GM-Backed Wejo In Talks With Virtuoso On SPAC Merger: Bloomberg

GM-Backed Wejo In Talks With Virtuoso On SPAC Merger: Bloomberg

Photo by Jacek Dylag on Unsplash.

The British automobile data startup Wejo Ltd, backed by General Motors Company (GM), is in talks to go public with Virtuoso Acquisition Corp (VOSOU) through a SPAC merger, Bloomberg reports, citing people with knowledge of the matter. 

The blank-check company Virtuoso is looking to raise new equity to support the transaction with a value of more than $1 billion. According to sources, the deal has not closed yet, and the terms may change. Private Investment in Public Equity (PIPE) funding is crucial to complete acquisition by SPAC.

Wejo, a connected-vehicle data specialist, was founded in 2014 and led by Chief Executive Officer Richard Barlow. In January, Virtuoso raised $230 million in an initial public offering. In February, Wejo’s Israeli rival Otonomo said it would go public through a merger with a SPAC, Software Acquisition Group Inc II, at a valuation of $1.4 billion.

Apart from GM, Wejo’s investors include Hella Ventures, Platina Partners, DIP Capital, and the U.K. government’s Future Fund. Wejo has raised $157 million from these investors. SPACs are shell companies that raise funds to acquire a private company and then take it public. 

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