AIR SPAC merger deal leads Dubai’s AIR, owner of the popular hookah brand Al Fakher, to go public in the US through a $1.75 billion transaction with Cantor Equity Partners III. The merger, expected to be finalized in the first half of 2026, marks AIR’s entry to the Nasdaq stock exchange under the ticker “AIIR”.
AIR’s management announced the agreement for the special purpose acquisition company (SPAC) merger, which provides an alternative route for companies aiming to enter public markets efficiently. This strategy is regaining traction in the United States, following a period of reduced SPAC activity due to lackluster stock results and increased regulatory scrutiny.
Financial Performance and Global Presence
In 2024, AIR generated $375 million in revenue and reported $150 million in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA). The company operates eight production facilities across the United Arab Emirates and the European Union, along with additional support from third-party partners. AIR’s distribution covers more than 90 global markets, underscoring its international scale.
Al Fakher, a core product line for AIR, is known for its flavored hookah offerings and reached 14 million consumers worldwide in 2024. The company’s growth is propelled by the rising popularity of hookah bars and cafes, especially in US urban areas frequented by younger demographics.
Industry and Market Context
The AIR SPAC merger deal coincides with improving US market conditions and a growing trend toward SPAC-based public listings. By the end of 2025, SPAC IPO activity had notably increased, with 116 successful offerings compared to 57 in 2024. This momentum is credited in part to a favorable macroeconomic climate, such as declining interest rates that facilitate access to capital.
The deal is backed by Cantor Fitzgerald, a major player in American financial services. After completion, the new entity, AIR Global Limited will commence trading as AIIR on Nasdaq, reflecting AIR’s ambitions to expand its business and consumer outreach further.
Public Health Considerations
Despite its positioning as a lifestyle and cultural product, hookah continues to draw health warnings in the United States. Authorities emphasize that hookah smoke contains many of the same harmful chemicals found in cigarettes, a concern that persists even as the market for flavored tobacco sees growth in social environments like lounges and cafes.
Final Outlook
The AIR SPAC merger deal symbolizes a significant step in both AIR’s international growth and the resurgence of SPAC transactions in the US market. The merger is set to strengthen AIR’s brand presence in America as it debuts on Nasdaq, maintaining its commitment to product expansion and global distribution.
