Poema Global Holdings Corp. [NASDAQ: PPGH] has inked a merger agreement with Gogoro Inc. After the merger agreement, Gogoro Inc will become a publicly listed company. The merged firm will focus on speeding up the global expansion of Gogoro’s unique and proven subscription-based battery swapping service along with its electric vehicle and component sales business.
To pursue its growth strategy, Gogoro will be launching its battery swapping in China in late 2021 and is collaborating with Yadea, the #1 electric two-wheel maker in the world, and Dachangjiang Group (DCJ), the #1 gas-powered two-wheel maker in China. Gogoro has also started a collaboration with other global leaders in two-wheel mobility, including Yamaha, Tailing eReady, AeonMotor, PGO, and CMC eMOVING.
Furthermore, the Gogoro Poema Global business merger sets Gogoro’s firm value at $2.35 billion. The business merger is likely to offer nearly $550 million in profit to Gogoro’s balance sheet including an oversubscribed PIPE of over $250 million and $345 million currently held in trust by Poema Global.
The boards of directors of both Poema Global and Gogoro have authorized the planned transaction. The execution of the proposed transaction is dependent on the authorization of Poema Global and Gogoro shareholders and other customary closing conditions. The deal is anticipated to be executed in the first quarter of 2022.