Gores Guggenheim and Swedish EV maker Polestar today announced they expect to close their business combination Thursday, subject to approval by the SPAC’s stockholders.
The transaction is expected to raise at least $850 million in gross proceeds though a combination of a fully committed PIPE and cash held in trust. The cash held in trust accounts for a maximum 25% in preliminary redemption elections and assumes none of the preliminary redemption requests are withdrawn, according to the press release.
The shareholder meeting is set for tomorrow on the deal, which implies a whopping enterprise value of $20 billion for the combined company.
If approved, the business combination would be among the largest SPAC deals to-date.
Chairman Alec Gores said, “To have limited redemptions in this challenging macro environment is an incredible feat and speaks to the strength of Polestar’s brand – as well as the high conviction our investors have in Polestar’s potential. We are proud of the momentum Polestar has built over the past several months and we look forward to the expected closing of our business combination this week.” Read more.
