Fisker Inc. and Spartan Energy Acquisition Corp. (Spartan) (NYSE: SPAQ), a special purpose acquisition company sponsored by an affiliate of Apollo Global Management, Inc. (NYSE: APO) (together with its subsidiaries, “Apollo”), announced a definitive agreement that would result in Fisker becoming a publicly listed company.
Based in Los Angeles, Fisker develops emotionally desirable and eco-friendly electric vehicles, supported by advanced mobility solutions. They anticipate the transaction to provide Fisker the funding to bring its first product, Fisker Ocean, to production in 2022.
The Fisker Ocean is a fully electric SUV with premium styling and features. Fisker designed it to be the world’s most sustainable vehicle, including extensive use of environmentally friendly and recycled materials. The Fisker Ocean will be available to consumers through an innovative leasing package, optimized for driver convenience and accessibility. The vehicle has won numerous awards since its debut at the Consumer Electronics Show earlier in 2020. This highlights strong market reception for this type of vehicle and for the Fisker ethos of appealing design and sustainability.
FROM THE CHAIRMEN
Henrik Fisker, Fisker Inc. company founder, chairman, and chief executive officer, comments on today’s significant milestones.
“Today, the realization of the world’s first digital car company took another major step forward, advancing our mission to commercialize the world’s most emotional and sustainable vehicles, while upholding our vision of a clean future for all,” he says. “We are excited to partner with Apollo, a world-class financial institution who brings deep industry expertise, extensive global relationships, and a shared commitment to ESG. This vote of confidence from investors … lays out Fisker’s path to 2022 and beyond. Drivers of the Fisker Ocean SUV will also benefit from our unique flexible lease program that maximizes affordability, while delivering unrivaled ownership flexibility. Deployed through our proprietary app, our leasing model has been designed to appeal to customers looking for the ultimate in sustainable mobility and freedom from traditional and restrictive leasing programs.”
“Spartan and Apollo have a strong commitment to sustainability and ESG, and we are excited to work with Fisker to help achieve its vision of attainable electric transportation,” says Geoffrey Strong, chairman and chief executive officer of Spartan and senior partner, co-head of infrastructure and natural resources at Apollo. “Henrik has an unparalleled and world-renowned design track record and is supported by an expert management team with storied careers in the automotive industry. The right team, combined with deep financial resources provided by this transaction, further position the company to succeed in a rapidly growing industry.”
“Our funding, product plans and brand development actions are on course,” Fisker continues. “Prototype vehicles are expected to start durability testing by the end of this year, and we continue to make significant progress on the development of our sales and service proposition.”
TRANSACTION OVERVIEW
Additionally, the business combination values Fisker at a $2.9 billion at the $10 per share PIPE price. This value also assumes minimal redemptions by Spartan shareholders. The boards of directors of both Spartan and Fisker unanimously approved the proposed transaction. They expect a completed transaction in the fourth quarter of 2020, subject to the approval by Spartan’s shareholders. Conditions also include satisfaction of the conditions stated in the definitive agreement and other customary closing conditions.
Find out more, visit www.fiskerinc.com and www.apollo.com.
