The merger between Polestar and Gores Guggenheim (NASDAQ:GGPI) is expected to happen in the first half of 2022. in July and Gores brought $310 million in cash to the deal after redemptions. Sign up for free newsletters and get more CNBC delivered to your inbox. proporcionarte nuestros sitios y aplicaciones; autenticar usuarios, aplicar medidas de seguridad y evitar el spam y los abusos, y. medir el uso que haces de nuestros sitios y aplicaciones. For the best MarketWatch.com experience, please update to a modern browser. As a result, I think its chances of survival are much higher than brands such as Lucid (NASDAQ:LCID) and Rivian (NASDAQ:RIVN). 1125 N. Charles St, Baltimore, MD 21201. This browser is no longer supported at MarketWatch. 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. Nasdaq The five-year agreement gives renters an alternative to Tesla (TSLA), which announced a relationship with Hertz in November 2021. Its safe to say this isnt the best market for an EV company to debut. Both stocks are thinly traded over the counter. With that in mind, I continue to believe in Alec Gores real-world record of success with SPACs. The deal is expected to close later today. After a bustling 2021, the entire SPAC market has slowed markedly amid theglobal marketdownturn. "We will build in America for Americans," says Thomas Ingenlath, Polestar CEO. It is the biggest blank-check merger in the EV sector since Lucid Motors struck a $24-billion deal with Michael Klein's Churchill Capital IV Corp. in February. In turn, GGPI stock has fallen back to its original SPAC price of $10 per share. Our firm's recent successes include changing the law in a significant victory that lowered the standard of liability under Section 14(e) of the Exchange Act in the Ninth Circuit. Despite being outside the top 10, its a reasonable amount of exposure. Current equity holders of Polestar, who will roll their entire interest in the combined company, will retain about 94% ownership, it said. All told, expectations are high for PSNY stock once it begins trading. In the six weeks since, its moved sideways. Polestar itself is a joint venture between Volvo (OTCMKTS:VLVLY) and Geely (OTCMKTS:GELYY). Place to discuss GGPI and Polestar. Defends Financial Benefits of IAA Deal. With all that said, your question is between taking the risk of GGPI tanking after merger vs maybe missing out a huge chunk of gains. Targeted companies such as Disney and Salesforce are learning how to grab the momentum back from activists, and communicate more effectively. Korn Ferrys Head of Board Effectiveness Anthony Goodman talks board evaluations, universal proxies, and more with David Drapkin. Will Ashworth has written about investments full-time since 2008. [I]f a stock is destined to be a long-term winner (five to 10 years out), there is no rush to run out and buy it. Approval of the SPAC deal was widely expected. GGPI hasn't announced a definitive merger date with Polestar but the two companies expect to complete the business combination in the first half of 2022. At the end of November, I argued that GGPI stock was a better buy for aggressive investors than Rivian (NASDAQ:RIVN) in the long term. No representation or warranty, expressed or implied, is made on behalf of Boardroom Alpha as to the accuracy or completeness of the information contained herein. For this, if youre very aggressive, Id suggest taking a half position today and waiting to see if it falls lower. This particular EV play is appealing for two reasons. Puedes cambiar tus opciones en cualquier momento haciendo clic en el enlace Panel de control de privacidad de nuestros sitios y aplicaciones. PSQ Holdings is a marketplace that connects who it describes as "freedom-loving" Americans. The technical storage or access that is used exclusively for statistical purposes. On the date of publication, Will Ashworth did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. A buy under $10 would be an excellent entry point, in my opinion. Lorem ipsum dolor sit amet, consectetur adipiscing elit. The most comprehensive solution to manage all your complex and ever-expanding tax and compliance needs. Investors still bullish on EV stocks can purchase shares of Polestar once PSNY stock starts trading tomorrow morning. Still, I wouldnt view this as a reason to dismiss it as an investment opportunity. Volvo said on Monday it will make additional equity investments in Polestar of up to $600 million and is expected to hold about 50 percent of the combined company. The volatility amongst EV manufacturers has been significant in the second half of 2021. The Company will not generate any operating revenues until after the completion of its Business Combination, at the earliest. That said, I suppose you could also argue that GGPI will move significantly higher once its trading under its new symbol, PSNY. Anticipation on GGPI/Polestar merger. Sign up below to get this incredible offer! The technical storage or access that is used exclusively