Mobiv Acquisition today announced it has entered into a definitive merger agreement with SRIVARU Holding, a commercial-stage provider of premium electric motorcycles, at a pro forma implied enterprise value of $195 million.
The transaction is expected to provide SRIVARU with access to additional capital and position the company to accelerate the commercial rollout-out of its electric two-wheeled vehicles in the Indian market.
Including the vehicle sales revenue-based earn-out for SRIVARU shareholders of 25 million shares, the implied total consideration to SRIVARU shareholders will be approximately US$409 million, assuming US$10 per share. The earnout for vehicle sales is based on SRIVARU achieving sales revenue for vehicles and such other products as approved by the board of SRIVARU of US$39 million for the fiscal year ending March 31, 2024, US$117 million for the fiscal year ending March 31, 2025, and US$553 million for the fiscal year ending March 31, 2026.
Mobiv raised $87 million in an August IPO.
ACP Capital Markets is serving as financial adviser to SRIVARU and Norton Rose Fulbright US is as US legal counsel to SRIVARU. SRI Solutions is providing Indian legal advice to SRIVARU. EF Hutton is capital markets adviser to Mobiv and Winston & Strawn is US legal counsel to Mobiv. JSA Advocates & Solicitors is serving as Indian legal counsel to Mobiv. Read more.
