Exploring Clover Leaf Capital Corp. (CLOE) Investor Profile: Who’s Buying and Why?

You've been watching Clover Leaf Capital Corp. (CLOE), a special purpose acquisition company (SPAC), and you're defintely wondering who is still buying a shell company that announced its intention to liquidate, right? The investor profile here is not your typical mutual fund manager; it's a high-stakes, low-float game, so we need to look past the surface. Here's the quick math: as of late 2025, this company carries a market capitalization of roughly $61.91 million, but institutional ownership is shockingly thin, holding only about 0.11% of shares, valued at a mere $14.65K. That tells you the big money has largely redeemed, leaving a pool of arbitrageurs and retail investors trading a stock at around $12.47 a share, a price point that suggests a premium to the expected trust value, even after the merger termination news from late 2024. Who are these buyers, and why are they taking on a negative price-to-earnings (P/E) ratio of -51.44x for a company with no significant operations? They're betting on the final liquidation value or another last-minute deal. We need to dissect the remaining holders to understand the final risk-reward equation.

Who Invests in Clover Leaf Capital Corp. (CLOE) and Why?

The investor profile for Clover Leaf Capital Corp. (CLOE), a Special Purpose Acquisition Company (SPAC), is defintely unique, shifting dramatically as the company moved toward a failed merger and subsequent liquidation. The story here is less about long-term company fundamentals and more about event-driven arbitrage and a speculative bet on the cannabis industry.

The direct takeaway is that the investor base was dominated by institutional players executing a short-term, risk-mitigation strategy, which has now culminated in a capital-preservation outcome due to the announced liquidation.

Key Investor Types: The Arbitrageur and the Speculator

A SPAC's investor base is typically split between three groups, and Clover Leaf Capital Corp. (CLOE) was no exception, though the balance shifted rapidly, especially with the November 2024 announcement of the termination of its merger agreement and intention to liquidate.

• Institutional Investors (The Arbitrageurs): These are hedge funds and specialized mutual funds. They were the dominant force, holding as much as 53.26% of the public shares before the merger vote process. Their strategy is pure capital preservation: buy SPAC shares near the $10.00 trust value, collect the interest, and redeem the shares for cash if the proposed merger is unappealing or fails. The announced liquidation means this strategy has paid off with a return of capital from the trust.
• Retail Investors (The Speculators): This group is betting on the merger itself. They bought in hoping for a massive, post-deal pop from the acquisition of a high-growth cannabis target, which was Clover Leaf Capital Corp.'s stated focus. Their motivation was the potential for a quick, outsized return, not the minimal interest earned in the trust account.
• Insider/Sponsor Investors: The sponsor, Yntegra Capital Investments, LLC, holds a significant stake, including 3,593,750 shares of Class B common stock. Their motivation is the massive potential upside from the founder shares, which cost them very little, but are only valuable if a successful merger occurs. The liquidation is a loss for them, as their founder shares are now essentially worthless.

The institutional ownership percentage has likely plummeted in late 2024 and 2025, as a significant portion of shares have been redeemed or are awaiting the final liquidation payment. One metric shows institutional holdings at a mere 0.11% with a total value of only $14.65$ thousand in early 2025, indicating a near-complete exit by the arbitrage funds. That's a clear signal of the end game for a SPAC.

Investment Motivations: The Cannabis Catalyst That Failed

The core motivation for anyone buying Clover Leaf Capital Corp. (CLOE) stock was the promise of exposure to the high-growth, yet federally complex, US cannabis industry.

• Growth Prospects: Investors were betting on the management team's ability to identify and merge with a high-quality, vertically integrated cannabis company. This was a purely speculative growth play, given the company itself reported $0$ in revenue and a net loss of $-\$1.17$ million in the last twelve months as of early 2025.
• SPAC Arbitrage: For institutional funds, the motivation was risk-free return. They buy shares at or below the trust value (typically $10.00 per share) and have the right to redeem them for the trust value plus interest if they don't like the deal or if the SPAC liquidates. This guarantees a small, low-risk return, especially in a rising interest rate environment.
• Market Position: The motivation was to gain a first-mover advantage in a potentially high-value cannabis deal, facilitated by the sponsor's existing expertise in the sector. You can learn more about the company's background and mission here: Clover Leaf Capital Corp. (CLOE): History, Ownership, Mission, How It Works & Makes Money.

