Polestar touts an asset-light business model as a key differentiator by having existing productions lines provided by backers Volvo and Geely, so it can focus on investing in research. Most important, the company is well underway with production and revenue generation ($1.6B in 2021 sales). The SPAC merger deal was announced on Sept. 27, where GGPI SPAC agreed to merge with the Swedish private EV car maker Polestar. Stock Prodigy Who Found NIO at $2 Says Buy THIS Now, Man Who Called Black Monday: Prepare Now.. Still, I wouldnt view this as a reason to dismiss it as an investment opportunity. Polestar intends to list on the Nasdaq in a proposed business combination with Gores Guggenheim, Inc. (Nasdaq: GGPI, GGPIW, and GGPIU), which is expected to close in June 2022. The most comprehensive solution to manage all your complex and ever-expanding tax and compliance needs. Polestar was first established in 1996by Swedish automotive giantVolvo (OTCMKTS:VLVLY). InvestorPlace - Stock Market News, Stock Advice & Trading Tips. Aug. 17 2021, Published 3:11 p.m. PSQ Holdings is a marketplace that connects who it describes as "freedom-loving" Americans. The deal comes at a time when large SPAC mergers have become rare, as the business of blank-check dealmaking deteriorated rapidly over the summer after investors were spooked by the poor financial performance of many SPACs and a regulatory crackdown led by the U.S. Securities and Exchange Commission over their disclosures. Assuming it hits its growth targets, delivering a six-figure amount of vehicles annually, and generating tens of billions in annual sales, within three years. In a media statement, Gores Guggenheim confirmed that its shareholders voted to approve the combination with Polestar which will bring the European EV maker to the public market. As a result, I think its chances of survival are much higher than brands such as Lucid (NASDAQ:LCID) and Rivian (NASDAQ:RIVN). In fact, he should be used by U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler as an example of the good accomplished with blank-check names. Plus500. After the merger, the combined entity. We can put the money raised into developing the technology and the market," Thomas Ingenlath, Polestar's chief executive, said in an interview. This is because either your product or service appeals to the top 20% of household incomes or the bottom 20%. Heres what investors should know moving forward. 1125 N. Charles St, Baltimore, MD 21201. Recently, I also suggested that Matterport (NASDAQ:MTTR) was an excellent buy under $20. Intraday data delayed at least 15 minutes or per exchange requirements. Historical and current end-of-day data provided by FACTSET. At least, based on its success so far, and on future projections. Comprehensive research and analytics on every SPAC, sponsor, and deal. This deal received tremendous fanfare as the single-largest ever purchase for electric cars for 100,000 vehicles as well as a partnership with Uber (UBER) to provide 50,000 of those vehicles to its delivery drivers. The deal comes at a time when large SPAC mergers have become rare, as the business of blank-check dealmaking deteriorated rapidly over the summer after investors were spooked by the poor financial performance of many SPACs and a regulatory crackdown led by the U.S. Securities and Exchange Commission over their disclosures. Provided by Benzinga Since. Under the terms of the agreement, GGPI shareholders will retain less than 6% ownership of the combined company. See here for a complete list of exchanges and delays. I also said that, at these prices, GGPI stock would, The critical distinction about Polestar is that its not a startup. If you own the shares of the EV maker already, dont worry about its poor performance recently, I wrote in January. So naturally, theCEO had a lot to say on the subject. did not hold (either directly or indirectly) any positions in the securities mentioned in this article. Owner Earnings per Share (TTM) explanation, calculation, his The premium EV maker's offering includes two models a hybrid performance car known as Polestar 1 and a fully electric Polestar 2 which are currently on roads across Europe, North America and Asia. Im a big believer in Alec Gores, the chairman behind this SPAC. Once the reverse merger is finalized, shares of Polestar will begin trading on the Nasdaq tomorrow under the PSNY ticker symbol. Will Ashworth has written about investments full-time since 2008. Polestar itself is a joint venture