Why TPGY Shares Are Falling Tuesday

A SPAC with a previously announced deal for a charging infrastructure company is seeing shares fall Tuesday morning.

What Happened: On Monday night, TPG Pace Beneficial Finance Corp TPGY reported in an 8-K filing that its SPAC merger with EVBox could be at risk.

“It no longer expects to be in a position to close the business combination by June 2021 as previously disclosed and significantly uncertainty exists regarding whether the business combination will ultimately be completed on the terms currently contemplated or at all,” the filing reads.

Related Link: Charging Infrastructure SPAC Plays: Is EVGo The Best Of The Bunch?

EVBox needs to refile its financial statements for fiscal 2020, according to the filing. New financial results could change the valuation of the company.

TPG Pace Beneficial Finance Corp could seek to change the terms of the deal, which could greatly delay the timing of getting the deal done.

If TPG Pace Beneficial Finance Corp moves on from EVBox it could have limited time to get a new deal done and will need to extend its timeline.

Price Action: Shares of TPG Pace Beneficial Finance Corp shares are down 18% to $11.45 on Tuesday morning.