Kraken-linked SPAC KRAK acquisition seeks M&A targets with a $10 billion valuation cap

ChainCatcher report: According to market sources, Kraken, the cryptocurrency exchange, and its associated special purpose acquisition company (SPAC), KRAKacquisition Corp., have announced the initiation of a search for potential merger targets, with target company valuations potentially reaching up to $10 billion. The SPAC is reportedly evaluating a broad range of crypto-native companies, including those in the fields of stablecoins, tokenization, DeFi, and payments. KRAKacquisition previously completed a $345 million IPO and has two years to identify a merger target. It stated that the $10 billion figure is only a rough upper limit for valuation; the actual target valuation may be closer to $2 billion. However, this range reflects the company’s intent to provide a pathway for small- and mid-cap enterprises to enter public markets. Meanwhile, Kraken itself is advancing its own listing plans. The exchange previously submitted confidential registration documents to the U.S. Securities and Exchange Commission and completed approximately $800 million in funding last year at a valuation of around $20 billion. KRAKacquisition is also viewed as a strategic investment vehicle for Kraken, enabling closer economic alignment with acquired companies through equity ownership.