Not bad, given that, if it grows as expected, itll generate $17.6 billion in annual sales by 2025. The deal comes at a time when large SPAC mergers have become rare, as the business of blank-check dealmaking deteriorated rapidly over the summer after investors were spooked by the poor financial performance of many SPACs and a regulatory crackdown led by the U.S. Securities and Exchange Commission over their disclosures. In 2014, it mass-produced both the S60 and V60 for sale in eight markets. All told, expectations are high for PSNY stock once it begins trading. Once the reverse merger is finalized, shares of Polestar will begin trading on the Nasdaq tomorrow under the PSNY ticker symbol. None of the information contained in this reportconstitutes, oris intended to constitute a recommendation by Boardroom Alphaofany particular security or trading strategy or a determination by BAthat any security or trading strategy is suitable for any specificperson. Gores has done as good a job as anyone demonstrating that blank-check companies can deliver the goods. This report contains opinions and is provided for informationalpurposes only it does not constitute investment, legal or tax advice. Deal Announcement for ISAA /HYPEBEAST . First, despite its also-ran reputation, its one of the more promising early stage names in this space. In fact, as its already reached the billion dollar mark in terms of sales, calling it early stage may be a misnomer. As you might be aware, post-merger, Polestars existing shareholders will own, . Heres what investors should know moving forward. The latest deal will provide a key test of investor appetite for SPAC deals after other such transactions in the electric vehicle sector soured over the past few months. PSQ Holdings is a marketplace that connects who it describes as "freedom-loving" Americans. Most important, the company is well underway with production and revenue generation ($1.6B in 2021 sales). It formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination. Insurance Doesnt Have to Be Boring. The premium EV maker's offering includes two models a hybrid performance car known as Polestar 1 and a fully electric Polestar 2 which are currently on roads across Europe, North America and Asia. Privacy Notice | Transaction is expected to be completed in the second quarter of 2022. In turn, GGPI stock has fallen back to its original SPAC price of $10 per share. Reddit and its partners use cookies and similar technologies to provide you with a better experience. Historical and current end-of-day data provided by FACTSET. For aggressive, long-term investors who seek exposure to electric vehicles and dont already own GGPI stock, it is an excellent name to buy. It previously said it has another model in development called the Precept, which is a larger sedan. Salesforce Inc. (CRM) surges after hours following earnings amidst potential activist activity and todays SPAC, IPO, and Exec News. In 2015, Volvo acquired Polestars high-performance business. The contrast between the stock buildup of CCIV/LCID versus GGPI/PSNY is readily apparent. Theres even room for more lines. I also said that, at these prices, GGPI stock would seem like a steal in a few years. Once the deal is completed, Polestar will trade under the ticker symbol PSNY on the Nasdaq. Banking giant TD still wants to buy First Horizon a year after megadeal was announced, but the purchase price may drop, given lower sector valuations. The technology is used widely in the. On the date of publication, neither LouisNavellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article. The combination of Gores Guggenheim and Polestar is one of the biggest SPAC deals of the year. We continue to like Polestars long term outlook and view the company as an emerging contender in the EV space. Also, over the years the firm has recovered or secured over a dozen cash common funds for shareholders in mergers & acquisitions class action cases. . This particular EV play is appealing for two reasons. 