Tianji Tire’s $450m US listing plan faces further delay

New York, New York – China’s Henan Tianji Tire is facing further uncertainty over its proposed $450 million (€378 million) US listing after shareholders of the special purpose acquisition company (SPAC) pursuing the transaction approved a one-year extension to a “business combination” deadline.

Shareholders of Embrace Change Acquisition Corp. voted 11 Aug to extend the company’s “combination period” from 12 Aug 2026 to 12 Aug 2027, according to a filing with the US Securities and Exchange Commission (SEC).

However, the filing did not clarify if Tianji and Embrace Change have also extended the 12 Aug 2026 “outside date” for completing their proposed merger.

Embrace Change and Tianji agreed in January 2025 to merge in a transaction valuing the Chinese tire manufacturer at $450 million.

The deal was initially expected to close by mid-2025 and would result in Tianji becoming a publicly traded company on Nasdaq.

Completion has, however, been repeatedly delayed since the agreement.

The latest filing confirms the extension of Embrace Change’s own corporate deadline, but does not indicate that the merger agreement’s outside date has been similarly amended.

Embrace Change was established as a “blank-cheque company” and raised $75 million in its initial public offering in August 2022. Its Nasdaq-listed securities were subsequently delisted and its shares have traded over the counter.

Under the proposed transaction, Tianji shareholders would receive $450 million in newly issued shares of Tianji Tire Global Group (Cayman) Ltd, valued at $10 per share.

The companies had said the transaction would provide Tianji with access to US capital markets and support its international expansion.

Founded in 2020, Tianji is based in Jioazuo City, in China’s eastern province of Henan and produces tires under the brands Semes and GFT Rider.

According to its website, the company has an annual production capacity for 1.2 million all-steel radial truck tires and 10 million passenger car tires.