ContextLogic urges stockholders to vote for Qoo10 transaction

ContextLogic reminded stockholders to vote “FOR” the proposed Asset Sale transaction with Qoo10 in advance of the special meeting of its stockholders scheduled for April 12, 2024. ContextLogic stockholders of record at the close of business on March 7, 2024, are entitled to vote at or in advance of the Special Meeting. The Company currently estimates that its post-closing cash would range between $150-157 million, assuming an April 16th closing. The transaction preserves $2.7 billion of net operating losses, which the Company plans to work expeditiously to utilize. After reducing substantially all of the Company’s cash burn, the post-closing Board will conduct a careful and extensive review of available opportunities for the Company’s NOLs. A potential dissolution or premium cash takeout would net less for stockholders than the current transaction price and destroy the value of the NOLs. The Company expects to complete the transaction in the second quarter of 2024, subject to the approval of ContextLogic’s stockholders and other customary closing conditions.