Tom Barrack SPAC pulls SEC registration, IPO plan as Trump ally’s bail hearing is moved to Friday in LA

A bail hearing for Thomas Barrack, the private equity investor charged with illegally lobbying his close friend, former President Donald Trump, on behalf of the United Arab Emirates, was rescheduled to Friday in Los Angeles federal court.

Also Friday, Falcon Acquisition, a special purpose acquisition company backed by Barrack, told the Securities and Exchange Commission it is withdrawing its registration statement with the agency “because the company has elected to abandon” planned transactions.

The transactions had included an initial public offering of 25 million shares to raise $250 million for Falcon Acquisition, which was formed by Barrack’s family office Falcon Peak, and TI Capital.

Falcon Acquisition, which had planned to list its shares on the New York Stock Exchange, had said it was targeting tech-driven businesses as candidates for mergers.

A lawyer for Falcon Peak did not immediately respond to a CNBC request for comment. 

Barrack, 74, has been jailed since his arrest Tuesday in Los Angeles. He originally was due to have his bail hearing Monday, along with Thomas Grimes, a 27-year-old business associate of Barrack’s, who is charged in the case.

But the U.S. Attorney’s Office in Brooklyn, New York, which is prosecuting Barrack and Grimes, said Friday morning that both men’s bail hearing will take place at 1 p.m. ET in California.

Article source: https://www.cnbc.com/2021/07/23/trump-ally-tom-barrack-spac-pulled-bail-hearing-in-uae-case-changed.html