5 Penny Cryptos With the Most Potential for Growth, 3 Cream-of-the-Crop Growth Stocks to Buy for 2023, Gores Guggenheim Stock Will Pop Post Merger, But Theres Still Time to Buy. Nordstrom says it will end its business in Canada to help shore up profit after reporting weaker-than-expected sales results and forecasts. While EV stocks were hot as recently as last fall, thats far from the case today. GGPI Stock Heats Up as Polestar SPAC Merger Closes, Do Not Sell My Personal Information (CA Residents Only). Additionally, a possible third alternative here is to buy the First Trust Nasdaq Global Auto Index Fund (NASDAQ:CARZ). mostrar anuncios y contenido personalizados basados en perfiles de inters; medir la efectividad de los anuncios y el contenido personalizados, y. desarrollar y mejorar nuestros productos y servicios. Recently, I also suggested that, That company provides digital twins of properties. The EV just looks nice. Instead, get to know the company a little better. InvestorPlace->, InvestorPlace - Stock Market News, Stock Advice & Trading Tips. Cookie Notice (). The fact that the company is moving close to 30,000 units this. Cuando utilizas nuestros sitios y aplicaciones, usamos. Because if it runs as Polestar it will do so premarket. February 28, 2023. The higher the price point, the easier it is to pull off. Labor representatives at a Nissan Motor Co Ltd plant in the central Mexican state of Morelos have reached an agreement with the Japanese carmaker to hike pay 9% as of April, the union said. Polestar is a Swedish electric vehicle manufacturer backed by Volvo and Volvo's de facto . If you own the shares of the EV maker already, dont worry about its poor performance recently, I wrote in January. GGPI shares have been trading in a steady ~$11 range prior to days announcement (shares are up 8% intraday). Got a confidential news tip? On May 25, the blank-check company formally announced the date on which shareholders will vote to approve the transaction (June 22). In what stands to be a pivotal year for the future of the market, we recap January. Comprehensive research and analytics on every SPAC, sponsor, and deal. It could continue to deliver similar performance in the short-term. Prior to merger deal announcements, SPAC stocks tend to stay close to $10 a share. Bruce Ogilvie and Jeff Walker discuss Alliance Entertainment going public via Adara Acquisition Corp. (ADRA). He was right. It was established to help Volvo win the Swedish Touring Car Championship. At least 73 SPACs that had planned to go public this year have since been canceled due to deteriorating market conditions. Amidst a proxy fight with Trian, Walt Disney Co. (DIS) announced that it will cut ~7k jobs as part of a $5.5B cost savings plan. With that in mind, I continue to believe in Alec Gores real-world record of success with SPACs. SPAC Merger. At least, based on its success so far, and on future projections. Will Be Even Bigger Than Your Wildest Expectation, 7 Over-$100 Stocks That Are Worth Every Penny, Louis Navellier and the InvestorPlace Research Staff. Create an account to follow your favorite communities and start taking part in conversations. Nosotros, Yahoo, somos parte de la familia de marcas de Yahoo. Build the strongest argument relying on authoritative content, attorney-editor expertise, and industry defining technology. We continue to view GGPI shares as undervalued heading into the merger. Before today, GGPI stock traded at $10.84 per share, down about 7% year-to-date (YTD). Our 3 Top Picks. However, of the two, GELYY stock volumes are a little higher. Even if its an SUV such as the Polestar 3, it will have a sleek silhouette, meaning there will be less emphasis on cargo space and more emphasis on propulsion. The volatility amongst EV manufacturers has been significant in the second half of 2021. Under the terms of the agreement, GGPI shareholders will retain less than 6% ownership of the combined company. The merger between Polestar and Gores Guggenheim (NASDAQ:GGPI) is expected to happen in the first half of 2022. March 1, 2023. All quotes delayed a minimum of 15 minutes. InvestorPlace is one of Americas largest, longest-standing independent financial research firms. As background, Polestar is jointly owned by Volvo and its parent company Chinese OEM Geely (GELYY). About the Car Design Award. What's next for bonds in 2023 after the worst year in history, It broke me: Everyone says you need power of attorney, but nobody tells you how hard it is to use. 86% of retail CFD accounts lose money, Registration on or use of this site constitutes acceptance of our, Stock Prodigy Who Found NIO at $2 Says Buy THIS. So naturally, theCEO had a lot to say on the subject. It will also have a more daring design, InsideEVs reported Ingenlaths comments. Instead, get to know the company a little better. Assuming a post-merger tally of approximately 2.15 billion shares, a stock price of $20 on GGPI equates to a $43 billion market cap. Featured. SPACs are publicly listed companies that are raised with the intention of merging with a private company