Automotive chip and software package company Indie Semiconductor said Tuesday it will go community as a result of a blank-verify merger to raise capital for its enlargement endeavours.
The merger with special goal acquisition company Thunder Bridge Acquisition II values the mixed company at $1.4 billion, which will trade as Indie Semiconductor on the Nasdaq trade.
On closing of the deal, the new Indie will receive up to $495 million in money, including the $345 million that Thunder Bridge raised last year from its have initial community featuring. The SPAC was fashioned by trader Gary Simanson, a former CEO of Initial Avenue National Bank.
“[Indie CEO] Donald McClymont and his team have set up a leadership franchise with a differentiated product featuring, getting delivered in excess of 100 million models to Tier 1 automotive suppliers globally,” Simanson said in a information release.
“By advantage of our mix, we consider that indie will have the money firepower to accelerate the company’s strategic expansion initiatives and aid generate an autotech pureplay powerhouse,” he included.
Indie, is based in Aliso Viejo, Calif., and was started in 2007. It makes sensors for electric and autonomous vehicles that enable superior driver support programs, including LiDAR, and connected car, consumer expertise, and vehicle electrification applications.
The company said its addressable market is expected to exceed $38 billion by 2025 and that its strategic backlog situation is valued at much more than $two billion. But it lost $seventeen million on gross sales of just $23 million in 2019, according to a presentation that accompanied the merger announcement, and does not count on to turn a profit till 2023.
“We are excited to companion with Thunder Bridge II at this important expansion juncture to capitalize on our current design and style get pipeline, increase Indie’s product access, and generate scale and more consolidate within autotech,” McClymont said.
On information of the deal, Thunder Bridge’s shares jumped two.6% to $10.69 in buying and selling Tuesday.