Although its unclear whether it zooms or sits idle in the near-term, over a longer timeframe it could really take off. Its a New Era for Tech Stocks. Navigating stock market volatility since it all began in 2000. read more. We want to hear from you. Its beginning dates back to. In 2014, it mass-produced both the S60 and V60 for sale in eight markets. However, for now, it seems to have its feet on the ground, providing investors with very reasonable growth projections. 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. Don't take it as financial . The technical storage or access that is used exclusively for anonymous statistical purposes. Shares of Gores Guggenheim pared some earlier gains and were up over 4% in morning trading. All quotes delayed a minimum of 15 minutes. Polestars listing gives investors access to an interesting opportunity, however. The Polestar deal will be supported by cash proceeds of around $800 million from Gores Guggenheim Inc, assuming no share redemptions by public stockholders of the blank-check firm. Polestar is unique in that while its not the flashiest vehicle, the companys main selling proposition is to make reliable cars without gimmicks. Copyright InvestorPlace - Stock Market News, Stock Advice & Trading Tips. The aim of the Polestar range is to be sportier and to have a stronger focus on the driver. 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. So, this all gives you two alternatives to GGPI stock: either Volvo or Geely. Shares of GGPI are down a little over 2% as of this writing. Gores Guggenheim believes the deal will raise about $850 million in gross proceeds. . Lifes a beach for this Florida FIRE couple, Cant take statins? You might even get a better price in the process.. Place to discuss GGPI and Polestar. The Company will not generate any operating revenues until after the completion of its Business Combination, at the earliest. The deal also includes a PIPE, or private investment in public equity, of $250 million from top-tier institutional investors. We continue to view GGPI shares as undervalued heading into the merger. Nordstrom says it will end its business in Canada to help shore up profit after reporting weaker-than-expected sales results and forecasts. Colombier was founded by Omeed Malik, founder and CEO of Farvahar Partners. Enthusiasm about the deal, which was announced last fall, has seen a big drop in recent months. 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. Matterport merged with Gores Holdings VI back in July and Gores brought $310 million in cash to the deal after redemptions. Polestar joins other EV makers in the public market, including Tesla (TSLA.O) and Lucid Motors (LCID.O), which went public in a $24 billion SPAC deal in February. Polestar itself is a joint venture between, However, because Geely owns 78.4% of Volvo Cars stock not to mention nearly 97% of its voting power Polestar will ultimately be controlled by the Chinese car company and billionaire Li Shufu, the worlds, Additionally, a possible third alternative here is to buy the. When typing in this field, a list of search results will appear and be automatically updated as you type. Real-time alerts, yields, red flags, filings, investors, and much more. Special purpose acquisition company (SPAC) Gores Guggenheim (NASDAQ: GGPI) continues to be on schedule with its planned merger with electric vehicle (EV) maker Polestar. Im a big believer in Alec Gores, the chairman behind this SPAC. Based on a $49K starting price, the deal is valued at ~$3.2B. Ultimately, Tyler felt that waiting could get you a better entry point. Join the Conversation! Our lawyers have significant experience litigating Mergers & Acquisitions and Securities Class Actions. When the symbol you want to add appears, add it to Watchlist by selecting it and pressing Enter/Return. Reddit and its partners use cookies and similar technologies to provide you with a better experience. At the end of November, I argued that GGPI stock was a better buy for aggressive investors than, f a stock is destined to be a long-term winner (five to 10 years out), there is no rush to run out and buy it. In the six weeks since, its moved sideways. All quotes are in local exchange time. Share of GGPI closed up 12% today on news that the company has a deal . Polestar have confirmed the previously rumoured SPAC merger with GGPI bringing the EV manufacturer to the NASDAQ with a valuation of $20 billion. The CEO came out and said Polestar wasnt going to be Volvo (OTCMKTS:VLVLY) or some other brand looking for mass appeal. Anticipation on GGPI/Polestar merger. Ventoux CCM Acquisition Corp. . However, of the two, GELYY stock volumes are a little higher. But no matter when exactly the recovery begins, it may be worthwhile to lock down positions before it happens rather than after it happens. Reuters provides business, financial, national and international news to professionals via desktop terminals, the world's media