Gogoro, a Taiwan-headquartered electric scooter manufacturer backed by corporate investors Engie, Panasonic and Sumitomo, has agreed to a reverse takeover with special purpose acquisition company Poema Global Holdings Corp.
Founded in 2011, Gogoro provides intelligent electric scooters, mopeds and motorcycles as well as a network of artificial intelligence and cloud-powered battery swapping stations in markets including Taiwan, Japan and India.
The merger is set to close in the first quarter of 2022, and will give Gogoro a pro forma enterprise valuation of $2.35bn. The merged company will take the spot on the Nasdaq Stock Exchange held by Poema Global, when the latter floated in a $300m initial public offering in January 2021.
The deal is being supported by more than $250m in private investment and public equity (PIPE) funding from investors including electronics contract manufacturer Foxconn and GoTo Group, a diversified technology group formed through a May 2021 merger between ride hailing service Gojek and e-commerce platform operator Tokopedia.
Unnamed vehicle partners are also taking part in the PIPE, as are new and existing backers including Generation Investment Management, National Development Fund of Taiwan, Temasek and founding investor Samuel Yin.
Current Gogoro shareholders will continue to hold a majority stake in the combined entity when the transaction is completed. It will receive an additional $345m held in trust by Poema Global, taking the overall proceeds of the deal to roughly $550m.
The proceeds will be used to expand the company’s presence globally across China, India and Southeast Asia, boost operational capabilities, conduct research and development and increase general corporate capital.
Gogoro had completed a $300m series C round in 2017, raising the cash from conglomerate Sumitomo, electric utility Engie, electronics manufacturer Panasonic, Temasek, Generation Investment Management and Samuel Yin filled at a valuation of over $800m.
Panasonic and Yin had joined National Development Fund of Taiwan to back a $130m series B round for the company in 2015, after a reported $50m round four years before featuring Yin and Cher Wang. Its shareholders also include Fuh Hwa Investment Trust.
Horace Luke, founding chairman and CEO of Gogoro, said: “Much of today’s world commutes on two wheels, and cities are embracing sustainable energy and smart city technologies in unprecedented ways. One of the greatest challenges is transitioning from legacy personal transportation systems to more intelligent and sustainable mobility solutions.
“With our vision, innovative technology, expanding global footprint and experienced management team, Gogoro is well-positioned to transform the urban mobility landscape and capitalise on the electric transition of more than a half-billion two-wheel vehicles.”
