Mobility Tech Company ECARX to Start Trading on Nasdaq in SPAC Merger

Automotive Author: Kaiwen Li Editor: Ziying Wu Dec 22, 2022 02:26 PM (GMT+8)

ECARX, a global mobility tech company, listed its shares on U.S. stock exchange Nasdaq on Dec. 21 through combining with special purpose acquisition company COVA Acquisition Corp. ECARX became the first Chinese automotive intelligent startup to be listed on the U.S. stock market.

ECARX

ECARX Co., Ltd. (hereinafter referred to as ECARX) (Chinese: 亿咖通科技), a global mobility tech company, and COVA Acquisition Corp., a publicly traded special purpose acquisition company, announced that the previously announced merger transaction was successfully completed on December 20, 2022. The merged company will retain the corporate name 'ECARX' and its shares and warrants will commence trading on the Nasdaq exchange on December 21 under the symbols 'ECX' and 'ECXWW', respectively.

ECARX, co-founded in 2017 by the founder of Geely Holding Eric Li and Ziyu Shen, is an automotive intelligence company specializing in developing a full-stack automotive computing platform. ECARX recorded USD 415 million in revenue in 2021 and its technology has been integrated into more than 3.7 million cars serving 12 OEM brands across Asia and Europe. The company has grown to over 2,000 team members, with facilities in China and Europe.

After the combination, ECARX will receive an additional USD 45 million in funding from strategic investors Geely Investment Holding Ltd. (Chinese: 吉利投资控股有限公司) and Lotus Technology, Luminar’s convertible note holder, as disclosed in the merger announcement in May. Additionally, ECARX completed 65 million dollars of senior convertible note financing last month.

The listing on Nasdaq means that ECARX became the first Chinese automotive intelligent startup to be listed on the U.S. stock market, aiming at the global market. Proceeds from the merger with COVA will be used to accelerate technology development and the roll-out of new products, support strategic acquisitions and investments, as well as create further pathways for global growth and profitability by the end of 2024.