By Maureen Farrell 

Startup mortgage lender Better plans to go public by merging with a special-purpose acquisition company, according to people familiar with the matter.

Better Holdco Inc. plans to merge with Aurora Acquisition Corp., a SPAC sponsored by investment firm Novator Capital, at valuation of roughly $7 billion pre-money, the people said. The transaction could be completed this week.

SoftBank Group Corp., which recently invested $500 million in Better, could put in another $1.3 billion through a PIPE, or private investment in public equity, a common feature of SPAC mergers. (Better might place $400 million of that with other investors.) The remaining $200 million of the $1.5 billion PIPE is to come from Aurora, whose sponsor is the investment vehicle of Icelandic billionaire Thor Bjorgolfsson.

Write to Maureen Farrell at


(END) Dow Jones Newswires

May 10, 2021 17:15 ET (21:15 GMT)

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