Redbox, a provider of new-release movies and entertainment, has agreed to merge with Seaport Global Acquisition Corp., a publicly traded special purpose acquisition company, making Redbox a publicly traded company with an enterprise value of $693 million, according to a press release. Upon closing, Redbox's common stock is expected to trade on Nasdaq under the ticker symbol RDBX.

As part of the transaction, all existing shareholders will roll 100% of their equity in Redbox, including funds managed by affiliates of Apollo Global Management, Inc., which acquired Redbox through the acquisition of Outerwall in September 2016. The existing shareholders will hold approximately 59% of the outstanding common stock.

Capital raised from the transaction will be used to pay down debt as well as invest in innovation and accelerate this transformation, which spans multiple entertainment windows and business models, including film distribution, transactional video on demand and premium video on demand. Redbox is also building technology to offer subscription on demand services as a third-party retailer.

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