Self-driving technology company Aurora said it has entered into a definitive business combination agreement with Reinvent Technology Partners Y. The pro forma implied market capitalization of the combined company would be $13 billion, Aurora said in a press release.
If approved, upon closing the combined company will be named Aurora Innovation and list on the Nasdaq under AUR.
The combined company is expected to have approximately $2.5 billion in cash at closing, including up to approximately $977.5 million of cash held in Reinvent’s trust from its March IPO, assuming no redemptions, as well as a $1 billion PIPE. Investors in the PIPE include Baillie Gifford, funds and accounts managed by Counterpoint Global (Morgan Stanley), funds and accounts advised by T. Rowe Price, PRIMECAP Management, Reinvent Capital, XN, Fidelity Management and Research, Canada Pension Plan Investment Board, Index Ventures, and Sequoia Capital, as well as strategic investments from Uber, PACCAR, and Volvo Group.
The proposed transaction represents an equity value of $11 billion for Aurora. Read more.