[ad_1]
Lotus Know-how, a division of Lotus liable for growth of electrical automobiles, is about to go public through a SPAC deal.
Additionally known as a reverse merger, a SPAC deal is the place a non-public firm goes public by being taken over by an organization that is already listed, usually one arrange solely for this objective, recognized in investor circles as a particular objective acquisition firm (SPAC). The benefit is that it avoids the complexity of the extra conventional preliminary public providing which has extra regulatory oversight.
In an announcement on Tuesday, Lotus Know-how mentioned it has entered right into a reverse merger with the NASDAQ-listed SPAC firm L Catterton Asia Acquisition Corp. The deal is anticipated to be accomplished on Thursday, after which the mixed firm, to be generally known as Lotus Know-how Inc., will begin buying and selling on the Nasdaq below the ticker image “LOT.”
Lotus Know-how is predicated in Wuhan, China, and was liable for the Lotus Eletre electrical SUV and the not too long ago revealed Lotus Emeya electrical hatchback. It is also growing an electrical compact crossover.
Lotus Eletre
Lotus Know-how is headed by Feng Qingfeng, who will stay CEO of the merged firm after the deal closes. Nearly all of the merged firm can even be owned by Lotus Know-how’s present shareholders which embrace Zhejiang Geely, Etika Automotive, and Nio Capital. Etika is a Malaysian provider which along with Geely are the first shareholders of Lotus Know-how’s Lotus guardian. Nio Capital is an funding agency based by William Li, the CEO of rival EV agency Nio.
For the reason that unique announcement of the SPAC deal a yr in the past, greater than $880 million has been raised in pre-closing and personal funding in public fairness financing, Lotus Know-how mentioned. The corporate has beforehand mentioned it plans to make use of any raised funds for automobile growth and increasing the gross sales community.
[ad_2]
