Circle Internet Financial (Circle) and Concord Acquisition Corp (NYSE: CND), a special purpose acquisition company, announced the termination of their proposed business merger. The agreement was originally announced in July 2021 and amended in February 2022.
The dissolved deal comes amid the failure of digital asset exchange FTX, which shook the crypto industry that was already facing turmoil amid rising interest rates and several bankruptcies.
“We are disappointed the proposed transaction timed out; however, becoming a public company remains part of Circle’s core strategy to enhance trust and transparency, which has never been more important,” said Jeremy Allaire, Circle chief executive. Diamond added that he would “continue being an advocate for the company as it continues to grow”.
According to Concord’s amended certificate of incorporation, it has until December 10, 2022, to finalize a business combination.
“Circle plays a key role in the blockchain’s disruption of financial services,” said Bob Diamond, Chairman of Concord Acquisition Corp. “I remain confident in Circle’s regulatory-first approach to building trust and transparency in the financial industry, which has never been more important, and I will continue being an advocate for the company as it continues to grow.”
Termination of the proposed merger has been approved by the Board of Directors of both Concord and Circle.