Carbon Revolution Limited and Twin Ridge Capital Acquisition signed a definitive business combination agreement.
The combined company will have an estimated post-transaction equity valuation of approximately $461 million, including about $214 million of cash held in TRCA’s trust account, assuming no redemptions.
The target is a Tier 1 OEM supplier and a leading global manufacturer of lightweight advanced technology carbon fiber wheels.
Twin Ridge Capital raised $200 million in a March 2021 IPO.
Carbon Revolution shareholders will roll 100% of their equity into the combined company. Following the close of the transaction, assuming no redemptions from TRCA’s trust account, TRCA shareholders will hold 57% of the issued and outstanding shares of common stock of the combined company, with Carbon Revolution shareholders holding the rest, not taking into account the currently outstanding warrants of TRCA and management options of Carbon Revolution. In addition, the company has secured $60 million from a committed equity facility.
Shareholders of Carbon Revolution on the Australian Securities Exchange will receive consideration for their shares consisting of an aggregate of approximately 20 million ordinary shares of the combined company.
If approved, upon closing Carbon Revolution’s shares would be delisted from the ASX and begin trading on a US exchange. Read more.
