TLG Acquisition One and Electriq Power entered into a forward purchase agreement with three Meteora funds for an OTC Equity Prepaid Forward Transaction.
Terms call for the Meteora funds to purchase up to 9.9% of the total shares of TLG outstanding following the closing of the Electriq deal, less the number of shares of TLG purchased separately from third parties through a broker in the open market, according to an 8-K filed today.
The FPA further provides that $3 million will be paid by Meteora within one business day following the closing.
TLG One shareholders are scheduledd to vote tomorrow on the proposed merger with Electriq Power.
Founded in 2014 in Silicon Valley, the target is a provider of residential energy storage solutions.
Announced in November, the transaction values Electriq at a pro forma pre-money equity value of $495 million and is expected to provide Electriq with up to $125 million of capital to fund its growth through a combination of debt and equity. Read more.
