Starwood founder plans IPO of acquisition firm

Third Wave Acquisition Corp., a so-called blank-check company headed by Starwood Hotels and Resorts founder Barry Sternlicht, filed with regulators Tuesday to raise as much as $350 million in an initial public offering.

The Greenwich, Conn., company said in a registration statement filed with the Securities and Exchange Commission that it would offer 35 million units at a price of $10 each.

Each unit consists of one common share and a warrant that entitles the holder to buy one common share for $7.50, Third Wave Acquisition said.

Blank-check companies, also known as special purpose acquisition vehicles, are formed for the sole purpose of acquiring other businesses.

Third Wave said it intended to acquire a controlling stake in an entity or entities with significant growth prospects, and would steer clear of industries or companies that its principals invest in or have ties to.