After the Nikola Corp. scandal, people would think that the market is oversaturated or at least has learned a lesson from startups that promise to revolutionize the transportation industry. However, there is another electric car business that makes great profits and whose owner is even younger than Nikola’s. Texas-based Hyliion Inc., an electric truck company, etc., is expected this week. special-purpose acquisition vehicle (SPAC) to become public.
The company’s 28-year-old CEO, Thomas Healy, will become a billionaire as long as Tortoise Acquisition Corp shareholders vote Monday in favor of the merger with Hyliion Inc. As you can see in the first chart, their price jumped after they announced their merger.
Unlike Nikola, Hyliion does not try to produce trucks, but aims to be a supplier of hybrid and electric propulsion systems that can be built into existing models of heavy trucks. This will reduce emissions and cost of ownership.
Some argue that the truck component supplier, which will not generate significant revenue by at least 2022, should be valued at $ 7 billion after the deal. Following the merger, Tortoise is expected to acquire shares in Hyliion for nearly $ 450 million, and the total value of the deal is about $ 560 million. It is expected that after the company’s listing we will hear more opinions of investors and what are their initial attitudes towards the new company.
Junior Trader Kameliya Ivanova