Rodgers Silicon Valley Acquisition (NASDAQ:RSVA) announced today it would be bringing battery maker Enovix public via special purpose acquisition merger in a deal valuing the company at $1.13 billion. RSVA stock was up more than 35% in intraday trading on the news.
Enovix makes “next generation 3D Silicon Lithium-ion
batteries with energy densities that are five years ahead of current battery technologies.” Those batteries are sold to blue-chip companies producing personal devices such as smartphones, wearables and PCs, with plans to expand into electric vehicle (EV) battery production in the future.
Enovix is currently in the sampling phase, with 44 orders out to 20 different customers to let them trial run four different batteries. The company said in its investor presentation that research and development took 13 years and that the battery resulted in 89 issued patents, with another 54 pending.
The deal will yield approximately $385 million in net proceeds, and the combined entity, Enovix Corporation, will trade on the Nasdaq under the ticker ENVX. The transaction is expected to close in the second quarter of 2021.
As better battery technologies come to market, we expect to see advancements in EV development and subsequently increased consumer adoption. EVs and SPACs had a banner year in 2020 and that momentum has carried into the current year.
On the date of publication, Vivian Medithi did not have (either directly or indirectly) any positions in the securities mentioned in this article.