between Volvo (OTCMKTS:VLVLY) and Geely (OTCMKTS:GELYY). While the vast majority of these vehicles will be sold in China, the company is also making a push into other Asian markets. Current equity holders of Polestar, who will roll their entire interest in the combined company, will retain about 94% ownership, it said. On July 8,. See here for a complete list of exchanges and delays. Sign up below to get this incredible offer! Contact:Juan E. Monteverde, Esq.MONTEVERDE & ASSOCIATES PCThe Empire State Building350 Fifth Ave. Suite 4405New York, NY 10118United States of America[emailprotected]Tel: (212) 971-1341. Around the same time as my article, fellow InvestorPlace contributor Chris Tyler argued that technical analysis of the stock suggested the beginning of December wasnt the time to buy either. Objective, data-driven assessments for every public company director and officer. Higher interest rates aren't deterring companies with high credit ratings from borrowing in the U.S. corporate bond market at a record clip in 2023. Thats especially the case with GGPI stock. from 8 AM - 9 PM ET. Excluding employee stock compensation from one measure of earnings make them look more favorable. The Polestar deal will be supported by cash proceeds of around $800 million from Gores Guggenheim, assuming no share redemptions by public stockholders of the blank-check firm. In turn, GGPI stock has fallen back to its original SPAC price of $10 per share. Moreover, Polestar put together a very good slide deck presentation . For this, if youre very aggressive, Id suggest taking a half position today and waiting to see if it falls lower. Changing market conditions (namely, rising interest rates) have put pressure on their valuations. All quotes delayed a minimum of 15 minutes. Our Standards: The Thomson Reuters Trust Principles. The company raised $550 million in external funding in April and announced plans in June to build Polestar 3 electric sport utility vehicles at Volvo's U.S. plant in South Carolina beginning next year. However, according to Volvo, only 100 were made in the initial year. Anyways we could very well see 20-30$. NEW YORK, Nov. 29, 2021 /PRNewswire/ -- Juan Monteverde, founder and managing partner of the firm Monteverde & Associates PC ("M&A Firm"), a national securities firm ratedTop 50in the 2018-2020 ISS Securities Class Action Services Report and headquartered at theEmpire State Buildingin New York City, is investigatingGores Guggenheim. Thats well above where it currently trades under the $11.50 level. This morning, shares of Gores Guggenheim (NASDAQ:GGPI) stock started the day up 5% on news that shareholders have approved its merger with Swedish electric vehicle maker Polestar. Got a confidential news tip? For 2022 and 2023, Polestar has guided to $3.2 B and $6.7B in sales, respectively. Shares of GGPI are down a little over 2% as of this writing. Its opening more of them anyway. Omg guys I saw GGPI merger in my smartphone notifications and my heart was pounding . However, GGPI stock drifted. It previously said it has another model in development called the Precept, which is a larger sedan. Today's announcement is a significant catalyst as investor anticipation intensifies toward an announced merger vote date. As you might be aware, post-merger, Polestars existing shareholders will own, . Visit a quote page and your recently viewed tickers will be displayed here. Nasdaq It doesnt matter if you have $500 in savings or $5 million. Sure, its excellent that Polestar plans to be sportier, more focused on the driving experience, than it does on being a luxury ride, but these particular words didnt move me. The aim of the Polestar range is to be sportier and to have a stronger focus on the driver. Todays announcement is a significant catalyst as investor anticipation intensifies toward an announced merger vote date. Right now investors are paying. Puedes cambiar tus opciones en cualquier momento haciendo clic en el enlace Panel de control de privacidad de nuestros sitios y aplicaciones. Approval of the SPAC deal was widely expected. The fact that the company is moving close to 30,000 units this. The combination of Gores Guggenheim and Polestar is one of the biggest SPAC deals of the year. He lives in Halifax, Nova Scotia. Thereafter, our firm successfully preserved this victory by obtaining dismissal of a writ of certiorari as improvidently granted at the United States Supreme Court. It formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination. Because if it runs as Polestar it will do so premarket. With that in mind, I continue to believe in Alec Gores real-world record of success with SPACs. With all that said, your question is between taking the risk of GGPI tanking after merger vs maybe missing out a huge chunk of gains. Don't take it as financial . This report contains opinions and is provided for informationalpurposes only it does not constitute investment, legal or tax advice. 