for anonymous statistical purposes. Intraday Data provided by FACTSET and subject to terms of use. A key advantage we have highlighted repeatedly is Polestars existing partnerships / manufacturing relationships. either via e-mail at [emailprotected] or by telephone at (212) 971-1341. Privacy Notice | Polestar, founded in 2017 by Volvo Car Group (VOLVb.ST) and China's Zhejiang Geely Holding (GEELY.UL), also counts Hollywood actor Leonardo DiCaprio among its investors. Heres why you should consider them. However, it was what he said Polestar is and isnt that caught my attention. The opinions and information contained herein have been obtained or derived from sources believed to be reliable, butBoardroom Alphacannot guarantee its accuracy and completeness, and thatofthe opinions based thereon. The stock did rise the day after the shareholder vote announcement, but since then, its drifting lower. It was a slower month to kick off the year for SPACs. We continue to like Polestars long term outlook and view the company as an emerging contender in the EV space. On May 25, the blank-check company formally announced the date on which shareholders will vote to approve the transaction (June 22). Comprehensive research and analytics on every SPAC, sponsor, and deal. Is GGPI a buy now in 2021? Polestar said at the Beijing Motor Show last year that it has another model in development called the Precept, which is a larger sedan. Once the deal is completed, Polestar will trade under the ticker symbol PSNY on the Nasdaq. However, I also said that investors need not rush to buy the SPAC before the merger happens. The Polestar deal will be supported by cash proceeds of around $800 million from Gores Guggenheim Inc, assuming no share redemptions by public stockholders of the blank-check firm. Subscriber Agreement & Terms of Use | Although its unclear whether it zooms or sits idle in the near-term, over a longer timeframe it could really take off. However, GGPI stock drifted. Excluding employee stock compensation from one measure of earnings make them look more favorable. Currently, this stock earns a B rating in my Portfolio Grader. A Division of NBCUniversal. Prior results do not guarantee a similar outcome with respect to any future matter. . Yet if youve done your research, and are bullish on the future prospects of this promising EV play, consider GGPI stock a buy. 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. Post merger, the combined company will be named Polestar Automotive Holding UK Ltd. and will trade under the symbol "PSNY" on the Nasdaq. That said, unlike LCID, which was a pre-revenue, pre-production company, Polestar is very much established, having met its production target of 29,000 cars in 2021. Again, such middling performance could carry on, before and after the deal closing. This is because either your product or service appeals to the top 20% of household incomes or the bottom 20%. Second, it currently trades at an attractive valuation relative to its prospects. Higher interest rates aren't deterring companies with high credit ratings from borrowing in the U.S. corporate bond market at a record clip in 2023. You might even get a better price in the process.. Publications where hes appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. Ingenlath wants customers that will be loyal to the Polestar brand. Polestar's listing plan comes as automakers shift their focus to environment-friendly vehicles, amid rising pressure from lawmakers and investors concerned about climate change. Around the same time as my article, fellow InvestorPlace contributor Chris Tyler argued that technical analysis of the stock suggested the beginning of December wasnt the time to buy either. 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. In a media statement, Gores Guggenheim confirmed that its shareholders voted to approve the combination with Polestar which will bring the European EV maker to the public market. He particularly enjoys creating model portfolios that stand the test of time. Under the terms of the agreement, GGPI shareholders will retain less than 6% ownership of the combined company. The transaction is expected to close in the first half of the year. Browse an unrivalled portfolio of real-time and historical market data and insights from worldwide sources and experts. Special purpose acquisition company (SPAC) Gores Guggenheim (NASDAQ:GGPI) continues to be on schedule with its planned merger with electric vehicle (EV) maker Polestar. Gores has done as good a job as anyone demonstrating that blank-check companies can deliver the goods. March 1, 2023. Last year, a record 613 SPAC listings occurred on U.S. exchanges, raising a total of $145 billion. Lucid Motors strikes SPAC deal to go public with $24 - TechCrunch Shares of Gores Guggenheim pared some earlier gains and were up over 4% in morning trading. Novembers SPAC market review paints a picture of a SPAC market rushing towards the exit with high, and accelerating liquidations, more deal terminations, and almost no new SPAC IPOs. We want to hear from you. 