One of the original electric vehicle (EV) charging networks has officially announced plans to go public later this year through a reverse merger with a special purpose acquisition company (SPAC).
If you’re unfamiliar, an SPAC, or a “blank cheque company” is a shell company that raises money through an initial public offering (IPO) to buy an operating entity, usually within two years.
In this case the SPAC is Switchback Energy, and the other company is ChargePoint. When the deal closes later this year, ChargePoint will be listed on the New York Stock Exchange (NYSE) and valued at $2.4 billion.
“The EV charging industry is accelerating and it is expected that charging infrastructure investment will be $190 billion by 2030. We believe (ChargePoint) will continue to grow its strong market position as the EV industry evolves,” said Switchback Chief Executive Scott McNeill in a statement to Reuters.
With the estimated $493 millions raised from the deal ChargePoint will expand their network in North America and Europe. It currently has a presence in 14 countries, including Canada.
Other EV related companies to go public or announce plans to go public through a SPAC include Nikola Motors, Lordstown Motors, Fisker, and XPeng Motors.