In what stands to be a pivotal year for the future of the market, we recap January. All rights reserved. Stock Prodigy Who Found NIO at $2 Says Buy THIS Now, Man Who Called Black Monday: Prepare Now.. However, of the two, GELYY stock volumes are a little higher. As a result, I think its chances of survival are much higher than brands such as Lucid (NASDAQ:LCID) and Rivian (NASDAQ:RIVN). 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. Valuation remains discounted, in our view, at an implied market cap of $26.1 billion ($12.40 and 2.125B shares outstanding), which implies 3.9x 2023E sales. For this, if youre very aggressive, Id suggest taking a half position today and waiting to see if it falls lower. Polestar looks to be a nich brand, which makes GGPI stock attractive here. The Car Design Award was established in 1984 by Fulvio Cinti, founder and editor-in-chief of Auto&Design for more than thirty years. The deal also includes a PIPE, or private investment in public equity, of $250 million from top-tier institutional investors. Copyright 2023 MarketWatch, Inc. All rights reserved. The five-year agreement gives renters an alternative to Tesla (TSLA), which announced a relationship with Hertz in November 2021. And Im not even a total car geek. Shares of GGPI are down a little over 2% as of this writing. It was established to help Volvo win the Swedish Touring Car Championship. Post merger, the combined company will be named Polestar Automotive Holding UK Ltd. and will trade under the symbol "PSNY" on the Nasdaq. Written by Polestar has been developing electric vehicles since 2017, the latest of which is a performance roadster. Ive learned in recent years that businesses operating in the middle have less chance of success. All told, expectations are high for PSNY stock once it begins trading. Decembers SPAC market review takes a look by the numbers of the months SPAC activity and how the market currently stands going into 2023. But there is reason to believe that quality, well-run EV companies like PSNY will survive and thrive in the years ahead. 2023 InvestorPlace Media, LLC. Type a symbol or company name. 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. It doesnt matter if you have $500 in savings or $5 million. Build the strongest argument relying on authoritative content, attorney-editor expertise, and industry defining technology. Recently, I also suggested that, That company provides digital twins of properties. Now, with volatility likely to continue into 2022, some possible alternatives exist as a short-term solution for risk-averse EV investors. InvestorPlace is one of Americas largest, longest-standing independent financial research firms. 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. All quotes delayed a minimum of 15 minutes. 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 from next year. The deal relates primarily to the EV makers Model 3. 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. He lives in Halifax, Nova Scotia. 2023 CNBC LLC. Again, such middling performance could carry on, before and after the deal closing. Get this delivered to your inbox, and more info about our products and services. Also, dont base a decision to buy or not just on a surface level view of the company. The Company will not generate any operating revenues until after the completion of its Business Combination, at the earliest. Browse an unrivalled portfolio of real-time and historical market data and insights from worldwide sources and experts. Approval of the SPAC deal was widely expected. Screen for heightened risk individual and entities globally to help uncover hidden risks in business relationships and human networks. Since the Swedish electric vehicle (EV) manufacturer announced its merger. Will Be Even Bigger Than Your Wildest Expectation, 7 Over-$100 Stocks That Are Worth Every Penny, Louis Navellier and the InvestorPlace Research Staff. March 1, 2023. Cuando utilizas nuestros sitios y aplicaciones, usamos. However, at one point in mid-November, GGPI stock was trading as high as $16.41. The good news for GGPI stock is that relatively speaking Polestar seems far less likely than peers to be one of those companies. In the six weeks since, its moved sideways. So, this all gives you two alternatives to GGPI stock: either Volvo or Geely. While the vast majority of these vehicles will be sold in China, the company is also making a push into other Asian markets. mostrar anuncios y contenido personalizados basados en perfiles de inters; medir la efectividad de los anuncios y el contenido personalizados, y. desarrollar y mejorar nuestros productos y servicios. Sign up below to get this incredible offer! Post-merger, itll have a market capitalization of $21.8 billion. Place to discuss GGPI and Polestar. 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. Right now investors are paying. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. 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. Nasdaq 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. Nordstrom says it will end its business in Canada to help shore up profit after reporting weaker-than-expected sales results and forecasts. Many EV enthusiasts see its focus on performance vehicles as a differentiator. Special purpose acquisition company (SPAC) Gores Guggenheim (NASDAQ:GGPI) continues to be on schedule with its planned merger with electric vehicle (EV) maker Polestar. It formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination. The combination of Gores Guggenheim and Polestar is one of the biggest SPAC deals of the year. We are a national class action securities litigation law firm that has recovered millions of dollars and is committed to protecting shareholders from corporate wrongdoing. The Gravity performance luxury SUV is expected to come to market in North America in 2023. That is, when EV companies, in the process of ramping up production, can get their facilities firing on all cylinders. Press question mark to learn the rest of the keyboard shortcuts. Inc. ("GGPI" or the "Company") (GGPI)a special purpose acquisition company, relating to the proposed merger with Polestar Automotive Holding Limited. On the date of publication, Will Ashworth did not have (either directly or indirectly) any positions in the securities mentioned in this article. Source: Jeppe Gustafsson / Shutterstock.com. . 