Robinson Aircraft Ltd., dba Horizon Aircraft said it expects to close its business combination with Pono Capital Three by the end of January. Horizon is a hybrid electric Vertical TakeOff and Landing (“eVTOL”) aircraft developer.
The SPAC’s shareholders are expected to vote on the deal tomorrow.
The transaction values Horizon Aircraft at $96 million, assuming no redemptions. A forward purchase agreement with Meteora Capital will support the transaction, although a press release announcing the deal did not disclose the amount.
Cash proceeds after any redemptions and payment of transaction expenses are anticipated to be used for the further development of the Cavorite X7, Horizon Aircraft’s flagship hybrid electric eVTOL, and for general company operating purposes.
Pono Capital Three’s cash in trust stood at about $120 million as of August. The SPAC’s completion deadline is in February.
If the merger is approved, renamed New Horizon Aircraft Ltd. stock and warrants would trade on the Nasdaq under the ticker symbols HOVR and HOVRW.
The post-merger Horizon Aircraft board will be led by Brandon Robinson, the company’s founder and CEO.
Nelson Mullins Riley & Scarborough is U.S. legal counsel and Fang and Associates is serving as Canadian legal counsel to Pono. Dorsey & Whitney is U.S. legal counsel and Gowling WLG is Canadian legal counsel to Horizon Aircraft. EF Hutton is capital markets advisor in the transaction. Read more.
