurance products in the United States. Sagicor has more than 175 years of history in the region and is the second-oldest insurer in the Americas.

Last week, local operation, JMMB Group, announced plans to pump US$200 million ($27.1 billion) in Alignvest, allowing the Jamaican financial conglomerate indirect ownership in the largest insurance conglomerate in the market.

The announcement regarding JMMB’s deal with Alignvest occurred days before a vote set for Barbados on June 4 for Sagicor Financial shareholders to vote their approval of a restructuring plan that will set the stage for its acquisition by Alignvest.

Yesterday, Alignvest Acquisition stocks traded at a 52-week high of CAN$10.59.