Selina, a US-based, corporate-backed operator of short-term accommodation and co-working spaces, agreed a reverse takeover yesterday with special purpose acquisition company BOA Acquisition Corp.
The transaction gives the combined entity a pro forma valuation of roughly $1.2bn and is supported by $70m in private investment in public equity (PIPE) financing from backers including investment firm DigitalBridge’s South Light Capital affiliate, More Investment House and Sir Ronald Cohen.
BOA’s sponsor and founder-led shareholders are also contributing to the PIPE, having supplied a $15m minimum equity backstop. The business will acquire the position on the New York Stock Exchange taken by BOA Acquisition Corp in a $200m initial public offering in February this year.
Founded in 2015, Selina runs shared accommodation and workspaces across 20 markets, catering especially to young remote workers.
The company had secured $225m in total equity funding as of a $100m series C round closed in 2019 at an $850m valuation that was led by conglomerate Access Industries and backed by diversified holding group Grupo Wiese and Colony Latam Partners.
Abraaj Group, the private equity firm whose Latin America-based platform is now part of Colony Latam Partners, had taken part in Selina’s $95m series B round the previous year, investing alongside Adam Neumann, founder of workspace operator WeWork.
Selina co-founder and chief executive Rafael Museri said: “By partnering local artisans to design culturally relevant and inspiring destinations, we are creating opportunities for them to forge lifelong connections within the rapidly expanding Selina community.
“We have spent the last six years building and scaling an efficient and differentiated platform, and this transaction will enable us to bring Selina to more locations and travellers across the world.”
Photo courtesy of Selina.