organizations, industry events and directly to consumers. Its safe to say this isnt the best market for an EV company to debut. And Im not the only one. However, thats an entirely different subject than whether you should buy GGPI at todays prices. The deal relates primarily to the EV makers Model 3. Li-Cycle (LICY) CEO Ajay Kochhar joins Know Who Drives Return to discuss lithium ion battery recycle in the latest podcast episode. We use cookies to optimize our website and our service. Type a symbol or company name. Instead, it would be a niche producer of EVs. Get in Now on Tiny $3 Forever Battery Stock, Early Bitcoin Millionaire Reveals His Next Big Crypto Trade On Air. Consumers looking for more ways to save money helped Kroger beat profit expectations and provide an upbeat outlook. Inc. ("GGPI" or the "Company") (GGPI) a special purpose acquisition company, relating to the proposed merger with Polestar Automotive Holding Limited. Sign up below to get this incredible offer! I recommend taking an in-depth look at this company, its lineup of mass affluent and luxury EVs, and its game plan to take on Tesla (NASDAQ:TSLA), Lucid (NASDAQ:LCID), and the incumbent automakers looking to grab a piece of the electric vehicle market. Its opening more of them anyway. Polestar delivered about 10,000 vehicles globally last year and expects to sell about 290,000 vehicles per year by 2025. Despite being outside the top 10, its a reasonable amount of exposure. The law firm responsible for this advertisement is Monteverde & Associates PC (www.monteverdelaw.com). 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. New pill cuts cholesterol, heart attacks, Seniors:Heres an easy wayto cut your risk of a heart attack or stroke by nearly 80%. Second, it currently trades at an attractive valuation relative to its prospects. Gores Guggenheim completed its initial public offering in April 2021, raising approximately USD 800 million in cash proceeds for the purpose of effecting a merger, capital stock exchange, asset. Ingenlath wants customers that will be loyal to the Polestar brand. The merger with Polestar via SPAC deal to take it public is finally nearing completion. In other words, hes saying if you buy a Polestar, youll be getting something unique and special. Article printed from InvestorPlace Media, https://investorplace.com/2022/03/ggpi-stock/. Post merger, the combined company will be named Polestar Automotive Holding UK Ltd. and will trade under the symbol "PSNY" on the Nasdaq. In what stands to be a pivotal year for the future of the market, we recap January. That company provides digital twins of properties. It was established to help Volvo win the Swedish Touring Car Championship. GGPI Stock Price - Gores Guggenheim, Inc. is a blank check company. Both stocks are thinly traded over the counter. 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. Sept 27 (Reuters) - Swedish electric-car maker Polestar said on Monday it will go public by merging with a U.S.-listed blank-check firm backed by billionaire Alec Gores and investment bank Guggenheim Partners at an enterprise value of $20 billion. 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. Heres what investors should know moving forward. Im a big believer in Alec Gores, the chairman behind this SPAC. The company is headquartered in Sweden but manufactures its EVs in China. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. Instead, get to know the company a little better. If you owned common stock in the Company and wish to obtain additional information and protect your investments free of charge, please visit our website or contact Juan E. Monteverde, Esq. While the vast majority of these vehicles will be sold in China, the company is also making a push into other Asian markets. He lives in Halifax, Nova Scotia. To the extent anyof the information contained herein may bedeemed to be investment advice, such information is impersonal and nottailored to the investment needs of any specific person. The reverse merger between GGPI and Polestar is one of the few large SPAC deals to happen this year. 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 Polestar deal will be supported. Market is a lot different now versus CCIV/LCID times. Barring unforeseen developments, Polestar ought to deliver considerable wealth to its patient shareholders in the future.. Why Chubb Stock Is a Buy. After a bustling 2021, the entire SPAC market has slowed markedly amid the global market. 