Final Cleaned Guide:

Shreya Acquisition Group IPO – What You Need to Know

Hey there! If you’re thinking about investing in the Shreya Acquisition Group IPO, here’s the lowdown in plain English:

---

1. What does this company actually do?

Shreya Acquisition Group is a SPAC (Special Purpose Acquisition Company), also called a “blank check company.” They raise money through this IPO to hunt for a private business to buy and take public. They don’t sell products or services—their only job is to find a company to merge with.

---

2. How do they make money?

They don’t—yet. Right now, they’re spending cash to search for a merger target. Their success (and yours) depends entirely on whether they strike a good deal. Since they were founded in 2023, they have no track record to judge.

---

3. What will they do with the IPO money?

• $10 per share goes into a trust to fund a future acquisition (they haven’t chosen one yet).
• Repay a $300,000 loan from their parent company.
• Pay $5,000/month to their parent company for office space and admin support.
• If no deal happens in ~2 years, you get most of your money back.

---

4. What are the BIG risks?

• “They might rush into a bad deal.” Execs get $0 if they fail, so they’re incentivized to buy any company—even a mediocre one.
• “Parent company loans could hurt your stake.” The parent can convert up to $1.5M in loans into ownership later, diluting your shares.
• “Your money is locked up for 52 days.” Units (ticker SHACU) can’t split into individual shares (SHAC) and rights (SHACR) until 52 days post-IPO.
• “Less financial transparency.” As an “emerging growth company,” they share fewer details than typical public firms.

---

5. How do they compare to competitors?

Similar to SPACs like Churchill Capital, but with two unique red flags:

1. Loans to their parent company that could dilute your investment.
2. No specific industry focus—they’re targeting vague sectors like “tech, healthcare, or green energy.”

---

6. Who’s running the company?

CEO Riya Kapoor has 15+ years in private equity. The team has deal-making experience, but:

• They’re juggling other projects while running this SPAC.
• In a merger, they might prioritize keeping their jobs over shareholder returns.

---

7. Where will it trade?

• Units: Nasdaq as SHACU (starting at IPO).
• Shares/Rights: Split into SHAC (shares) and SHACR (rights) after 52 days.

---

8. Price and shares

• 25 million units at $10 each.
• Each unit = 1 share + 1 right (a coupon for future deals).

---

The Bottom Line:

This is a high-risk bet on the management’s ability to find a golden merger. Ask yourself:

• Am I comfortable with executives rushing to make any deal to get paid?
• Can I handle my shares being diluted by the parent company’s loans?
• Will I remember to split my units into shares/rights after 52 days?

Only invest money you’re okay tying up for 1–2 years.

---

This isn’t financial advice. SPACs are risky—always do your own research or talk to a financial advisor.

Note: The company shared limited details about their merger strategy and long-term plans. For some investors, that lack of clarity might be a red flag.