Investment Strategies: From Speculation to Redemption

The strategies employed by Clover Leaf Capital Corp. (CLOE) investors were a textbook example of SPAC dynamics, culminating in the most common outcome for a failed SPAC: liquidation.

Here's the quick math: The arbitrage strategy relies on the difference between the stock price and the redemption value. When the stock trades at, say, $10.10$, the arbitrageur makes a small, safe profit by redeeming for the trust value (plus interest), which is typically slightly higher than the initial $10.00$ IPO price.

The initial strategy was a high-risk, high-reward approach for retail, betting on the team's ability to close a deal. The institutional strategy was a low-risk, low-return approach, utilizing the redemption feature as a stop-loss mechanism. With the liquidation now finalized, the arbitrageurs have won, and the speculators are simply getting their cash back, which is the best outcome when the speculative deal fails. The market capitalization of $61.91$ million as of early 2025 is largely a reflection of the cash held in trust, not an operating business valuation.

Institutional Ownership and Major Shareholders of Clover Leaf Capital Corp. (CLOE)

The investor profile for Clover Leaf Capital Corp. (CLOE) is defintely unique right now. The direct takeaway is that as a liquidating Special Purpose Acquisition Company (SPAC), the institutional investor base has shifted almost entirely from long-term growth funds to short-term arbitrage funds waiting for the final cash redemption.

As of late 2024, Clover Leaf Capital Corp. announced its intention to liquidate after terminating its planned merger with Kustom Entertainment, Inc.. This means the company's stock price no longer reflects a future business but rather the net asset value (NAV) held in the trust account, which is the expected redemption value for the Class A common stock sold in the IPO.

Top Institutional Investors and the Redemption Trade

When you look at the institutional holders, you're not seeing traditional long-only funds building a stake for future growth. You're seeing a classic SPAC arbitrage play. These funds buy shares when the market price dips slightly below the expected redemption value, locking in a near-risk-free profit when the company liquidates.

For a SPAC, institutional ownership is often tracked in units (CLOEU) which include one share of Class A common stock and a fraction of a warrant. While the common stock (CLOE) institutional ownership was approximately 7.44% of the 4.96 million shares outstanding before the liquidation announcement, the specific holders of the units provide a concrete example of the arbitrage players.

Here's the quick math on the largest known institutional holders of the units, based on mid-2024 filings, which typify the kind of funds involved:

• CLEAR STREET: Held 1.19K units with a reported value of $14.54K.
• TOWER RESEARCH (TRC): Held 9 units.

The current market capitalization, which is essentially the total value of the redemption pool, sits at approximately $61.91 million as of October 15, 2025. The stock price of $12.47 on that date is a direct reflection of the expected cash-per-share payout.

Changes in Ownership: The Liquidation Effect

The most significant change in ownership wasn't a slow accumulation but a sudden, structural shift following the November 8, 2024, announcement of the merger termination and intent to liquidate. This event triggered a massive, albeit expected, decrease in the number of shares held by non-arbitrage institutions.

What this estimate hides is the redemption process itself. Every Class A shareholder, including institutions, has the right to redeem their shares for a pro-rata portion of the trust account. The institutional ownership percentage might appear stable for a time, but the type of investor changes dramatically. Funds that were holding out hope for a successful business combination with Kustom Entertainment, Inc. or another target would have redeemed their shares at the earliest opportunity. The remaining institutional holders are primarily those who bought the stock specifically for its redemption value-a guaranteed return of capital, plus interest.

