Baton Rouge-based BBQGuys and Velocity Acquisition Corp. today announced they have agreed to terminate their planned merger due to the impact of global supply chain issues on BBQGuys’ business.
The merger agreement was first announced in July. Merging with the specialty purpose acquisition company would have resulted in BBQGuys becoming a publicly listed company on Nasdaq. The deal was announced less than a year after BBQGuys was sold to Brand Velocity Partners.
According to this morning’s announcement, the parties decided to terminate the agreement “as a result of current supply chain factors that are affecting the results of the BBQGuys business and timing of closing the transaction.”
Velocity founder Doug Jacob says the SPAC will continue its efforts to capitalize on digital changes happening in the retail sector and is seeking another company to combine with.
“We have a tremendous amount of respect for the incredible team at Velocity, and thank them for their insight during this process,” says BBQGuys CEO Russ Wheeler. “The BBQGuys business has continued to demonstrate solid momentum as consumer demand for our products and services continues to increase.” See the announcement.