Hypebeast To List On Nasdaq With Backing From Tom Brady, Naomi Osaka, Jonah Hill

Hypebeast, a Hong Kong-listed streetwear and culture company, has announced that it plans to list on Nasdaq through a merger with Iron Spark, a U.S. special purpose acquisition company (SPAC), in a deal that will generate up to $180 million in proceeds.

The transaction will see American football player Tom Brady, tennis star Naomi Osaka and Hollywood actor Jonah Hill, among others, become investors in the company by acquiring $13.3 million worth of shares in Hypebeast.

“Partnering with Iron Spark and entering the public markets in the U.S. will propel us to the next level,” Kevin Ma, chairman and CEO of Hypebeast, said in a statement. “With access to new capital and talent, we will expand our universe of content, commerce, and experiences in a way that strengthens our business and community.”

Ma will remain in his position after the merger, while Iron Spark CEO Joshua L. Spear and former Nike president Trevor Edwards will be nominated to join the board.

The merger, which will be subject to approval by shareholders and regulators, will value Hypebeast at $534 million. The transaction is projected to be completed by the third quarter of this year. The proceeds from the deal will be used for investments in technology, talent, brand experiences and marketing, the company said.

Hypebeast launched its first non-fungible token (NFT) art sale in 2021, and it intends to curate and seek new Web 3.0 and metaverse-linked opportunities within the next 12 months, it said in its filing.

Hypebeast was founded by Ma in 2005 as a sneaker blog, and has grown to have 26 million social media followers and 18 million monthly visitors to its platforms. The company listed on the Hong Kong stock exchange in 2016. In a video interview with Forbes Asia in 2018, Ma said his ultimate goal is to create a brand that lasts beyond his lifetime and which people still gravitate towards in 100 years time.

Hypebeast was featured multiple times on the “Best Under A Billion” list, which highlights 200 top-performing Asia-Pacific public companies with less than $1 billion in sales.

Hybeast is projected to report revenue of $112 million for the fiscal year ended March 31, 2022, a 29% increase from a year earlier. The company said it’s been consistently profitable.