Solid Power Inc, an electric-vehicle battery maker backed by Ford Motor Co and BMW, said on Tuesday it would go public by merging with a blank-check firm in a deal that values the combined entity at around $1.2 billion.
Adds transaction details, background, shares
June 15 (Reuters) - Solid Power Inc, an electric-vehicle battery maker backed by Ford Motor Co F.N and BMW BMWG.DE, said on Tuesday it would go public by merging with a blank-check firm in a deal that values the combined entity at around $1.2 billion.
The company, which produces rechargeable batteries for automobiles as well as mobile power markets, will have $600 million in cash after completing the merger with Decarbonization Plus Acquisition Corp III DCRC.O.
That includes $165 million from private investors such as Koch Strategic Platforms, Riverstone Energy Limited, Neuberger Berman funds and Van Eck Associates Corporation.
Ford and BMW had last month participated in Solid Powers $135 million early-stage financing round.
Shares of the special purpose acquisition company (SPAC) were up 3.3% premarket.
SPACs are publicly listed shell companies that raise funds intending to merge with private companies to take them public.
A string of electric-vehicle makers including Lucid Motors, Fisker Inc FSR.O and Nikola Corp NKLA.O went public through SPAC mergers or have announced plans for the same over the past year. Volkswagen AG-backed battery maker QuantumScape Corp QS.N went public through a blank-check merger in a $3.3 billion deal in 2020.
The transaction is expected to close in the fourth quarter, after which Solid Power would be listed on the Nasdaq under the new ticker symbol SLDP.
Stifel, Nicolaus & Co Inc is serving as a financial adviser to Solid Power, while Citigroup Global Markets Inc and J.P. Morgan Securities LLC advised DCRC.
(Reporting by Sohini Podder in Bengaluru; Editing by Ramakrishnan M.)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the worlds media organizations, and directly to consumers at Reuters.com and via Reuters TV.
Find us at the office
Mcevilly- Liposky street no. 40, 55778 Tórshavn, Faroe Islands
Give us a ring
+23 188 845 957
Mon - Fri, 7:00-15:00