Auto-tech co Otonomo completes $1.26b SPAC merger
16 August 2021 - globes
The Israeli car data platform developer begins trading on Nasdaq on Monday.
Israeli auto-tech company Otonomo has announced the completion of its SPAC merger with Software Acquisition Group Inc. II (Nasdaq: SAII). The merged company will begin trading on Nasdaq tomorrow as Otonomo Technologies Ltd. (Nasdaq: OTMO). The merger was completed at a company valuation of $1.26 billion, slightly below the initially planned $1.4 billion.
Otonomo is raising $255.1 million including $112.6 million of cash held in trust following Software Acquisition Group’s public stockholder redemptions and $142.5 million from a private placement in public equity (PIPE), including investments from institutional investors Fidelity Management & Research Company LLC, BNP Paribas Asset Management Energy Transition Fund and Senvest Management LLC, with support from strategic investors Dell Technologies Capital and Hearst Ventures.
Herzliya-based Otonomo has developed a data platform linked to 40 million connected cars through four billion data points. The data is used for emergency services, mapping, parking and predictive maintenance, and partners include BMW AG, Daimler AG, Mitsubishi Motors Corp. and Mercedes-Benz
Otonomo CEO Ben Volkow said, "Today marks an important milestone in Otonomo’s journey to globalize the company and operate as a publicly traded company. Joining the public market with Software Acquisition Group is part of our commitment to transparency, growth and profitability. We look forward to adding investors to our stakeholder community and leveraging all available resources to enhance relations with our top tier clients.
He added, "Otonomo’s mission is to harness the immense potential of vehicle data and provide thousands of organizations across a broad range of markets the ability to seamlessly access, explore, analyze, and unlock the full power of vehicle data. The momentum of our business lays the groundwork to a significant growth opportunity. We will continue to positively impact the driving experience and create new opportunities for our data consumers across multiple markets and the entire transportation ecosystem."