Lotus Technology announced that on the eve of completing the business merger with L Catterton Asia Acquisition Corp as planned, this year it has signed a total of approximately 870 million through public equity private investment (PIPE) and convertible bonds. Financing commitment agreement in US dollars (Note: currently approximately 6.229 billion RMB), all financing agreements were signed based on a pre-investment valuation of US$5.5 billion.
LCAA is part of L Catterton, a consumer products private equity investment firm. After Lotus Technology announced that it had received approximately US$120 million in financing on April 28, 2023, the company recently received another US$750 million in financing commitments.
Lotus Technology said that upon completion of the business combination with LCAA, investors will receive public shares that will bring Lotus Technology’s outstanding shares to more than 19% (excluding existing LCAA shareholders).
The statement also showed that the funds will be used to further advance “the development of next-generation automotive technologies, promote product innovation, support the company’s expansion of its global distribution network, and for general corporate purposes.”
Lotus Tech said in January it would list in the U.S. through a merger with LCAA, a special purpose acquisition company (SPAC) affiliated with investment firm L Catterton backed by luxury goods empire LVMH Louis Vuitton Moet Hennessy The company was formed as a special purpose acquisition company (SPAC).
It is worth mentioning that Lotus Technology is a subsidiary of British sports car brand Lotus, which is jointly owned by China’s Geely and Malaysia’s Etika Automotive.