2023 CNBC LLC. GGPI shares have been trading in a steady ~$11 range prior to days announcement (shares are up 8% intraday). API access to institutional grade SPAC database. That company provides digital twins of properties. I share my. Whats our next move? At the time of this writing, the stock is down 2.83% on the day, closing in on $11. The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes. Enthusiasm about the. (C) 2021 Monteverde & Associates PC. Salesforce Inc. (CRM) surges after hours following earnings amidst potential activist activity and todays SPAC, IPO, and Exec News. Why Chubb Stock Is a Buy. Banking giant TD still wants to buy First Horizon a year after megadeal was announced, but the purchase price may drop, given lower sector valuations. However, what he said next did. In the six weeks since, its moved sideways. Even if its an SUV such as the Polestar 3, it will have a sleek silhouette, meaning there will be less emphasis on cargo space and more emphasis on propulsion. At $11.20 it's $24 billion. Twitter Reports 40% Drop in Revenue and Adjusted Earnings to Investors: WSJ. The opinions and information contained herein have been obtained or derived from sources believed to be reliable, butBoardroom Alphacannot guarantee its accuracy and completeness, and thatofthe opinions based thereon. Novembers SPAC market review paints a picture of a SPAC market rushing towards the exit with high, and accelerating liquidations, more deal terminations, and almost no new SPAC IPOs. 5 Penny Cryptos With the Most Potential for Growth, 3 Cream-of-the-Crop Growth Stocks to Buy for 2023, Gores Guggenheim Stock Will Pop Post Merger, But Theres Still Time to Buy. AONs Aria Glasgow on Managing ESG and Human Capital Risk, Korn Ferrys Anthony Goodman on the Importance of Board Evaluations, Podcast: Getaround CEO Sam Zaid on Carsharing and Going Public, What to Know about Universal Proxy with Bruce Goldfarb of Okapi Partners, Podcast: Li-Cycles (LICY) Ajay Kochhar on Lithium Ion Battery Recycling and EVs, SPAC Podcast: Alliance Entertainment & Adara Acquisition. Prior to merger deal announcements, SPAC stocks tend to stay close to $10 a share. At least 73 SPACs that had planned to go public this year have since been canceled due to deteriorating market conditions. Joanna has been analyzing and investing in emerging technologies for over two decades, having led the Technology, Media, and Telecom research at several global investment banks, including Mizuho Securities and Canaccord Genuity. The CEO came out and said Polestar wasnt going to be Volvo (OTCMKTS:VLVLY) or some other brand looking for mass appeal. The investigation focuses on whether GGPI and its Board of Directors violated securities laws and/or breached their fiduciary duties to the Company by 1) failing to conduct a fair process, and 2) whether the transaction is properly valued. Polestar / Gores Guggenheim Inc.(GGPI) made a splash this morning, announcing a partnership with Hertz (HTZ) that includes purchasing up to 65,000 electric vehicles (EVs) over five years. At writing, its at $9.97 per share, just a penny above its debut price. That said, I suppose you could also argue that GGPI will move significantly higher once its trading under its new symbol, PSNY. Si no quieres que nosotros ni nuestros socios utilicemos cookies y datos personales para estos propsitos adicionales, haz clic en Rechazar todo. Special purpose acquisition company (SPAC) Gores Guggenheim (NASDAQ: GGPI) continues to be on schedule with its planned merger with electric vehicle (EV) maker Polestar. The opinions expressed in this article are those of the writer, subject to the, 5 Hypergrowth Stocks With 10X Potential in 2023, Robert Bollinger: Meet the Man Behind Mullens Push Into Commercial EVs, A.I. Type a symbol or company name. Instead, it would be a niche producer of EVs. After a bustling 2021, the entire SPAC market has slowed markedly amid the global market. Before today, GGPI stock traded at $10.84 per share, down about 7% year-to-date (YTD). After many months of wait, the tie-up between Gores Guggenheim and Polestar is nearing completion. You might even get a better price in the process., Around the same time as my article, fellow, Chris Tyler argued that technical analysis of the stock suggested the beginning of December. 