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. Im a big believer in Alec Gores, the chairman behind this SPAC. Objective, data-driven assessments for every public company director and officer. URGENT: The M&A Firm is Investigating the Merger of Gores Guggenheim New pill cuts cholesterol, heart attacks, Seniors:Heres an easy wayto cut your risk of a heart attack or stroke by nearly 80%. Stock Prodigy Who Found NIO at $2 Says Buy THIS Now, Man Who Called Black Monday: Prepare Now.. Omg guys I saw GGPI merger in my smartphone notifications and my heart was pounding . However, for now, it seems to have its feet on the ground, providing investors with very reasonable growth projections. SPAC Merger. At $11.20 it's $24 billion. from 8 AM - 9 PM ET. Hertz pushing to be the largest EV rental fleet, adding zero emission models. For the company going public, a SPAC merger serves as an alternative to a traditional IPO. Boardroom Alpha does not accept any liability for any direct,indirector consequential loss or damage suffered by any person as a result of relying on all or any part of this research and any liability is expressly disclaimed. Ingenlaths comments in Automotive News laid out Polestars three-pronged production plan for China, South Carolina and Europe. American Airlines (AAL) announces its new chairman of the board as Gregory D. Smith, the former CEO of Boeing (BA). He lives in Halifax, Nova Scotia. The critical distinction about Polestar is that its not a startup. The Polestar deal will be supported. Inc. ("GGPI" or the "Company") (GGPI) a special purpose acquisition company, relating to the proposed merger with Polestar Automotive Holding Limited. So far this year, there have only been 11 SPAC listings valued at $25 million or more. 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. Polestar SPAC Merger CONFIRMED! - Is GGPI a buy? - YouTube DWACW (Digital World Acquisition) Owner Earnings per Share Ive learned in recent years that businesses operating in the middle have less chance of success. As a result, I think its chances of survival are much higher than brands such as, On the date of publication, Will Ashworth. What happens to my Social Security benefit if my husband dies? At least 73 SPACs that had planned to go public this year have since been canceled due to deteriorating market conditions. Enthusiasm about the deal, which was announced last fall, has seen a big drop in recent months. In fact, as its already reached the billion dollar mark in terms of sales, calling it early stage may be a misnomer. Also, dont base a decision to buy or not just on a surface level view of the company. Decembers SPAC market review takes a look by the numbers of the months SPAC activity and how the market currently stands going into 2023. In addition to the Geely relationship, Polestar has access to Volvos manufacturing infrastructure. But there is reason to believe that quality, well-run EV companies like PSNY will survive and thrive in the years ahead. Do this now. Li-Cycle (LICY) CEO Ajay Kochhar joins Know Who Drives Return to discuss lithium ion battery recycle in the latest podcast episode. Real-time alerts, yields, red flags, filings, investors, and much more. The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network. GGPI - , Reddit Mentions and Sentiments | Memeberg Terminal The aim of the Polestar range is to be sportier and to have a stronger focus on the driver. Cuando utilizas nuestros sitios y aplicaciones, usamos. Polestar is a Swedish electric vehicle manufacturer backed by Volvo and Volvo's de facto . Joel Baglole for Si quieres personalizar tus opciones, haz clic en Gestionar configuracin de privacidad. When the symbol you want to add appears, add it to Watchlist by selecting it and pressing Enter/Return. Real-time last sale data for U.S. stock quotes reflect trades reported through Nasdaq only. The deal with Gores Guggenheim (GGPI.O) will provide Polestar cash proceeds of over $1 billion, including $800 million from the special purpose acquisition company (SPAC), and a PIPE, or private investment in public equity, of $250 million from institutional investors. 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. Nevertheless, even as EV stock mania has waned, the EV trend isnt going away. Polestars listing gives investors access to an interesting opportunity, however. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Under the terms of the agreement, GGPI . In 2015, Volvo acquired Polestars high-performance business. 