Infinite Reality, a company that takes companies into the metaverse, announced plans to go public through a special purpose acquisition company, or SPAC. The company plans to raise at least $128 million at a valuation of $1.85 billion.
Per the agreement, Infinite Reality would combine with Newbury Street Acquisition Corporation (NASDAQ: NBST), a publicly traded company that serves as an investment vehicle. Infinite Reality said it is working with some of the world’s biggest brands, including Warner Bros. Discovery Sports, to foster immersive virtual experiences and new monetization opportunities in Web3-enabled showrooms and events.
In July, Infinite Reality acquired esports company ReKTGlobal for $470 million in stock. That deal valued the combined entity at $2.5 billion. In an interview with GamesBeat, CEO John Acunto said the company isn’t yet disclosing information about investors in the PIPE deal.
Acunto said the company isn’t yet disclosing any financials like whether it was profitable or not. He said the company is in transition and “hyper-accelerating into creating immersive experiences for our customers.” He said the $128 million figure does not include any money from a PIPE.
As for the change in valuation, Acunto said that shows how the “macroeconomics in the world” have change the dynamics of the valuation.
“We actually feel very good about valuation, being able to meet the rigorous [analysis],” he said. “And we look at other businesses that have similar assets having at 90% decreases in the market. This is a big win for us.”