The Daily Dish (09/27/21)
Polestar Announces $20 Billion SPAC Listing
Swedish EV maker Polestar will go public through a SPAC merger with Gores Guggenheim Inc in a deal that values the firm at $20 billion including debt.
The deal expects to generate cash proceeds of approximately $800 million, including a $250 million PIPE investment. Polestar, which is backed by Volvo Car Group, also has Hollywood actor Leonardo DiCaprio amongst its investors.
The EV maker delivered around 10,000 vehicles last year and expects to sell about 290,000 vehicles per year by 2025.
Polestar raised $550 million through private funding in April. Current investors are rolling their entire investment into the new company with a 94% stake. After the merger, the combined company will trade under the ticker ‘PSNY’ on Nasdaq.
IWG Considers Firm Breakup, Plans May Include SPAC Spinoff
Serviced Offices Giant IWG is exploring a multibillion-dollar break-up that would involve splitting the company into several distinct entities.
CEO Mark Dixon is examining a SPAC listing for its app Worka, which helps the company’s clients compare and book places in more than 3000 locations around the world.
Plans also include spinning off the company’s owned property arm from the global franchising operation.
IWG has a market cap of £2.9 billion, but Dixon believes that the true value of the company’s assets is worth at least twice that, making the break-up worthy of consideration. Barclays, HSBC, and Rothschild are all said to be involved in the process.
Reddit Reads
IonQ Expects Gross Proceeds of $600 Million From SPAC Deal
dMY Technology Group III and IonQ expect to close the merger after an approval vote on September 28th, with low redemptions meaning that the deal will generate gross proceeds over $600 million.
ML SPAC Squeeze Sends Shares Surging
Shares in Fusion Acquisition Corp, the SPAC that is about to merge with MoneyLion, has surged pre-market as a Gamma Squeeze may be in play.
Europe’s Trail-Blazing IPO Market Leaves SPACs Behind
European IPOs have bounced back with a bang, but SPAC listings are nowhere to be seen. In Q3, Europe had 42 IPOs which raised $8.5 billion, the highest in a decade, but the last SPAC deal was in July.
In Europe, new SPAC issuance peaked in the second quarter with 15 deals rising $3.7 billion followed by seven deals in July worth $1.4 billion, but SPAC listings have dried up since. SPACs have raised $6.6 billion in Europe this year, with 26 listings. Over the same period, the US has seen 433 SPACs raising $118 billion.
