NextGen Acquisition (NASDAQ:NGAC) stock is flying high on Monday following rumors that the special purpose acquisition company (SPAC) is planning to take Xos Trucks public via a merger.
Here’s everything investors need to know about SPAC merger talks and the two companies at the source of them.
- Recent reports claim that NextGen Acquisition is in talks with private investment in public equity (PIPE) investors to raise money for the merger.
- This could have the SPAC merger valuing Xos Trucks at $2 billion.
- Being that these merger talks are still just rumors, some of the finer details are still unclear.
- That includes what ticker NGAC stock would change to afterward or the combined company’s name.
- Even with details being murky, it might not be long before NGAC stock investors learn more about the merger.
- Sources behind these recent rumors claim that the companies could announce the SPAC merger as early as this month.
- NextGen Acquisition is a blank-check company created to take another company public via a merger.
- It’s only been on the public market for a short period of time after completing its initial public offering (IPO) in October.
- The company raised a total of $375 million from its IPO and an Over-Allotment in November.
- The co-founders of NextGen Acquisition are George Mattson and Gregory Summe.
- Both of these men have long histories in the investment field and have worked for Goldman Sachs (NYSE:GS)
- Xos Trucks is an electric vehicle (EV) company focused on creating a new fleet of delivery vehicles.
- Its partners include Loomis and United Parcel Service (NYSE:UPS).
NGAC stock was up 30.2% as of Monday afternoon.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.