at a later date. The Polestar deal will be supported by cash proceeds of around $800 million from Gores Guggenheim, assuming no share redemptions by public stockholders of the blank-check firm. Cision Distribution 888-776-0942 Source: Jeppe Gustafsson / Shutterstock.com, CEO Thomas Ingenlath recently discussed the companys plans with, CEO had a lot to say on the subject. Outsmart the market with Smart Portfolio analytical tools powered by TipRanks. Even if its an SUV such as the Polestar 3, it will have a sleek silhouette, meaning there will be less emphasis on cargo space and more emphasis on propulsion. Gores Guggenheim went public with its initial public offering (IPO) in March. This news follows the September announcement of Polestar's intention to list on Nasdaq in connection with its proposed business combination with Gores Guggenheim, Inc. (Nasdaq: GGPI, GGPIW, and GGPIU), which is expected to close in the first half of 2022. This is a collection of 34 auto manufacturers, including Geely at a 3.22% weighting. Will Ashworth has written about investments full-time since 2008. Oklahoma's governor set a special vote for March 7 after a pot referendum was pulled off the November ballot, and in Pennsylvania, a lawmaker launched new bill. And Im not even a total car geek. Its anyones guess when exactly EV stocks will take off again. The deal comes at a time when large SPAC mergers have become rare, as the business of blank-check dealmaking deteriorated rapidly over the summer after investors were spooked by the poor financial performance of many SPACs and a regulatory crackdown led by the U.S. Securities and Exchange Commission over their disclosures. . This morning, shares of Gores Guggenheim (NASDAQ:GGPI) stock started the day up 5% on news that shareholders have approved its merger with Swedish electric vehicle maker Polestar. Last month, Hertz added Teslas mid-size SUV Model Y to its electric vehicle fleet. Ingenlath wants customers that will be loyal to the Polestar brand. GGPI / Polestar trades higher on HTZ deal . Polestar joins other EV makers in the public market, including Tesla (TSLA.O) and Lucid Motors (LCID.O), which went public in a $24 billion SPAC deal in February. If you owned common stock in the Company and wish to obtain additional information and protect your investments free of charge, please visit our website or contact Juan E. Monteverde, Esq. Sign up for free newsletters and get more CNBC delivered to your inbox. You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. AONs Aria Glasgow on Managing ESG and Human Capital Risk, Korn Ferrys Anthony Goodman on the Importance of Board Evaluations, Podcast: Getaround CEO Sam Zaid on Carsharing and Going Public, What to Know about Universal Proxy with Bruce Goldfarb of Okapi Partners, Podcast: Li-Cycles (LICY) Ajay Kochhar on Lithium Ion Battery Recycling and EVs, SPAC Podcast: Alliance Entertainment & Adara Acquisition. Today's announcement is a significant catalyst as investor anticipation intensifies toward an announced merger vote date. The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user. And Im not the only one. SPAC Merger. I think this stock may continue to trade in the low teens until the de-SPAC merger happens in 2022. Stock Prodigy Who Found NIO at $2 Says Buy THIS Now, Man Who Called Black Monday: Prepare Now.. Polestars listing gives investors access to an interesting opportunity, however. DWACW (Digital World Acquisition) Owner Earnings per Share (TTM) as of today (March 02, 2023) is . In addition to the Geely relationship, Polestar has access to Volvos manufacturing infrastructure. Anticipation on GGPI/Polestar merger. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Polestar, backed by Volvo Car Group and affiliates of Geely Chairman Eric Li, also counts Hollywood actor Leonardo DiCaprio among its investors. See here for a complete list of exchanges and delays. Todays announcement is a significant catalyst as investor anticipation intensifies toward an announced merger vote date. Anticipation on GGPI/Polestar merger. Post merger, the combined company will be named Polestar Automotive Holding UK Ltd. and will trade under the symbol "PSNY" on the Nasdaq. Current equity holders of Polestar, who will roll their entire interest in the combined company, will retain about 94% ownership, it said. Nasdaq He has also been selected by Martindale-Hubbell as a 2017-2021 Top Rated Lawyer. However, over a longer timeframe, it could zoom to price levels well above $20 per share. Why Chubb Stock Is a Buy. The