- Lordstown Motors Corp. and DiamondPeak Holdings Corp (NASDAQ: DPHC) recently announced the closing of a business combination. These are the details.
Lordstown Motors Corp. — which is a leader in electric light-duty trucks focused on the commercial fleet market — announced it has completed its business combination with DiamondPeak Holdings Corp. (NASDAQ: DPHC), a special purpose acquisition company (SPAC).
The business combination has been approved by DPHC stockholders in a special meeting held on October 22, 2020. And starting on October 26, 2020, Lordstown Motors’ Class A shares will trade on the Nasdaq Global Select market under the ticker symbol “RIDE” and its warrants will trade on Nasdaq under the ticker symbol “RIDEW.”
Lordstown Motors — which unveiled the prototype of its flagship Endurance pickup truck in June 2020 — remains on pace to commence commercial production in the second half of 2021 at its plant in Lordstown, Ohio. And the Endurance’s revolutionary use of an in-wheel hub motor design is expected to deliver superior performance, efficiency, and safety while providing a significant reduction in the total cost of ownership for commercial fleet owners.
Goldman Sachs served as the exclusive financial advisor and Sullivan & Cromwell LLP served as legal advisor to DiamondPeak. And Goldman Sachs served as exclusive placement agent on the PIPE offering.
Deutsche Bank had served as an additional capital markets advisor to DiamondPeak. And BakerHostetler served as a legal advisor to Lordstown Motors.
KEY QUOTES:
“We are proud of this momentous occasion. Electrification of the automotive industry is at an inflection point, and this transaction helps us play our part in this transformation. At Lordstown, we have built a differentiated company, and we look forward to combining our EV startup culture with the infrastructure and assets we already have in place in order to successfully achieve our production milestones.”
“We have a near production-ready plant and approximately $675 million in proceeds from this transaction, which is more than enough funding to get us through initial production.”
— Steve Burns, Founder and Chief Executive Officer of Lordstown Motors
“We are thrilled about the successful execution of this merger, which included a PIPE that is backed by General Motors and several long-term institutional investors, and we congratulate Lordstown on achieving this key milestone. We look forward to our long-term partnership with Steve and the entire Lordstown team as they progress towards being first to market with an electric pickup truck for commercial fleets.”
— David Hamamoto, Chairman and Chief Executive Officer of DiamondPeak
“GM is excited about the progress Lordstown Motors is making because we believe they will help create more good-paying jobs in Ohio and especially in the Lordstown community.”
— General Motors
