Switchback Energy (NYSE:SBE) the electric vehicle (EV) special purpose acquisition company (SPAC) is seeing shares of SBE stock rise on Monday.
The rise in shares of SBE stock comes alongside higher-than-normal trading. As of this writing, more than 11 million shares of Switchback Energy have changed hands. For comparison, the company’s daily average trading volume is only 2.9 million shares.
With the increase in trading, investors will likely want to know more about Switchback Energy. Luckily, we have a quick primer below.
- Switchback Energy has signed a deal to merge with ChargePoint that will take the latter public.
- ChargePoint is an EV company that operates the largest EV charging network.
- It was founded in 2007 and has been expanding its business since then.
- Once the merger is complete, Switchback Energy will change its name to ChargePoint and its shares will also change.
- The deal values ChargePoint at $2.4 billion and will provide it with $683 million in cash for operations.
- Switchback Energy is waiting to complete customary closing conditions before the deal is done.
- So long as there are no troubles, the two companies are expecting the deal to close by the end of Q4 2020.
- Switchback Energy is an EV SPAC company created with the goal of combining with another company.
- It’s owned by a private investment fund advised by NGP Energy Capital Management, as well as former RSP Permian executives Scott McNeill, Jim Mutrie, and Josh Rosinski.
- EV companies are catching the interest of investors lately, which is likely why this SPAC company’s stock is soaring today.
SBE stock was up 21.2% as of Monday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.