Joby Aviation announced today it has entered into a definitive business combination agreement with Reinvent Technology Partners with a market capitalization of $6.6 billion.
Joby would receive up to $690 million in proceeds from Reinvent’s cash in trust and an $835 million PIPE at $10 per share, and will also convert a $75 million convertible note into common stock at a $10 per share value. The PIPE is led by strategic and institutional investors including The Baupost Group, funds and accounts managed by BlackRock, Fidelity Management & Research and Baillie Gifford. Existing Joby shareholders have agreed to roll 100 percent of their equity into the new company and will remain majority owners.
Joby Aviation is a transportation company developing an all-electric vertical takeoff and landing aircraft, which it intends to operate as a fast, quiet, and affordable air taxi service beginning in 2024.
Upon closing, the combined company will be named Joby Aviation, and shares would trade on the NYSE.