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. Click here for more information: https://www.monteverdelaw.com/case/gores-guggenheim-inc. On the date of publication, Will Ashworth did not have (either directly or indirectly) any positions in the securities mentioned in this article. At writing, its at $9.97 per share, just a penny above its debut price. We earn $400,000 and spend beyond our means. For 2022 and 2023, Polestar has guided to $3.2 B and $6.7B in sales, respectively. Our firm's recent successes include changing the law in a significant victory that lowered the standard of liability under Section 14(e) of the Exchange Act in the Ninth Circuit. Featured. As background, Polestar is jointly owned by Volvo and its parent company Chinese OEM Geely (GELYY). Gores has done as good a job as anyone demonstrating that blank-check companies can deliver the goods. At least two hedge funds sold their stakes in Digital World Acquisition Corp. after that SPAC firm announced plans to merge with former President Donald Trump 's planned social media platform.. After many months of wait, the tie-up between Gores Guggenheim and Polestar is nearing completion. On July 8,. However, if you own Gores Guggenheim (NASDAQ:GGPI) stock, one sentence by Ingenlath stands out in a good way. This is because either your product or service appeals to the top 20% of household incomes or the bottom 20%. Reuters, the news and media division of Thomson Reuters, is the worlds largest multimedia news provider, reaching billions of people worldwide every day. Korn Ferrys Head of Board Effectiveness Anthony Goodman talks board evaluations, universal proxies, and more with David Drapkin. What Is the Best EV Stock to Buy Now? Critics of the practice include Warren Buffett. Cuando utilizas nuestros sitios y aplicaciones, usamos. SPAC Merger. Stock Prodigy Who Found NIO at $2 Says Buy THIS Now, Man Who Called Black Monday: Prepare Now.. 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. Enthusiasm about the. If you own the shares of the EV maker already, dont worry about its poor performance recently, I wrote in January. A recovery may not happen until the market has absorbed the changes in economic and market conditions. Si quieres personalizar tus opciones, haz clic en Gestionar configuracin de privacidad. 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. February 28, 2023. Changing market conditions (namely, rising interest rates) have put pressure on their valuations. 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. Volvo said on Monday it will make additional equity investments in Polestar of up to $600 million and is expected to hold about 50 percent of the combined company. 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. At $11.20 it's $24 billion. Currently, this stock earns a B rating in my Portfolio Grader. did not have (either directly or indirectly) any positions in the securities mentioned in this article. 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. The good news for GGPI stock is that relatively speaking Polestar seems far less likely than peers to be one of those companies. Oklahoma voters go to polls on cannabis measure, while Pennsylvania eyes adult-use bill, U.S. companies embark on record borrowing spree, despite paying highest rates since 2009, Salesforce Reports Financial Results Like a Tech Start-Up, Activist Investors Are Finding the Tables Turned, Sleep Country Canada Up 7.7% as 4Q Profit Gets Hush Brand Adjustment Boost, Daseke Chief Operating Officer Rick Williams to Retire, HP Enterprise Posts Strong Earnings Beat, Lifts Guidance, TD bank may reprice major acquisition of First Horizon, analyst says, Lightspeed Commerce Oper Chief Brandon Nussey Steps Down, Shopping at Kroger can be up to four times cheaper than eating out, CEO says, Broadcom stock moves higher after earnings, forecast beat, Ritchie Bros. files S-4 for merger with Blade Therapeutics (BBTX). Our Standards: The Thomson Reuters Trust Principles. Thats well above where it currently trades under the $11.50 level. The partnership with Polestar builds on Hertzs announcement last October to offer its customers the largest EV rental fleet in North America and one of the largest in the world. Anyways we could very well see 20-30$. 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. A Division of NBCUniversal. Yet while its made this major progress, its not resulting in a big move for shares. Historical and current end-of-day data provided by FACTSET. The deal also includes a PIPE, or private investment in public equity, of $250 million from top-tier institutional investors. Written by Started over 40 years ago by a business visionary named Tom Phillips, we publish detailed research and recommendations for self-directed investors, financial advisors and money managers. It was a slower month to kick off the year for SPACs. Salesforce Inc. (CRM) surges after hours following earnings amidst potential activist activity and todays SPAC, IPO, and Exec News. When the symbol you want to add appears, add it to My Quotes by selecting it and pressing Enter/Return. See here for a complete list of exchanges and delays. In addition to the Geely relationship, Polestar has access to Volvos manufacturing infrastructure. While EV stocks were hot as recently as last fall, thats far from the case today. Polestar said at the Beijing Motor Show last year that it has another model in development called the Precept, which is a larger sedan. An alternative to Tesla. 