Not sure I understand the transaction.
But it appears there are 3 entities participating in a merger: CCIV, Lucid Motors and a Private Investment in Public Equity (PIPE) entity.
CCIV accounts for 16% of the merged entity;
PIPE accounts for 10%;
and Lucid Motors retains 74%
The Lucid Motors deal, once merged, is said to have a pro-forma valuation of $24 Billion (as of 2/23/21)? With Lucid claiming a pre-transaction valuation as high as $64 Billion (don't know where this number comes from).
The true meat on the bone for CCIV, prior to the deal must have been less than $3 Billion. A small percentage of the CCIV market capitalization as it was trading prior to the deal.
The combined entity starts out with 4.4 Billion in cash (2.5 from the PIPE side of the transaction, their 10% ante).
CCIV appears to have received little if any credit for it's lofty stock price valuation, prior to the deal.
I have not read the SEC filings and use my numbers above with caution.
But it appears there are 3 entities participating in a merger: CCIV, Lucid Motors and a Private Investment in Public Equity (PIPE) entity.
CCIV accounts for 16% of the merged entity;
PIPE accounts for 10%;
and Lucid Motors retains 74%
The Lucid Motors deal, once merged, is said to have a pro-forma valuation of $24 Billion (as of 2/23/21)? With Lucid claiming a pre-transaction valuation as high as $64 Billion (don't know where this number comes from).
The true meat on the bone for CCIV, prior to the deal must have been less than $3 Billion. A small percentage of the CCIV market capitalization as it was trading prior to the deal.
The combined entity starts out with 4.4 Billion in cash (2.5 from the PIPE side of the transaction, their 10% ante).
CCIV appears to have received little if any credit for it's lofty stock price valuation, prior to the deal.
I have not read the SEC filings and use my numbers above with caution.