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. DWACW (Digital World Acquisition) Owner Earnings per Share (TTM) as of today (March 02, 2023) is . The reverse merger between GGPI and Polestar is one of the few large SPAC deals to happen this year. For 2022 and 2023, Polestar has guided to $3.2 B and $6.7B in sales, respectively. When the symbol you want to add appears, add it to My Quotes by selecting it and pressing Enter/Return. Enthusiasm about the deal, which was announced last fall, has seen a big drop in recent months. For the company going public, a SPAC merger serves as an alternative to a traditional IPO. 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. Instead, it would be a niche producer of EVs. The Polestar deal will be supported. Ventoux CCM Acquisition Corp. . With that in mind, I continue to believe in Alec Gores real-world record of success with SPACs. That said, I suppose you could also argue that GGPI will move significantly higher once its trading under its new symbol, PSNY. quotes delayed at least 15 minutes, all others at least 20 minutes. 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. Additionally, a possible third alternative here is to buy the First Trust Nasdaq Global Auto Index Fund (NASDAQ:CARZ). He has also been selected by Martindale-Hubbell as a 2017-2021 Top Rated Lawyer. Presumably, the deal, which will result in the company taking on the Polestar name, and GGPI stock becoming PSNY stock, will close not too long after that. Yet while its made this major progress, its not resulting in a big move for shares. Polestar CEO Thomas Ingenlath recently discussed the companys plans with Automotive News. 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. Gores has done as good a job as anyone demonstrating that blank-check companies can deliver the goods. Real-time alerts, yields, red flags, filings, investors, and much more. Press J to jump to the feed. 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. News, Media, rumors,and general discussion topics are welcome! Once the reverse merger is finalized, shares of Polestar will begin trading on the Nasdaq tomorrow under the PSNY ticker symbol. Korn Ferrys Head of Board Effectiveness Anthony Goodman talks board evaluations, universal proxies, and more with David Drapkin. On the date of publication, Will Ashworth did not hold (either directly or indirectly) any positions in the securities mentioned in this article. After a bustling 2021, the entire SPAC market has slowed markedly amid the global market. Its beginning dates back to. An analyst thinks theres a good chance that PayPal will make an acquisition in the next few months and runs through the most likely -- and least likely -- scenarios. Will Ashworth has written about investments full-time since 2008. Article printed from InvestorPlace Media, https://investorplace.com/2022/03/ggpi-stock/. Second, it currently trades at an attractive valuation relative to its prospects. Share of GGPI closed up 12% today on news that the company has a deal . Insurance Doesnt Have to Be Boring. I share my. On May 25, the blank-check company formally announced the date on which shareholders will vote to approve the transaction (June 22). I entered GGPI and will increase my position tomorrow tho. 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. The technical storage or access that is used exclusively for statistical purposes. Cookie Notice (). The higher the price point, the easier it is to pull off. However, over a longer timeframe, it could zoom to price levels well above $20 per share. Sign up for free newsletters and get more CNBC delivered to your inbox. 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. Im 66, we have more than $2 million, I just want to golf can I retire? Thereafter, our firm successfully preserved this victory by obtaining dismissal of a writ of certiorari as improvidently granted at the United States Supreme Court. Got a confidential news tip? Even as the Polestar deal, which shareholders will vote to approve later this month, is on the verge of closing. Reuters provides business, financial, national and international news to professionals via desktop terminals, the world's media organizations, industry events and directly to consumers. "We will build in America for Americans," says Thomas Ingenlath, Polestar CEO. For the company going public, a SPAC merger serves as an alternative to a traditional IPO. 