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. However, according to Volvo, only 100 were made in the initial year. For the best MarketWatch.com experience, please update to a modern browser. First, despite its also-ran reputation, its one of the more promising early stage names in this space. The deal is expected to close later today. Also, over the years the firm has recovered or secured over a dozen cash common funds for shareholders in mergers & acquisitions class action cases. Got a confidential news tip? However, what he said next did. Polestar CEO Thomas Ingenlath recently discussed the companys plans with Automotive News. Type a symbol or company name. Special purpose acquisition company (SPAC) Gores Guggenheim (NASDAQ:GGPI) continues to be on schedule with its planned merger with electric vehicle (EV) maker Polestar. Under the terms of the agreement, GGPI . Emulex Corp. v. Varjabedian, 139 S. Ct. 1407 (2019). We can put the money raised into developing the technology and the market," Thomas Ingenlath, Polestar's chief executive, said in an interview. Still, I wouldnt view this as a reason to dismiss it as an investment opportunity. either via e-mail at [emailprotected] or by telephone at (212) 971-1341. As a result, Geely owns 50.5% of Polestars equity while Volvo owns 49.5%. SPAC Merger. From the day the Polestar 1 was launched, I have been a fan of the brands designs. Investors still bullish on EV stocks can purchase shares of Polestar once PSNY stock starts trading tomorrow morning. The fact that the company is moving close to 30,000 units this. While its debatable how much of a deal pop well see on close, the fundamentals here are whats most important. Sam Zaid, CEO of Getaround, joins David Drapkin on the podcast to discus what makes carsharing company Getaround so special and their journey to go public. [I]f a stock is destined to be a long-term winner (five to 10 years out), there is no rush to run out and buy it. The five-year agreement gives renters an alternative to Tesla (TSLA), which announced a relationship with Hertz in November 2021. All rights reserved. The technology is used widely in the. InvestorPlace->, InvestorPlace - Stock Market News, Stock Advice & Trading Tips. He was right. It previously said it has another model in development called the Precept, which is a larger sedan. This particular EV play is appealing for two reasons. PublicSq. Theres even room for more lines. We were listed in theTop 50in the 2018-2020 ISS Securities Class Action Services Report. SPACs are publicly listed companies that are raised with the intention of merging with a private company at a later date. All told, expectations are high for PSNY stock once it begins trading. 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. API access to institutional grade SPAC database. The merger between Polestar and Gores Guggenheim (NASDAQ:GGPI) is expected to happen in the first half of 2022. Whats our next move? from 8 AM - 9 PM ET. 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. Check out our February podcast with CEO Thomas Ingenlath, and detailed analysis of GGPI here. This news follows the September announcement of Polestar's intention to list on Nasdaq in connection with its proposed business combination with Gores Guggenheim, Inc. (Nasdaq: GGPI, GGPIW, and GGPIU), which is expected to close in the first half of 2022. This relationship gives Polestar access to manufacturing in Chinas as well as facilities in Europe and the U.S. Geely has a 2022 target of 1.65 million vehicles. That is, when EV companies, in the process of ramping up production, can get their facilities firing on all cylinders. Outsmart the market with Smart Portfolio analytical tools powered by TipRanks. Merging with Colombier Acquisition in $200M Deal. Polestar itself is a joint venture between Volvo (OTCMKTS:VLVLY) and Geely (OTCMKTS:GELYY). Screen for heightened risk individual and entities globally to help uncover hidden risks in business relationships and human networks. "We will build in America for Americans," says Thomas Ingenlath, Polestar CEO. Build your trading network; Follow your favorite assets . As a result, I think its chances of survival are much higher than brands such as Lucid (NASDAQ:LCID) and Rivian (NASDAQ:RIVN). As the deal approaches a close, GGPI shares have formed a solid base of support. Nasdaq While retail investors on social media tend to focus on powertrain modes and the time from 0-60mph, Polestar management is focused on building a sustainable, dependable car. After a bustling 2021, the entire SPAC market has slowed markedly amid theglobal marketdownturn. So far this year, there have only been 11 SPAC listings valued at $25 million or more. Cookie Notice (). Moreover, Polestar put together a very good slide deck presentation . Two years later, it made a move to electric-powered performance vehicles. It doesnt matter if you have $500 in savings or $5 million. The latest deal will provide a key test of investor appetite for SPAC deals after other such transactions in the electric vehicle sector soured over the past few months. But its a very different market now, amidst a more tepid outlook for growth stocks. Ultimately, Tyler felt that waiting could get you a better entry point. What happens to my Social Security benefit if my husband dies? Sign up for free newsletters and get more CNBC delivered to your inbox. 