Impact of Institutional Investors on Stock Price and Strategy

The role of institutional investors in Clover Leaf Capital Corp. is no longer about influencing corporate strategy; it's about maintaining price stability near the trust value. Large institutional demand for a stock can sometimes be positively correlated to prices in the short term, but for a liquidating SPAC, the price ceiling is fixed by the cash in trust.

The main impact is a stabilizing one. Arbitrageurs, who are institutional players, ensure the stock doesn't trade far below the net asset value (NAV) because they would immediately buy it, knowing they will get the full redemption value. This is why the stock price of $12.47 on October 15, 2025, is so close to the typical SPAC IPO price of $10.00 plus accrued interest. You can learn more about the history and financial structure that led to this point here: Clover Leaf Capital Corp. (CLOE): History, Ownership, Mission, How It Works & Makes Money.

This institutional presence essentially acts as a floor for the stock price. No one will sell too far below the redemption value when the final payout is imminent. That's a textbook example of a floor being enforced by sophisticated capital.

Next step: Check your brokerage statements to confirm the final redemption date and cash-per-share amount.

Key Investors and Their Impact on Clover Leaf Capital Corp. (CLOE)

The investor profile for Clover Leaf Capital Corp. (CLOE), a Special Purpose Acquisition Company (SPAC), is defintely unique, dominated by the sponsor's influence and recently defined by the company's decision to liquidate. The key takeaway for you is that the public float is now in the final stages of a redemption process, meaning most public shareholders are simply waiting for their trust value back, not trading on future growth.

The primary player here is the sponsor, Yntegra Capital Investments, LLC, which holds the most sway over the company's direction. Institutional investors like Polar Asset Management Partners Inc. and Owl Creek Asset Management, L.P. have been notable holders in the past, but their recent moves reflect the SPAC's failed search for a target company in the cannabis industry.

The Overwhelming Influence of Yntegra Capital Investments, LLC

As the sponsor, Yntegra Capital Investments, LLC holds the ultimate power and also the greatest incentive misalignment in a SPAC structure. They acquired their initial founder shares for a nominal price-around $0.007 per share-while public investors paid $10.00 per unit at the Initial Public Offering (IPO). Here's the quick math: the sponsor could have made a substantial profit if a business combination (De-SPAC) was completed, even if the stock price dropped significantly afterward.

This massive incentive difference means the sponsor's actions are always focused on completing a deal, even if it's a marginal one. In 2022, for instance, Yntegra Capital Investments, LLC funded an extension by depositing an aggregate of $1,383,123 into the trust account, or $0.10 per public share, just to buy more time to find a target. The sponsor is the company's engine.

• Sponsor: Yntegra Capital Investments, LLC (Primary driver of corporate action).
• Influence: Controls the timeline and the ultimate decision on liquidation or merger.
• Risk: High incentive to complete any deal to monetize low-cost founder shares.

Recent Moves and the Liquidation Reality

The most important recent move for all investors was the company's announcement on November 8, 2024, to terminate its merger agreement with Kustom Entertainment and proceed with liquidation. This is the end of the line for a SPAC. The liquidation process itself is the dominant theme of the 2025 fiscal year.

This move led to the cancellation of the special stockholders meeting and a plan to redeem all outstanding shares of Class A common stock from the IPO. The shares were delisted from the Nasdaq, with a delisting notice (Form 25-NSE) filed on February 11, 2025. This transition means the stock is no longer a growth play but a claim on the trust account value.

What this estimate hides is the final, exact cash-per-share payout, but the process is clear: you get your money back, plus interest. Minor, late-stage trading activity, like a small position change of +96 shares by CLEAR STREET on May 15, 2025, is negligible in the context of the liquidation, representing a tiny fraction of the overall shares.

For a deeper dive into the company's financial standing leading up to this point, you should read Breaking Down Clover Leaf Capital Corp. (CLOE) Financial Health: Key Insights for Investors.

2025 Investor Landscape: A Snapshot of Final Value

The institutional ownership picture in 2025 is thin, reflecting the imminent liquidation. The total institutional holding was reported at a very low 0.11% of total shares held, with a total value of only $14.65K across just 2 institutions, which is a massive drop-off from pre-merger speculation. This is a common pattern as institutional money exits a failed SPAC.