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. Silicon Valley Confronts the End of Growth. While its debatable how much of a deal pop well see on close, the fundamentals here are whats most important. with the special purpose acquisition company (SPAC) on Sept. 27, GGPI stock has gained about 14% or so. Of course, shares of many EV companies are down this year, including market leader Tesla (NASDAQ:TSLA). At least, based on its success so far, and on future projections. Most important, the company is well underway with production and revenue generation ($1.6B in 2021 sales). Polestar was first established in 1996by Swedish automotive giantVolvo (OTCMKTS:VLVLY). Volvo said on Monday it will make additional equity investments in Polestar of up to $600 million and is expected to hold about 50 percent of the combined company. Anyways we could very well see 20-30$. Moreover, Polestar put together a very good slide deck presentation . Two years later, it made a move to electric-powered performance vehicles. Today's announcement is a significant catalyst as investor anticipation intensifies toward an announced merger vote date. The opinions expressed in this article are those of the writer, subject to the, Gores Guggenheim Is a Buy, But Consider an Alternative in the Short Term, Biden Hears Oval Office Plea for Alaska Oil Project in Lobbying Frenzy, Apple tops ranking of global companies with the most 'green' revenue, UPDATE 2-North Korea says UN should demand end to S.Korea-US military drills, US Treasury puts cost of outbound investment risk program at $10 million, US Jobs Report and Powell Testimony Take Center Stage: Eco Week. Still, I wouldnt view this as a reason to dismiss it as an investment opportunity. Despite being outside the top 10, its a reasonable amount of exposure. InvestorPlace->, InvestorPlace - Stock Market News, Stock Advice & Trading Tips. But its a very different market now, amidst a more tepid outlook for growth stocks. Although its unclear whether it zooms or sits idle in the near-term, over a longer timeframe it could really take off. . Reuters, the news and media division of Thomson Reuters, is the worlds largest multimedia news provider, reaching billions of people worldwide every day. As you might be aware, post-merger, Polestars existing shareholders will own 94% of the company. Colombier was founded by Omeed Malik, founder and CEO of Farvahar Partners. 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. 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. In 2015, Volvo acquired Polestars high-performance business. Gores Guggenheim went public with its initial public offering (IPO) in March. It will also have a more daring design, InsideEVs reported Ingenlaths comments. The Company has selected December 31 st as its fiscal year-end. This announcement comes alongside ongoing Over-The-Air (OTA) updates that are delivering new features to Polestar 2 owners and pre-empts a future option to purchase a performance software upgrade that adds an extra 67-hp for the dual-motor variant. Enthusiasm about the. 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. Don't take it as financial . Create your Watchlist to save your favorite quotes on Nasdaq.com. Strong underwriting, an Asia expansion, and a history of consistent dividend raises make the shares attractive. Copy and paste multiple symbols separated by spaces. I think this stock may continue to trade in the low teens until the de-SPAC merger happens in 2022. We want to hear from you. The funding will be used to. 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. A Polestar will be more progressive and avant-garde; therefore, it will not be loved by everybody, but it will address its fans, Ingenlath stated. The aim of the Polestar range is to be sportier and to have a stronger focus on the driver. 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. 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. 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. DWAC (Digital World Acquisition) Accumulated other comprehensive income (loss) as of today (March 02, 2023) is $0.00 Mil. Todays announcement is a significant catalyst as investor anticipation intensifies toward an announced merger vote date. A buy under $10 would be an excellent entry point, in my opinion. Ingenlaths comments in Automotive News laid out Polestars three-pronged production plan for China, South Carolina and Europe. Oklahoma's governor set a special vote for March 7 after a pot referendum was pulled off the November ballot, and in Pennsylvania, a lawmaker launched new bill. The premium EV maker's offering includes two models: a hybrid car known as Polestar 1 and a fully electric Polestar 2. New pill cuts cholesterol, heart attacks, Seniors:Heres an easy wayto cut your risk of a heart attack or stroke by nearly 80%. 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. Copyright And Im not the only one. in July and Gores brought $310 million in cash to the deal after redemptions. While EV stocks were hot as recently as last fall, thats far from the case today. All rights reserved. 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. 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. Before today, GGPI stock traded at $10.84 per share, down about 7% year-to-date (YTD). Deal Announcement for ISAA /HYPEBEAST . LOS ANGELES & GOTHENBURG, Sweden, June 21, 2022 -- ( BUSINESS WIRE )--Gores Guggenheim, Inc. ("Gores Guggenheim" or the "Company") (NASDAQ: GGPI, GGPIU and GGPIW), a special purpose acquisition. Our 3 Top Picks. See here for a complete list of exchanges and delays. Its anyones guess when exactly EV stocks will take off again. Our lawyers have significant experience litigating Mergers & Acquisitions and Securities Class Actions. Prior results do not guarantee a similar outcome with respect to any future matter. Visit a quote page and your recently viewed tickers will be displayed here. Instead, get to know the company a little better. 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. 