- Gett is merging with a SPAC firm to go public by the first half of 2022
- The expected valuation of the merger is US$1.1 billion
- Gett is merging with Rosecliff Acquisition Corp I, which is expected to provide a proceed of around US$253 million
Corporate transportation firm GT Gettaxi Ltd (Gett) is merging with a special-purpose acquisition company (SPAC) in a deal to go public, the companies said. Meanwhile, it is expected that the corporate transportation platform would go public with a valuation of around US$1.1 billion, the companies added.
Gett is a transportation firm that provides its technology platform primary for corporate Ground Transportation Management. The ride-hailing firm was a competitor to Uber Technologies and Lyft Inc since it started its journey more than a decade ago. The company now focuses mainly on streamlining a corporate fleet and ride-hailing services while providing booking options for vehicles like taxis, limos, and others through just one platform globally.
The firm believes that its services aid customers in saving their time as well as money. The firm optimizes the whole employee experience, from booking, riding to invoicing and analytical services, while helping businesses in saving their time and cost. In addition, the corporate transportation firm has joined with ride-hailing companies like Lyft and Ola (an Indian ride-hailing service provider) for providing various solutions to customers.
Also Read: Why is Blink Charging stock (BLNK) up today?
Gett is promoting itself as a global solution provider to firms with regards to transporting their workers. Though many employees are currently working from home due to the Covid-19 pandemic, noteworthy is that the company provides its services to around a quarter of all Fortune 500 companies including the likes of Apple Inc (NASDAQ: AAPL) and The Coca-Cola Company (NYSE: KO).
The company is going public through a merger with a SPAC firm, Rosecliff Acquisition Corp I (NASDAQ: RCLF), which is expected to provide proceeds of about US$253 million from the company's trust account. In addition, another US$30 million is expected to be provided from private placement in public equity (PIPE).
Also Read: Are these pot stocks set for next big rally?
Meanwhile, in 2019, the company was once valued at around US$1.5 billion and had raised hundreds of millions of dollars in funding, which includes an investment of approximately US$300 million from the automaker Volkswagen AG.
The RCLF stocks traded at US$9.89 at 6:31 am on November 15, up 0.41% in pre-market trading.
The merger is expected to aid the firm in refocusing its operations after it closed its New York ride-hailing business Juno in 2019. Meanwhile, the company's CEO Dave Waiser said that “It’s prime time” for Gett’s “unique solution.” However, Mr. Waiser once said that Gett would eventually enter into other businesses like on-demand manicures, house cleaning, as well as delivering food items like pizza, but no such news came in recent times.
The London-based transportation firm still has its ride-hailing operations in various markets, like Israel, London, and others, but generates about 40% of its corporate trips from third parties. Gett is expected to start trading on Nasdaq under the ticker "GETT", once the deal is closed. Meanwhile, the deal is expected to close in the first half of 2022.