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. Inc. ("GGPI" or the "Company") (GGPI)a special purpose acquisition company, relating to the proposed merger with Polestar Automotive Holding Limited. . Most important, the company is well underway with production and revenue generation ($1.6B in 2021 sales). Im a big believer in Alec Gores, the chairman behind this SPAC. Our 3 Top Picks. After a bustling 2021, the entire SPAC market has slowed markedly amid the global market. As reference, LCID, which is still in early production, trades at ~10x 2023E sales. Our Standards: The Thomson Reuters Trust Principles. Keep an Eye on Gores Guggenheim Stock, as it Gears Up for its EV Merger InvestorPlace->, InvestorPlace - Stock Market News, Stock Advice & Trading Tips. GGPI Stock News. The company's listing plan comes as automakers shift their focus to environmentally friendly vehicles amid rising pressure from lawmakers and investors concerned about climate change. I also said that, at these prices, GGPI stock would seem like a steal in a few years. The SPAC merger deal was announced on Sept. 27, where GGPI SPAC agreed to merge with the Swedish private EV car maker Polestar. Provided by Benzinga Since. SPAC Merger | DealFlow's SPAC News The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. 2023, Nasdaq, Inc. All Rights Reserved. InvestorPlace - Stock Market News, Stock Advice & Trading Tips. 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. "We don't need the capital to build the factory. By rejecting non-essential cookies, Reddit may still use certain cookies to ensure the proper functionality of our platform. Visit a quote page and your recently viewed tickers will be displayed here. Gores Guggenheim Is a Buy, But Consider an Alternative in the - Yahoo! SPAC Merger. PublicSq. The vehicles will be produced at its new factory in Casa Grande, Arizona. Because if it runs as Polestar it will do so premarket. Mergers and Acquisitions Lightspeed Commerce Oper Chief Brandon Nussey Steps Down Shopping at Kroger can be up to four times cheaper than eating out, CEO says ACI 0.00% Broadcom stock moves. On July 8,. However, it was what he said Polestar is and, The aim of the Polestar range is to be sportier and to have a stronger focus on the driver. Gores Guggenheim and Polestar Expected to Close Business - Yahoo! The post Gores Guggenheim Is a Buy, But Consider an Alternative in the Short Term appeared first on InvestorPlace. Now, with volatility likely to continue into 2022, some possible alternatives exist as a short-term solution for risk-averse EV investors. Polestar Provides Next Glimpse of Polestar 3 and Reaffirms Growth Plans Then I realized it was just a survey. 7 Tech Stocks Worth Snatching Up After Their Tumble. For 2022 and 2023, Polestar has guided to $3.2 B and $6.7B in sales, respectively. Merger : GGPI - Reddit 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. Rubicon Technologies (RBT) CEO Jevan Anderson resigned, Marblegate is merging with itself, and the rest of the days digest. Get in Now on Tiny $3 Forever Battery Stock, Early Bitcoin Millionaire Reveals His Next Big Crypto Trade On Air. company, and Gores Guggenheim, Inc. ("Gores Guggenheim") (Nasdaq: GGPI, GGPIW and GGPIU), a special purpose acquisition company ("SPAC") formed by affiliates of The Gores Group and Guggenheim Capital, LLC, announced today that they have entered into a definitive business combination agreement (the "Business Combination Agreement"). NEW YORK, Nov. 29, 2021 /PRNewswire/ -- Juan Monteverde, founder and managing partner of the firm Monteverde & Associates PC ("M&A Firm"), a national securities firm ratedTop 50in the 2018-2020 ISS Securities Class Action Services Report and headquartered at theEmpire State Buildingin New York City, is investigatingGores Guggenheim. Fifty years from now, it might turn out that Polestars affiliation with Volvo did little to catapult it into the EV big leagues. files S-4 for merger with Blade Therapeutics (BBTX). It is the biggest blank-check merger in the EV sector since Lucid Motors struck a $24-billion deal with Michael Klein's Churchill Capital IV Corp. in February. Therefore, it might make sense to buy now before the merger, rather than afterwards. quotes delayed at least 15 minutes, all others at least 20 minutes. It will also have a more daring design,, The CEO came out and said Polestar wasnt going to be, As I stated in January, I think GGPI stock soon to be. However, thats an entirely different subject than whether you should buy GGPI at todays prices. Started over 40 years ago by a business visionary named Tom Phillips, we publish detailed research and recommendations for self-directed investors, financial advisors and money managers. GGPI Stock Heats Up as Polestar SPAC Merger Closes, Do Not Sell My Personal Information (CA Residents Only). On 11/4/2021 the company announced a proposed merger with TradeStation Group, Inc, who provides award-winning trading and . Get this delivered to your inbox, and more info about our products and services. All rights reserved. Polestar Announces 270-Mile EPA Range, Power Upgrades, and Efficiency 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. Create an account to follow your favorite communities and start taking part in conversations. PDF Polestar Signs Agreement to be Publicly Listed Through Combination with
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