Thrasio Is in Talks to Go Public Via Michael Klein SPAC

Crystal Tse, Liana Baker and Gillian Tan, Bloomberg News

The logo for Amazon.com Inc. is displayed on an Apple Inc. iPhone in an arranged photograph taken in the Brooklyn borough of New York, U.S., on Friday, April 10, 2020. Across the country, millions of consumers are turning to Amazon.com and other services to fill their fridges via online delivery rather than brave going to a supermarket because of shelter-in-place declarations during the coronavirus pandemic. Photographer: Gabby Jones/Bloomberg , Bloomberg

(Bloomberg) -- Thrasio, an acquirer of private-label businesses on Amazon.com Inc., is in talks to go public through a merger with a blank-check company set up by former Citigroup Inc. rainmaker Michael Klein, according to people with knowledge of the matter.

The online retailer, backed by private equity firm Advent International, could be valued at well over $2 billion in a merger with Churchill Capital Corp. V, the people said, asking not to be identified because the information is private. That valuation could even reach more than $10 billion, two of the people said.

Churchill Capital V shares rose as much as 3.9% to $10.46 in New York trading.

No deal has been finalized, and negotiations could still fall apart. Representatives for Thrasio, Advent and Churchill Capital declined to comment.

Thrasio raised $500 million in a senior debt facility via JPMorgan Chase & Co., Goldman Sachs Group Inc. and the asset management arm of Royal Bank of Canada in January. Prior to that, it raised $260 million in a series C funding round led by Advent International.

Thrasio buys brands for everyday products from small business owners for a typical purchase price of more than $1 million. It then operates the brand with upgraded marketing, product development and supply chain management.

Churchill Capital V raised $500 million in its initial public offering in December. Klein’s previous SPACs agreed to deals to take companies includingLucid Motors Inc. and Multiplan Corp. public.

(Updates with shares in third paragraph.)