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. did not have (either directly or indirectly) any positions in the securities mentioned in this article. Special purpose acquisition company (SPAC) Gores Guggenheim (NASDAQ: GGPI) continues to be on schedule with its planned merger with electric vehicle (EV) maker Polestar. I also said that, at these prices, GGPI stock would seem like a steal in a few years. The transaction is expected to close in the first half of the year. Publications where hes appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. Targeted companies such as Disney and Salesforce are learning how to grab the momentum back from activists, and communicate more effectively. Its a New Era for Tech Stocks. Lorem ipsum dolor sit amet, consectetur adipiscing elit. proporcionarte nuestros sitios y aplicaciones; autenticar usuarios, aplicar medidas de seguridad y evitar el spam y los abusos, y. medir el uso que haces de nuestros sitios y aplicaciones. The merger between Polestar and Gores Guggenheim (NASDAQ:GGPI) is expected to happen in the first half of 2022. On the date of publication, Will Ashworth. Salesforce Inc. (CRM) surges after hours following earnings amidst potential activist activity and todays SPAC, IPO, and Exec News. Join the Conversation! Gores has done as good a job as anyone demonstrating that blank-check companies can deliver the goods. It was a slower month to kick off the year for SPACs. SPACs are publicly listed companies that are raised with the intention of merging with a private company at a later date. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Source: Jeppe Gustafsson / Shutterstock.com, CEO Thomas Ingenlath recently discussed the companys plans with, CEO had a lot to say on the subject. API access to institutional grade SPAC database. Subscriber Agreement & Terms of Use | However, I also said that investors need not rush to buy the SPAC before the merger happens. 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. Polestar said at the Beijing Motor Show last year that it has another model in development called the Precept, which is a larger sedan. Polestar have confirmed the previously rumoured SPAC merger with GGPI bringing the EV manufacturer to the NASDAQ with a valuation of $20 billion. GGPI Stock News. 1125 N. Charles St, Baltimore, MD 21201. This is a collection of 34 auto manufacturers, including Geely at a 3.22% weighting. Im a big believer in Alec Gores, the chairman behind this SPAC. The company is an established EV maker outside the U.S. but not headquartered in China. You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. Therefore, it might make sense to buy now before the merger, rather than afterwards. Not bad, given that, if it grows as expected, itll generate $17.6 billion in annual sales by 2025. The deal with Gores Guggenheim (GGPI.O) will provide Polestar cash proceeds of over $1 billion, including $800 million from the special purpose acquisition company (SPAC), and a PIPE, or private. files S-4 for merger with Blade Therapeutics (BBTX). Twitter Reports 40% Drop in Revenue and Adjusted Earnings to Investors: WSJ. The EV just looks nice. . The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Intraday Data provided by FACTSET and subject to terms of use. We can put the money raised into developing the technology and the market," Thomas Ingenlath, Polestar's chief executive, said in an interview. Bruce Ogilvie and Jeff Walker discuss Alliance Entertainment going public via Adara Acquisition Corp. (ADRA). The Company completed the Public Offering on March 25, 2021 (the "IPO Closing Date"). 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. He lives in Halifax, Nova Scotia. If you havent bought it, thats great news because you still have time to get in before GGPI takes off post-merger. A key advantage we have highlighted repeatedly is Polestars existing partnerships / manufacturing relationships. We earn $400,000 and spend beyond our means. Consumers looking for more ways to save money helped Kroger beat profit expectations and provide an upbeat outlook. Navigating stock market volatility since it all began in 2000. 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.. Despite being outside the top 10, its a reasonable amount of exposure. 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. Availability is expected to begin in Spring 2022 in Europe and late 2022 in North America and Australia. The post GGPI Stock Heats Up as Polestar SPAC Merger Closes appeared first on InvestorPlace. Thats well above where it currently trades under the $11.50 level. Plus500. 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. , including Geely at a 3.22% weighting. The critical distinction about Polestar is that its not a startup. Emulex Corp. v. Varjabedian, 139 S. Ct. 1407 (2019). The volatility amongst EV manufacturers has been significant in the second half of 2021. That said, unlike LCID, which was a pre-revenue, pre-production company, Polestar is very much established, having met its production target of 29,000 cars in 2021. I also said that, at these prices, GGPI stock would, The critical distinction about Polestar is that its not a startup. Its opening more of them anyway. Li-Cycle (LICY) CEO Ajay Kochhar joins Know Who Drives Return to discuss lithium ion battery recycle in the latest podcast episode. The merger between Polestar and Gores Guggenheim (NASDAQ:GGPI) is expected to happen in the first half of 2022. GGPI shares have been trading in a steady ~$11 range prior to days announcement (shares are up 8% intraday). Privacy Notice | Polestars listing gives investors access to an interesting opportunity, however. GGPI / Polestar trades higher on HTZ deal . . In 2013, Polestar launched the Volvo S60 Polestar. 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. 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. We continue to view GGPI shares as undervalued heading into the merger.