- XL Fleet Corp (XL) completed its merger with special purpose acquisition company Pivotal Investment Corporation II.
- Its stocks zoomed over 86 per cent following the development.
- The combined corporation will now trade on the New York Stock Exchange under the ticker symbols "XL".
Stocks of fleet electrification firm XL Fleet Corp (XL) rallied on Wednesday, after it announced the completion of its merger with special purpose acquisition company (SPAC) Pivotal Investment Corporation II (NYSE: PIC, PIC: US). The stocks soared over 86 per cent on the back of this development.
The combined corporation will now be called XL Fleet Corp and the stock will trade on the New York Stock Exchange under the ticker symbols "XL".
XL Fleet, which develops vehicle electrification solutions for commercial and municipal fleets, has a strong presence in the US and Canada. It received approximately $350 million in cash proceeds, as a part of the merger deal. The funds will be used to finance the company’s expansion and business strengthening plans.
XL Fleet’s 3-month chart (Source: Refinitiv, Thomson Reuters)
The stock is up 227 per cent this year and has gained over 160 per cent in the last three months. In the last one week, the stock has advanced by 116 per cent.
XL Fleet has over 200 customers and deployed 3,000+ systems, racking up 140+ million customer driven miles across North America. Some of its clients are The Coca-Cola Company, Yale University and Verizon.
Its proprietary technology helps reduce carbon dioxide emissions by up to 20 per cent to 33 per cent. The company was named as one of the best inventions of 2019 by TIME magazine.
It has three primary products: XLHybridTM, XLpug-inTM and XLelecticTM.
In 2019, XL Fleet’s annual revenue was $7.2 million and EBITDA margins of 182 per cent. The company aims to hit $1,377.1-million revenue by 2024.