Andretti Acquisition II Stock Price, News & Analysis

Andretti Acquisition Corp. II (trading under the unit symbol POLEU on the Nasdaq Global Market) is a special purpose acquisition company, or blank check company, in the Financial Services sector and classified under Shell Companies. According to its public disclosures, the company was formed for the purpose of effecting a merger, amalgamation, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses.

The company’s units, each consisting of one Class A ordinary share and one-half of one redeemable warrant, began trading on Nasdaq under the ticker symbol POLEU. Once the securities comprising the units begin separate trading, the Class A ordinary shares and warrants are expected to be listed on Nasdaq under the symbols POLE and POLEW, respectively. As a blank check company, Andretti Acquisition Corp. II does not describe an operating business of its own; instead, its stated objective is to identify and complete a business combination transaction.

Andretti Acquisition Corp. II has indicated that it may pursue an acquisition opportunity in any business or industry or at any stage of corporate evolution. Its disclosures state a focus on acquiring a compelling asset with a skilled management team that is ready to grow. This broad mandate is typical of a SPAC structure, where investor capital raised in an initial public offering is held in trust while the sponsor team evaluates potential targets.

Business combination with StoreDot

Andretti Acquisition Corp. II has announced that it entered into a definitive Business Combination Agreement with StoreDot Ltd., an Israeli company that describes itself as a pioneer and leader in Extreme Fast Charging (XFC) battery technology for electric vehicles. Under this agreement, Andretti and StoreDot plan a business combination under a newly formed holding company that is expected to be named XFC Battery (referred to as Pubco). The parties state that shares of the holding company are expected to be listed for trading on the Nasdaq Stock Market, subject to the satisfaction or waiver of closing conditions and regulatory approvals.

StoreDot’s disclosures in the joint announcement describe patented XFC technology that is presented as a production-ready solution capable of delivering 100 miles of charge in 5 minutes, with a stated roadmap toward 100 miles of charge in 3 minutes. The combined entity is described as targeting the electric vehicle battery market and focusing on commercializing StoreDot’s XFC batteries to address charging time as a key barrier to electric vehicle adoption. The parties also describe StoreDot’s business model as a capital-efficient licensing model designed to be compatible with existing Lithium-ion production lines.

The transaction overview in the joint communication states that the Business Combination values StoreDot at an implied pre-money equity value of $800 million and describes a pro forma enterprise value for the combined business that is contingent on assumptions, including no redemptions by Andretti’s public shareholders. The Boards of Directors of both Andretti Acquisition Corp. II and StoreDot are stated to have unanimously approved the Business Combination Agreement and the proposed transaction. The closing of the Business Combination is described as being subject to shareholder approvals, financing conditions, regulatory approvals, and other customary closing conditions.

SPAC structure and capital base

Andretti Acquisition Corp. II announced the closing of its initial public offering of 23,000,000 units, including units issued pursuant to the exercise of the underwriter’s over-allotment option. The offering was priced at $10.00 per unit, resulting in gross proceeds of $230,000,000. The company disclosed that it holds cash in a trust account, all of which is subject to redemption by its public shareholders in connection with certain events, including the proposed Business Combination.

As a SPAC, Andretti Acquisition Corp. II’s public filings emphasize its role as a vehicle to bring a private company to the public markets through a business combination. Until such a transaction is completed, it does not describe revenue-generating operations of its own. Instead, its disclosures focus on its capital structure, trust account, and the process for identifying and consummating a business combination.

Sector and focus

Within the Financial Services sector, Andretti Acquisition Corp. II is categorized among shell companies because it was formed specifically to pursue a business combination rather than to operate an ongoing commercial enterprise at inception. Its public statements highlight a focus on acquiring a compelling asset with a capable management team. The announced Business Combination with StoreDot reflects this objective by pairing the SPAC’s capital structure with a company that describes itself as focused on Extreme Fast Charging battery technology for electric vehicles.

Key characteristics of Andretti Acquisition Corp. II

• Blank check company formed to complete a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination.
• Units listed on the Nasdaq Global Market under the symbol POLEU, each consisting of one Class A ordinary share and one-half of one redeemable warrant.
• Class A ordinary shares and warrants are expected to trade separately under the symbols POLE and POLEW after separation of the units.
• Gross proceeds of $230,000,000 raised in its initial public offering, with funds held in a trust account subject to redemption.
• Announced definitive Business Combination Agreement with StoreDot Ltd. under a newly formed holding company expected to be named XFC Battery, subject to shareholder and regulatory approvals and other closing conditions.

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