Circle Valued at $9B in New Transaction Terms Agreed with Concord Acquisition Corp

Circle Internet Financial, a global internet finance firm that provides internet-based payments and financial infrastructure to businesses of all sizes and is the issuer of USD Coin (USDC), announced today that it has terminated its existing business combination and agreed to new transaction terms with Concord Acquisition Corp (NYSE:CND), a publicly traded special purpose acquisition company.

The new agreement sets Circle’s enterprise value at $9 billion, increased from the $4.5 billion originally announced in July 2021.The increase in value reflects improvements in Circle’s financial outlook and competitive position – particularly the growth and market share of USDC, one of the fastest growing dollar digital currencies. USDC’s circulation has more than doubled since the original deal was announced, reaching $52.5 billion as of February 16, 2022.

“We continue to believe that Circle is one of the most interesting, innovative and exciting companies in the evolution of global finance and we believe it will have an historic impact on the global economic system,” said Bob Diamond, Chairman of Concord Acquisition Corp and CEO of Atlas Merchant Capital. “Circle’s rapid growth and world-class leadership are underscored by a regulatory-first mindset fixed on building trust and transparency in global markets. We believe our new deal is attractive because it preserves the ability of Concord’s public stakeholders to participate in a transaction with this great company.”

“Circle has made massive strides toward transforming the global economic system through the power of digital currencies and the open internet,” said Jeremy Allaire, Circle’s co-founder and CEO. “Being a public company will further strengthen trust and confidence in Circle and is a critical milestone as we continue our mission to build a more inclusive financial ecosystem. Making this journey with Concord under our new agreement is a strategic accelerator.”

Under the terms of the new agreement, the holding company that was set up in connection with the original business combination (the “Company”) will acquire both Concord and Circle and become a publicly-traded business, expected to trade on the NYSE under the symbol “CRCL.” The new deal replaces the prior business combination agreement, which for a variety of reasons outside of the parties’ control could not be completed by the termination date of April 3, 2022.

The new agreement has an initial outside date of December 8, 2022, with the potential to extend such date to January 31, 2023 under certain circumstances. Upon closing of the new transaction, current shareholders of Concord will exchange their shares of Concord common stock for equity of the Company.

The new transaction agreement has been approved by the Board of Directors of both Concord Acquisition Corp and Circle. The transaction is subject to approval by shareholders of Concord and Circle and other customary closing conditions, including any applicable regulatory approvals.

Additional information about the transaction, including updated financial projections will be provided in a Current Report on Form 8-K filed with the SEC and available at www.sec.gov.