Microvast To Go Public Through SPAC Tuscan Holdings Corp.
Microvast is seeking to merger with Tuscan Holding in a transaction that would value the combined entity at about $2 billion or higher. Tuscan is seeking to raise about $200 million in new equity to fund the transaction. Tuscan is led by Chief Executive Officer Stephen A. Vogel and President and Chief Financial Officer Ruth Epstein. They raised $276 million in March of 2019 and said it would initially focus on finding a target in the cannabis industry.
Founded in 2006 in Stafford, Texas, Microvast operates a manufacturing center in Huzhou, China. Its batteries have been used to power electric buses in cities including Shanghai and Auckland as well as during the 2018 Winter Olympic Games in Pyeongchang, South Korea.
The company counts CITIC Securities and CDH Investments among its investors.
Earlier this year, Microvast said it was awarded a contract by the U.S. Advanced Battery Consortium to develop low-cost and fast-charge batteries for electric vehicle applications.
“Programs like this are critical to advancing the technology needed to meet both near- and long-term goals that will enable broader scale vehicle electrification,” Steve Zimmer, executive director of the U.S. Council for Automotive Research.