UPDATE 2-EV maker Lotus Tech to go public within the U.S. through take care of L Catterton SPAC
(Provides particulars on Lotus Tech’s plans for the proceeds)
By Brenda Goh
SHANGHAI, Jan 31 (Reuters) – Lotus Know-how stated on Tuesday that it’s going to go public in the USA through a merger with particular objective acquisition firm L Catterton Asia Acquisition Corp in a deal that can worth the mixed group at $5.4 billion.
The valuation takes into consideration $288 million of money in LCAA’s belief account, it stated. LCAA raised $250 million when it went public in 2021.
Lotus Tech is the luxurious electrical automobile maker division of sports activities automobile model Group Lotus, which is in flip owned collectively by Chinese language automaker Geely and Malaysia’s Etika Automotive.
The unit is headquartered within the central Chinese language metropolis of Wuhan and produces automobiles by way of a partnership with Geely.
Lotus Tech’s current shareholders, together with Geely, Etika and NIO Capital, an funding agency based by the CEO of Chinese language electrical automobile maker Nio Inc, will retain their pursuits within the firm and personal 89.7% of it following the deal, it stated.
The present management will even keep on and the corporate’s shares will listing on the Nasdaq beneath the ticker image “LOT”.
The corporate plans to make use of the proceeds from the mixture of the companies for product innovation and to increase its world distribution community.
“We count on the partnership to offer vital assist as Lotus Tech expands globally, with promising model collaboration and strategic partnership potential worldwide,” Lotus Tech’s Chief Govt Officer Feng Qingfeng stated.
Lotus Tech plans to begin deliveries of its electrical sports activities utility automobile (SUV) Eletre in China within the first quarter after which in Britain and the European Union later this yr, it stated, including it has plans to increase deliveries to the USA and different nations.
Deutsche Financial institution and Credit score Suisse have been among the many advisors on the deal. (Reporting by Brenda Goh; Extra reporting by Kane Wu in Hong Kong; Enhancing by Jan Harvey, Louise Heavens and Bernadette Baum)