1125 N. Charles St, Baltimore, MD 21201. Will Ashworth has written about investments full-time since 2008. The Company completed the Public Offering on March 25, 2021 (the "IPO Closing Date"). Intraday Data provided by FACTSET and subject to terms of use. Amidst a proxy fight with Trian, Walt Disney Co. (DIS) announced that it will cut ~7k jobs as part of a $5.5B cost savings plan. in July and Gores brought $310 million in cash to the deal after redemptions. Prior results do not guarantee a similar outcome with respect to any future matter. Nosotros, Yahoo, somos parte de la familia de marcas de Yahoo. However, if you own, for China, South Carolina and Europe. Of course, shares of many EV companies are down this year, including market leader Tesla (NASDAQ:TSLA). GGPI Stock Heats Up as Polestar SPAC Merger Closes, Do Not Sell My Personal Information (CA Residents Only). All rights reserved. Plus500. 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. 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. So naturally, theCEO had a lot to say on the subject. Anywhere in between makes it harder to gain customer loyalty. On the date of publication, Will Ashworth. Not bad, given that, if it grows as expected, itll generate $17.6 billion in annual sales by 2025. As a result, I think its chances of survival are much higher than brands such as, On the date of publication, Will Ashworth. Insurance Doesnt Have to Be Boring. 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. Under the terms of the agreement, GGPI shareholders will retain less than 6% ownership of the combined company. Decembers SPAC market review takes a look by the numbers of the months SPAC activity and how the market currently stands going into 2023. The reverse merger between GGPI and Polestar is one of the few large SPAC deals to happen this year. did not hold (either directly or indirectly) any positions in the securities mentioned in this article. Gores Guggenheim completed its initial public offering in April 2021, raising approximately USD 800 million in cash proceeds . Last year, a record 613 SPAC listings occurred on U.S. exchanges, raising a total of $145 billion. Its beginning dates back to 1996. For this, if youre very aggressive, Id suggest taking a half position today and waiting to see if it falls lower. Then I realized it was just a survey. GGPI hasn't announced a definitive merger date with Polestar but the two companies expect to complete the business combination in the first half of 2022. InvestorPlace is one of Americas largest, longest-standing independent financial research firms. The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user. It predicts it will rake in $1.6 billion in revenue this year and double that number next year. As you might be aware, post-merger, Polestars existing shareholders will own, . Inc. ("GGPI" or the "Company") (GGPI)a special purpose acquisition company, relating to the proposed merger with Polestar Automotive Holding Limited. Intraday data delayed at least 15 minutes or per exchange requirements. Before today, GGPI stock traded at $10.84 per share, down about 7% year-to-date (YTD). GGPI shares have been trading in a steady ~$11 range prior to day's announcement (shares are up 8% intraday). InvestorPlace - Stock Market News, Stock Advice & Trading Tips. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you. Objective, data-driven assessments for every public company director and officer. Once the deal is completed, Polestar will trade under the ticker symbol PSNY on the Nasdaq. Deal Announcement for ISAA /HYPEBEAST . But there is reason to believe that quality, well-run EV companies like PSNY will survive and thrive in the years ahead. Nordstroms off-price Rack stores are struggling. 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. GGPI shares starting to regain momentum ahead of merger vote. Copyright 2023 MarketWatch, Inc. All rights reserved. At the time of this writing, the stock is down 2.83% on the day, closing in on $11. With that in mind, I continue to believe in Alec Gores real-world record of success with SPACs. Gores Guggenheim, Inc. (Nasdaq: GGPI, GGPIW, and GGPIU) is a special purpose acquisition company sponsored by an affiliate of The Gores Group, LLC, founded by Alec Gores, and by an affiliate of Guggenheim Capital, LLC. Defends Financial Benefits of IAA Deal. Yet if youve done your research, and are bullish on the future prospects of this promising EV play, consider GGPI stock a buy.