Perfect Corp., Provident combination approved

Taiwan imaging unicorn Perfect Corp. announced its previously announced merger with Provident Acquisition Corp. was approved at an extraordinary general meeting (the “EGM”) of Provident’s shareholders on Oct. 25, 2022.

Upon closing, the resulting company will be called Perfect Corp. and its shares and warrants are expected to begin trading on the New York Stock Exchange under the ticker symbols “PERF” and “PERF WS,” respectively, on Oct. 31, 2022. Under the terms of the business combination agreement between Perfect and Provident, the transaction sets Perfect’s enterprise value at approximately US$1.02 billion. The Business Combination is expected to provide Perfect with approximately US$119 million in gross proceeds.

Perfect claims it is a market leader in the global beauty tech sector, with more than 400 beauty brands, including 17 of the world’s top global 20 beauty groups, utilizing Perfect’s AR and AI SaaS solutions in 80 countries globally, as of December 31, 2021, according to Frost & Sullivan. Every year, Perfect enables over 10 billion virtual try-ons of consumer products in a wide range of merchandise categories, including cosmetics, skincare, hair colors, and fashion accessories.

Perfect intends to focus on accelerating its global expansion, extending Perfect’s industry coverage from beauty and fashion to tangential sectors, and augmenting its innovative AR and AI SaaS solutions, including product try-on and digital consultation solutions.

“This is a momentous day for Perfect, our colleagues, and our partners,” said Alice Chang, Founder and Chief Executive Officer of Perfect. “Since our inception seven years ago, we have dedicated ourselves to transforming the global beauty industry, to infusing entertainment into shopping, and to protecting the environment while delivering an enjoyable product try-on experience to consumers. The result of today’s EGM of Provident provides us with financial resources to drive the next level of growth, and the opportunity to capitalize on rapidly changing market dynamics at a pivotal time for beauty and fashion industries. I am proud of what Perfect has achieved, and excited about the possibilities our partnership with Provident delivers to us.”

“We are delighted that our shareholders recognized the value that Perfect brings to the combined business and the exciting opportunities that lie ahead,” commented Michael Aw, Chief Executive Officer of Provident. “Provident is proud to partner with a company that is reshaping the beauty and fashion industries through its global leadership in AR and AI technology. We look forward to working with Perfect as we begin our journey as a NYSE-listed company.”

The PIPE transaction is backed by blue-chip investors including CHANEL, CyberLink, Shiseido, and Snap as well as reputable financial investors.