Bird Rides and Switchback II announced a definitive business combination agreement that would give the new company an enterprise value of about $2.3 billion. The announcement follows reporting of a rumored deal earlier this week.
The transaction will provide net proceeds of up to $428 million following the closing, assuming no redemptions by Switchback’s existing shareholders. Aggregate funding combines Switchback’s $316 million cash-in-trust and $160 million of private placement proceeds, which have been fully committed by Fidelity Management & Research Company and other investors, and Bird’s access to a $40 million facility with Apollo Investment Corporation and MidCap Financial Trust.
Pending shareholder approval, the deal is expected to close in the third quarter when the newly named Bird Global would list on the NYSE.
Bird provides a fleet of shared electric scooters to riders in over 200 cities and makes its products available for purchase online and through retail outlets. Read more.
