Battery manufacturer Microvast Inc. to go public through merger with blank check company Tuscan Holdings Corp., according to people with knowledge of the subject.
The transaction, which is due to be announced as early as Monday, will value the combined company at about $ 3 billion, said the sources, who requested anonymity because the information is private.
The companies will receive more than $ 800 million in cash when the deal closes, which includes an investment of $ 540 million led by Oshkosh Corp., BlackRock Inc., Koch Strategic Platforms and InterPrivate, people said.
Representatives for Microvast and Tuscan, based in Stafford, Texas, declined to comment.
The special-purpose acquisition company Tuscan raised $ 276 million in March 2019. Led by CEO Stephen Vogel, the company said it intended to focus on acquisition targets in the cannabis industry, although it can seek acquisition in any sector, from according to your listing documents.
Microvast, founded in 2006, manufactures batteries for commercial vehicles such as taxis and buses, as well as specialized transportation, including mining trucks and port equipment. CITIC Securities, a Chinese state-owned brokerage, led a $ 400 million private financing round at the company in 2017, according to its on the Internet network.
One of the main investors in the additional investment raised to support the transaction – InterPrivate – also managed a SPAC. InterPrivate Acquisition Corp. signed a merger agreement with Lidar Aeva Inc. in November.