deal also includes a PIPE, or private investment in public equity, of $250 million from top-tier institutional investors. Article printed from InvestorPlace Media, https://investorplace.com/2022/03/ggpi-stock/. Inc. ("GGPI" or the "Company") (GGPI) a special purpose acquisition company, relating to the proposed merger with Polestar Automotive Holding Limited. Establishing itself in the European market, it could see tremendous growth as it enters the U.S. market. Yet while its made this major progress, its not resulting in a big move for shares. Click here for more information: https://www.monteverdelaw.com/case/gores-guggenheim-inc. Anywhere in between makes it harder to gain customer loyalty. Intraday data delayed at least 15 minutes or per exchange requirements. As I stated in January, I think GGPI stock soon to be PSNY once the merger is completed is an excellent long-term buy, primarily because it already has sold 29,000 vehicles (2021), it. The Company has selected December 31 st as its fiscal year-end. Data is a real-time snapshot *Data is delayed at least 15 minutes. Polestar has been developing electric vehicles since 2017, the latest of which is a performance roadster. The deal is expected to close later today. An analyst thinks theres a good chance that PayPal will make an acquisition in the next few months and runs through the most likely -- and least likely -- scenarios. Real-time alerts, yields, red flags, filings, investors, and much more. The critical distinction about Polestar is that its not a startup. Current equity holders of Polestar, who will roll their entire interest in the combined company, will retain about 94% ownership, it said. Sept 27 (Reuters) - Swedish electric-car maker Polestar said on Monday it will go public by merging with a U.S.-listed blank-check firm backed by billionaire Alec Gores and investment bank Guggenheim Partners at an enterprise value of $20 billion. Both stocks are thinly traded over the counter. EQT Buys Majority Stake in South Korean Security Provider SK Shieldus, Nagarro 4Q Ebitda Rose; Backs 2023 Outlook, SFS Group 2022 Sales Rose Boosted By Hoffman Acquisition, Ipsen Completes Acquisition of Albireo Pharma. The company raised $550 million in external funding in April and announced plans in June to build Polestar 3 electric sport utility vehicles at Volvo's U.S. plant in South Carolina beginning next year. The funding will be used to. The Car Design Award was established in 1984 by Fulvio Cinti, founder and editor-in-chief of Auto&Design for more than thirty years. The company is an established EV maker outside the U.S. but not headquartered in China. did not have (either directly or indirectly) any positions in the securities mentioned in this article. Copyright We use cookies to optimize our website and our service. While retail investors on social media tend to focus on powertrain modes and the time from 0-60mph, Polestar management is focused on building a sustainable, dependable car. A Division of NBCUniversal. The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes. The Company completed the Public Offering on March 25, 2021 (the "IPO Closing Date"). Inc. ("GGPI" or the "Company") (GGPI)a special purpose acquisition company, relating to the proposed merger with Polestar Automotive Holding Limited. Broadcom continued to produce better results and forecast better near-term sales than Wall Street expects Thursday, and shares rose in extended trading. Im a big believer in Alec Gores, the chairman behind this SPAC. The decision is yours to make. He lives in Halifax, Nova Scotia. Polestar touts an asset-light business model as a key differentiator by having existing productions lines provided by backers Volvo and Geely, so it can focus on investing in research. Polestar looks to be a nich brand, which makes GGPI stock attractive here. Provided by Benzinga Since. Anyways we could very well see 20-30$. A key advantage we have highlighted repeatedly is Polestars existing partnerships / manufacturing relationships. I recommend taking an in-depth look at this company, its lineup of mass affluent and luxury EVs, and its game plan to take on Tesla (NASDAQ:TSLA), Lucid (NASDAQ:LCID), and the incumbent automakers looking to grab a piece of the electric vehicle market. Sure, its excellent that Polestar plans to be sportier, more focused on the driving experience, than it does on being a luxury ride, but these particular words didnt move me. On the date of publication, Will Ashworth. Written by Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.