Battery manufacturer Microvast Inc. it will be made public through a merger with a blank check company Tuscan Holdings Corp., according to people with knowledge of the matter.
The transaction, which is expected to be announced as early as Monday, will value the combined company at about $ 3 billion, people said, asking that they not identify themselves because the information is private.
Companies will receive more than $ 800 million in cash when the deal closes, which includes a $ 540 million investment led by Oshkosh Corp., BlackRock Inc., Koch Strategic Platforms and InterPrivate, people said.
Representatives from Stafford, Microvast based in Texas and Tuscany declined to comment.
The special-purpose acquisition company Tuscan raised $ 276 million in March 2019. Led by CEO Stephen Vogel, the firm said it intended to focus on the industry’s acquisition goals. cannabis, although it can pursue an acquisition in any sector, according to its listing documents. .
Microvast, founded in 2006, manufactures batteries for commercial vehicles such as taxis and buses, as well as specialized transportation, including mining trucks and port equipment. CITIC Securities, a Chinese state agent, led a $ 400 million round of private financing to the company in 2017, according to its website.
One of the major investors in the additional investment raised to support the transaction – InterPrivate – has also managed a SPAC. InterPrivate Acquisition Corp. signed a merger agreement with the company Lidar Aeva Inc. in November.