We are delighted to have acted as Cayman Islands counsel to ETH Partners as founders of The Ether Machine, Inc. on their entry into a definitive agreement for a business combination between The Ether Reserve LLC and Cayman Islands SPAC Dynamix Corporation (Nasdaq: DYNX). Upon the closing of the business combination, the combined entity is expected to trade on NASDAQ under the ticker symbol "ETHM".
The transaction marks the largest all-common-stock financing committed at announcement since 2021—expected to deliver over $1.6 billion of gross proceeds, including over $1.5 billion of fully committed financing and up to $170 million of cash held in Dynamix's trust account. The company is expected to launch with over 400,000 ETH on its balance sheet, making it the largest public Ether generation company.
The Appleby team, led by Cayman partner, Dean Bennett, and supported by Senior Associate, Marsha Williamson and Associate, Andrew Barr, worked alongside Skadden, Arps, Slate, Meagher & Flom LLP.
Commenting on the deal, partner Dean Bennett said "We are delighted to be supporting ETH Partners on this landmark transaction which continues the evolution in the use of SPAC's for creating next-generation digital infrastructure businesses. This transaction marks another significant step for the Ethereum ecosystem and broader digital assets industry, following the recent surge in interest in Bitcoin treasury companies after the precedent setting Twenty One Capital deal announcement, which we also advised on. This transaction yet again showcases Appleby's expertise for complex M&A work and Band 1-ranked FinTech team.".
More information about the transaction is available here: https://www.prnewswire.com/news-releases/the-ether-machine-to-go-public-with-over-1-5-billion-of-fully-committed-capital-302509349.html