Rithm Acquisition Corp. Priced for Success: $200 Million IPO Launch

Rithm Acquisition Corp., a special purpose acquisition company (SPAC) backed by Rithm Capital Corp., has officially announced the pricing of its initial public offering (IPO), set to raise $200 million. The offering consists of 20 million units priced at $10.00 each and will be listed on the New York Stock Exchange under the ticker symbol "RAC.U." Trading is anticipated to commence on February 27, 2025, with the IPO expected to close on February 28, 2025, pending standard closing conditions.

Each unit in this offering comprises one Class A ordinary share and one-third of a redeemable warrant. Holders of the whole warrants will have the right to purchase one Class A ordinary share at a price of $11.50 per share, subject to certain adjustments. Once the units begin trading separately, the Class A ordinary shares and warrants are expected to be listed under the ticker symbols "RAC" and "RAC.WS," respectively.

Citigroup Global Markets Inc., BTIG, LLC, and UBS Investment Bank are acting as joint book-running managers for this offering. Furthermore, Rithm Acquisition Corp. has granted underwriters a 45-day option to purchase up to an additional 3 million units at the initial public offering price to cover over-allotments if necessary.

Rithm Acquisition Corp. aims to leverage its management team's extensive experience in the financial services and real estate sectors to identify and acquire promising businesses or entities. The SPAC also plans to explore opportunities related to digital infrastructure, particularly at the intersection of technology and infrastructure. This strategic focus is expected to facilitate post-business combination value creation for its shareholders, following the success of prior investments by the management team.

Rithm Capital Corp., the sponsor of Rithm Acquisition Corp., is a global asset manager with a focus on real estate, credit, and financial services. The firm has made direct investments and operates multiple wholly-owned businesses, including Sculptor Capital Management, Newrez LLC, and Genesis Capital LLC. Since its inception in 2013, Rithm Capital has returned approximately $5.8 billion in dividends to shareholders, showcasing its commitment to generating attractive risk-adjusted returns across various market cycles.

The registration statement relating to the securities offered in this IPO was declared effective by the U.S. Securities and Exchange Commission (SEC) on February 26, 2025. As the company gears up for its market debut, investors and market observers will be keenly watching how Rithm Acquisition Corp. positions itself in the competitive landscape of SPACs and the broader financial sector.

In conclusion, Rithm Acquisition Corp.'s entry into the public market signals its ambition to capitalize on emerging opportunities within its target sectors, backed by a robust management team poised for success.