Pathfinder Acquisition today filed a registration statement on its proposed merger with Movella, a provider of sensors, software, and analytics that enable the digitization of movement. Movella would have a pro forma enterprise value of approximately $537 million.
The target has a pre-transaction equity value of $375 million, subject to certain adjustments.
Announced earlier this month, the transaction is supported by $75 million of committed financing from affiliates of Francisco Partners. Under the terms of the investment, up to $75 million of Pathfinder common stock will be purchased by FP prior to closing, which will be executed through a tender offer or direct placement of Pathfinder stock. In exchange for a non-redemption agreement for FP’s purchased stock, Movella will issue to FP at closing a 5-year PIK note. Under the terms of the financing, Movella will have the right to direct the sale of FP’s purchased stock into the public market at any time following the closing of the transaction until the repayment or prepayment of the note, the proceeds of which will provide material credits against the note balance at a repayment or refinancing event.
Movella’s customers include Electronic Arts, NBC Universal, Daimler, and Siemens. The company’s solutions enable real-time digitized movement in the emerging high-growth areas of the Metaverse, next-generation gaming, live streaming and other applications.
Pathfinder raised $300 million in a February 2021 IPO. Read more.
