Collective Growth (NASDAQ:CGRO) is seeing an increase in CGRO stock following news that the special purpose acquisition company (SPAC) is undergoing a merger with Innoviz Technologies.
News that the SPAC company is merging with Innoviz Technologies likely won’t come as a surprise to investors that have been keeping track of the company lately. Rumors last week stated that Collective Growth would be the vehicle that takes Innoviz Technologies public. Turns out they were true.
Let’s dive into the Collective Growth SPAC merger with Innoviz Technologies below to get potential investors in CGRO stock up to date.
- The merger will have the new company taking on the Innoviz Technologies name.
- It will also see CGRO stock continue to trade on the Nasdaq but under the new INVZ ticker.
- Innoviz Technologies will gain $350 million in gross proceeds from the deal.
- That includes $150 from Collective Growth’s trust as well as $200 million from a private investment in public equity (PIPE).
- The equity value of Innoviz Technologies once the SPAC merger is complete is estimated at about $1.4 billion.
- Innoviz Technologies is a “developer of high-performance, solid-state LiDAR sensors and perception software for autonomous vehicles.”
- The company was founded in 2016 by a group of veterans from the Intelligence Corps’ Unit 81.
- This is the Israeli Defence Forces’ “most prestigious technological unit.”
- Omer Keilaf, the founder of Innoviz Technologies, will continue to serve as its CEO once the SPAC merger is complete.
- The company is expecting the deal to close in the first quarter of 2021.
CGRO stock was up 1.2% as of Friday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.