Slam Corp, a special purpose acquisition company (SPAC) founded by former baseball star Alex “A-Rod” Rodriguez, is suing satellite mobile provider Lynk Global in a Florida court to prevent it from backing out of a proposed merger.

Virginia-based Lynk moved to terminate its business combination agreement (BCA) with Slam, which then filed a complaint on June 19. Slam alleges that Lynk has broken the terms of its deal and not acted in good faith, claims which Lynk described as “baseless." The company said that it would “vigorously defend itself against Slam’s meritless claims and will continue to assert its rights under the BCA.”

The corporate drama centers around the expiration date of the merger, which Lynk believes includes a June 30 termination date. Slam investors approved their own extension of the deadline on June 6, moving it to July 25, with a further five extensions going up to December 24.

On July 2, Lynk Global filed counterclaims against Slam in the US state of Delaware, with its argument expected to be made publicly available on July 7.

As part of its statement, Lynk insisted its “management team and partners remain focused on strengthening the company’s competitive position and executing its roadmap to deliver direct-to-device (D2D) services globally”.

Neither Lynk nor Slam had responded to DCD’s requests for comment at the time of publication.

When it was listed in 2022, Slam Corp raised $575 million. In late December 2023, it agreed to a merger to take Lynk public and empower the merged entity’s work toward realizing D2D technologies.

In August 2024, Slam delisted from the NASDAQ stock exchange, trading only in over-the-counter stocks, and as of June 5, the company’s trust account possessed just $23.7 million as a result of investor redemptions and delays in transactions with Lynk.

This year, Lynk Global completed a Series B funding round of at least $215 million led by SES and Intelsat, who are both set to merge, in February, although the funding round has not been announced as closed, with the official figure raised not specified.