The company's financial metrics from the start of the 2025 fiscal year show the operational reality before the final wind-down:

Your action now is simple: confirm the final redemption price and date with your broker. The investment decision is over; it's a capital return event.

Market Impact and Investor Sentiment

The investor profile for Clover Leaf Capital Corp. (CLOE) in 2025 is not one of growth speculation, but rather one of liquidation arbitrage. The direct takeaway is that major shareholders have shifted from a positive, merger-focused sentiment to a neutral-to-negative exit strategy, driven by the company's announced intention to liquidate.

The primary action that defined the 2025 investor landscape was the termination of the merger agreement with Kustom Entertainment, Inc. in November 2024. This immediately triggered the Board's decision to liquidate the Special Purpose Acquisition Company (SPAC) and redeem the outstanding shares of Class A common stock. So, the investor base is now focused on the final trust value, not a future business combination.

The stock's last reported trade price in early 2025 was $12.47 per share. This price point acts as a strong indicator of the market's expectation for the final cash-in-trust redemption value, essentially creating a floor for the stock. The company's market capitalization was approximately $61.91 million as of the first quarter of 2025, reflecting this final, contained valuation. Here's the quick math: the price is anchored to the value of the assets held in the trust account, plus any accrued interest, minus taxes and expenses.

The Institutional Exodus and the Arbitrageur's Role

The 'who's buying' narrative dramatically changed. Historically, Clover Leaf Capital Corp. had a high institutional ownership percentage, with one report showing it at 77.09%. This is typical for a SPAC, where large institutions and hedge funds often hold shares for the near-guaranteed redemption value, which is a low-risk return known as SPAC arbitrage. But, the termination news caused a significant shift.

Recent regulatory filings show a clear trend: major investment funds have been closing their positions. For instance, in the period following the liquidation announcement, zero hedge funds opened new positions, and a number of funds closed their entire holdings. This means the smart money that was betting on a successful merger has largely exited, leaving the final clean-up to dedicated arbitrageurs.

• Former Profile: Merger-speculators, seeking a high-growth target.
• Current Profile: Arbitrageurs, seeking the final trust value.
• Sentiment: Neutral (locked-in return) to defintely negative (no merger premium).

Market Response to Liquidation and Delisting

The stock market's response to the liquidation news has been muted but definitive. The price has remained tightly bound near the expected redemption value, a classic sign of a stock in a wind-down phase. The volatility, as measured by the Beta, was exceptionally low at 0.07, indicating the stock's price movement was largely decoupled from the broader market-it's just a cash instrument now. This lack of movement is the market's way of saying the outcome is already priced in.

The formal delisting from the exchange, which was scheduled for February 11, 2025, further cemented the stock's status as a liquidation play. This move to the over-the-counter (OTC) market, or simply becoming inactive, is the final step in the SPAC lifecycle when a merger fails. The focus is purely on the mechanics of the redemption process, not on trading the stock for capital gains. You can read more about the company's history and structure at Clover Leaf Capital Corp. (CLOE): History, Ownership, Mission, How It Works & Makes Money.

Analyst Perspectives: The Final Verdict

Formal analyst coverage for a liquidating SPAC like Clover Leaf Capital Corp. is scarce, as there is no future business model to model. The consensus, if you can call it that, is a Hold rating, not because of growth potential, but because the price is already at the redemption value. Selling now only costs you the transaction fee for the same cash you'll get in the redemption. Some technical analyses in late 2025 even registered a 'Strong Sell' signal, but this is a technical indicator reacting to low liquidity and a lack of momentum, not a fundamental assessment.

The key financial data for the 2025 fiscal year tells the story of an entity winding down:

What this estimate hides is the final, small expense ratio that will slightly reduce the final redemption amount from the gross trust value. Your clear action now is simple: if you hold the Class A common stock, you are waiting for the final redemption announcement. Finance: monitor the final liquidation expense ratio and the redemption date.