2023 InvestorPlace Media, LLC. The volatility amongst EV manufacturers has been significant in the second half of 2021. Ive learned in recent years that businesses operating in the middle have less chance of success. Polestar has been developing electric vehicles since 2017, the latest of which is a performance roadster. What's next for bonds in 2023 after the worst year in history, It broke me: Everyone says you need power of attorney, but nobody tells you how hard it is to use. Consumers looking for more ways to save money helped Kroger beat profit expectations and provide an upbeat outlook. For the best MarketWatch.com experience, please update to a modern browser. Para obtener ms informacin sobre cmo utilizamos tus datos personales, consulta nuestra Poltica de privacidad y Poltica de cookies. What Is the Best EV Stock to Buy Now? The Company completed the Public Offering on March 25, 2021 (the "IPO Closing Date"). Amidst production hiccups at rivals, Polestar is delivering. Nevertheless, even as EV stock mania has waned, the EV trend isnt going away. Enthusiasm about the deal, which was announced last fall, has seen a big drop in recent months. Nordstrom says it will end its business in Canada to help shore up profit after reporting weaker-than-expected sales results and forecasts. The technical storage or access that is used exclusively for anonymous statistical purposes. Check out our February podcast with CEO Thomas Ingenlath, and detailed analysis of GGPI here. read more. Lastly, the fact that Ingenlath doesnt want to be something to everyone suggests that he fully understands Polestars target market. He particularly enjoys creating model portfolios that stand the test of time. Nosotros, Yahoo, somos parte de la familia de marcas de Yahoo. The merger between Polestar and Gores Guggenheim (NASDAQ:GGPI) is expected to happen in the first half of 2022. The reverse merger between GGPI and Polestar is one of the few large SPAC deals to happen this year. You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. As you might be aware, post-merger, Polestars existing shareholders will own 94% of the company. Ends. Gores has done as good a job as anyone demonstrating that blank-check companies can deliver the goods. The enterprise hardware company saw surprising strength in the January quarter in computing and networking hardware. A recovery may not happen until the market has absorbed the changes in economic and market conditions. An alternative to Tesla. Silicon Valley Confronts the End of Growth. Also, over the years the firm has recovered or secured over a dozen cash common funds for shareholders in mergers & acquisitions class action cases. What happens to my Social Security benefit if my husband dies? EV maker Polestar going public via a SPAC with Gores Guggenheim. You should notrely solely upon the research herein forpurposes of transacting securities or other investments, and you areencouraged to conduct your own research and due diligence, and to seekthe advice of a qualifiedsecurities professional beforeyou make anyinvestment. Then I realized it was just a survey. Boardroom Alpha does not accept any liability for any direct,indirector consequential loss or damage suffered by any person as a result of relying on all or any part of this research and any liability is expressly disclaimed. He was right. Colombier was founded by Omeed Malik, founder and CEO of Farvahar Partners. ET It has been over a month since the rumor started floating that the SPAC Gores Guggenheim (GGPI) could merge with premium EV manufacturer Polestar. once the merger is completed is an excellent long-term buy, primarily because it already has sold 29,000 vehicles (2021), it expects to produce 65,000 in 2022 and 290,000 annually by 2025. Banjo player, artist, and frittata-maker. EQT Buys Majority Stake in South Korean Security Provider SK Shieldus, Nagarro 4Q Ebitda Rose; Backs 2023 Outlook, SFS Group 2022 Sales Rose Boosted By Hoffman Acquisition, Ipsen Completes Acquisition of Albireo Pharma. Ultimately, Tyler felt that waiting could get you a better entry point. However, if you own Gores Guggenheim (NASDAQ:GGPI) stock, one sentence by Ingenlath stands out in a good way. BA sits down with Aria Glasgow, Head of ESG Advisory