Former GM Executive to Start a Blank-Check Company Qell Acqusition corp
Engle has co-founded a SPAC called Qell Acquisition Corp., using his own cash and a healthy slug of money from PIMCO Investment Management, the giant investment firm with almost $2 trillion in assets.
And why not? While GM has beaten market returns by a few points this year, most auto stocks have been flat or down in 2020. Meanwhile, Tesla Inc. has tripled in value this year and investors have poured cash into at least 15 EV-related startups like Nikola, Fisker Inc. and Lordstown Motors Corp. All in, blank-check firms have raised $70 billion this year.
Engle is looking to acquire a company that will profit off the rapid changes happening in transportation no matter which company wins the EV or even self-driving game. He is looking at companies that can supply charging network hardware or services, or software and data collection for electric or self-driving vehicles.
He sees opportunities in autonomous technology, telematics and infotainment. Power sports and motorcycles are just being electrified, which also present early opportunities. There is less competition, so plug-in bikes that serve Asia could be a strong play, he said. There are also emerging companies that will build small electric aircraft for short-haul flights or to ferry people in congested cities.
Engle said Qell will consider companies with no revenue, but he prefers “real companies that have a product and revenue or are soon to be bringing in revenue.”
“If the money that gets raised is applied to emerging growth companies that have a revenue stream and a line of sight toward significant growth, they have a better chance,” Spitzer said. “If SPACs have no track record of putting money into an early-stage company, I’m skeptical. Engle has been in that world and knows it.”
www.bloomberg.com/ne...-blank-check-company
Engle has co-founded a SPAC called Qell Acquisition Corp., using his own cash and a healthy slug of money from PIMCO Investment Management, the giant investment firm with almost $2 trillion in assets.
And why not? While GM has beaten market returns by a few points this year, most auto stocks have been flat or down in 2020. Meanwhile, Tesla Inc. has tripled in value this year and investors have poured cash into at least 15 EV-related startups like Nikola, Fisker Inc. and Lordstown Motors Corp. All in, blank-check firms have raised $70 billion this year.
Engle is looking to acquire a company that will profit off the rapid changes happening in transportation no matter which company wins the EV or even self-driving game. He is looking at companies that can supply charging network hardware or services, or software and data collection for electric or self-driving vehicles.
He sees opportunities in autonomous technology, telematics and infotainment. Power sports and motorcycles are just being electrified, which also present early opportunities. There is less competition, so plug-in bikes that serve Asia could be a strong play, he said. There are also emerging companies that will build small electric aircraft for short-haul flights or to ferry people in congested cities.
Engle said Qell will consider companies with no revenue, but he prefers “real companies that have a product and revenue or are soon to be bringing in revenue.”
“If the money that gets raised is applied to emerging growth companies that have a revenue stream and a line of sight toward significant growth, they have a better chance,” Spitzer said. “If SPACs have no track record of putting money into an early-stage company, I’m skeptical. Engle has been in that world and knows it.”
www.bloomberg.com/ne...-blank-check-company