at Aon, to discuss the intersection ESG and Human Capital and the risk for corporates. Polestar delivered about 10,000 vehicles globally last year and expects to sell about 290,000 vehicles per year by 2025. The contrast between the stock buildup of CCIV/LCID versus GGPI/PSNY is readily apparent. Mergers and Acquisitions Lightspeed Commerce Oper Chief Brandon Nussey Steps Down Shopping at Kroger can be up to four times cheaper than eating out, CEO says ACI 0.00% Broadcom stock moves. Real-time last sale data for U.S. stock quotes reflect trades reported through Nasdaq only. Under the terms of the agreement, GGPI . That is, when EV companies, in the process of ramping up production, can get their facilities firing on all cylinders. It is free and there is no cost or obligation to you. Post merger, the combined company will be named Polestar Automotive Holding UK Ltd. and will trade under the symbol "PSNY" on the Nasdaq. Emulex Corp. v. Varjabedian, 139 S. Ct. 1407 (2019). The deal also includes a PIPE, or private investment in public equity, of $250 million from top-tier institutional investors. However, it was what he said Polestar is and isnt that caught my attention. Merging with Colombier Acquisition in $200M Deal. Our 3 Top Picks. Yet if youve done your research, and are bullish on the future prospects of this promising EV play, consider GGPI stock a buy. Transaction is expected to be completed in the second quarter of 2022. The Company will not generate any operating revenues until after the completion of its Business Combination, at the earliest. If you havent bought it, thats great news because you still have time to get in before GGPI takes off post-merger. He particularly enjoys creating model portfolios that stand the test of time. All Rights Reserved. No representation or warranty, expressed or implied, is made on behalf of Boardroom Alpha as to the accuracy or completeness of the information contained herein. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. 2023, Nasdaq, Inc. All Rights Reserved. The reverse merger between GGPI and Polestar is one of the few large SPAC deals to happen this year. did not have (either directly or indirectly) any positions in the securities mentioned in this article. Still think GGPI is undervalued. The focus was entirely on internal combustion-powered vehicles. Copy and paste multiple symbols separated by spaces. 86% of retail CFD accounts lose money, Registration on or use of this site constitutes acceptance of our, Stock Prodigy Who Found NIO at $2 Says Buy THIS. On the date of publication, Will Ashworth did not have (either directly or indirectly) any positions in the securities mentioned in this article. Browse an unrivalled portfolio of real-time and historical market data and insights from worldwide sources and experts. Publications where hes appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. Polestar looks to be a nich brand, which makes GGPI stock attractive here. Ultimately, Tyler felt that waiting could get you a better entry point. Yet while its made this major progress, its not resulting in a big move for shares. However, at one point in mid-November, GGPI stock was trading as high as $16.41. For Hertz, the partnership builds on the companys ongoing commitment to lead in electrification and shared mobility. Environmental, Social and Governance (ESG), HVAC (Heating, Ventilation and Air-Conditioning), Machine Tools, Metalworking and Metallurgy, Aboriginal, First Nations & Native American, https://www.monteverdelaw.com/case/gores-guggenheim-inc, SHAREHOLDER ALERT: The M&A Class Action Firm Announces the Investigation of Adamis Pharmaceuticals Corp. - ADMP, SHAREHOLDER ALERT: The M&A Class Action Firm Announces the Investigation of Ranger Oil Corp. - ROCC. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Polestar's listing plan comes as automakers shift their focus to environment-friendly vehicles, amid rising pressure from lawmakers and investors concerned about climate change. We live in purgatory: My wife has a multimillion-dollar trust fund, but my mother-in-law controls it. Data is a real-time snapshot *Data is delayed at least 15 minutes. Nordstroms off-price Rack stores are struggling. It is the biggest blank-check merger in the EV sector since Lucid Motors struck a $24-billion deal with Michael Klein's Churchill Capital IV Corp. in February. Second, it currently trades at an attractive valuation relative to its prospects.
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