The European company owned by the Destani family, Next.e.GO Mobile, a manufacturer of electric vehicles, has just been listed on Nasdaq. The news was shared with friends by Mr. Lazim Destani, emphasizing, "I am pleased to share my joy with you about the listing of Next.e.Go Mobile on the NASDAQ stock exchange, which was marked by the announcement of the initial public offering in New York."
According to Nasdaq, the CEO of Next.e.GO Mobile highlighted on Friday, prior to the company's listing, that "the German electric vehicle manufacturer Next.e.GO Mobile plans to build three new microfactories in Europe and the USA in the next two years while expanding the production of low-cost small urban electric cars." The company already has a factory in Germany, and CEO Ali Vezvaei mentioned that, in addition to a planned factory in North Macedonia, which will start production in 2024, e.GO is seeking to build another factory in Europe and one in the USA to take advantage of the subsidies provided by the U.S. Inflation Reduction Act. e.GO's microfactories, based in Aachen, cost around $60 million to build, are highly automated, and can produce about 30,000 electric vehicles per year, said Vezvaei.
The company is going public through a merger with the special purpose acquisition company (SPAC) Athena Consumer Acquisition AQAC.A, which will value the electric vehicle manufacturer at approximately $900 million. The company will trade on Nasdaq under the symbol EGOX.
The current automaker produces the e.Wave X, a small four-seater car for €24,990 (about $26,457) at its factory in Aachen. The company has produced about 1,200 cars so far, and the SPAC merger will provide circulating capital to expand production. Vezvaei mentioned that e.GO has targeted the low-cost segment because major car manufacturers have mainly followed Tesla's lead in targeting premium and luxury markets. "There's no need for us to try to chase after that market segment," Vezvaei said. "If you look at the urban segment we serve, it's underserved."
The company's listing comes after several years of SPAC mergers where automotive startups raised billions of dollars. Many of them have struggled to produce electric cars, but funding has been lacking. Athena's Chairman Isabelle Freidheim said that e.GO is different because it is already generating revenue. "This is not just another electric vehicle manufacturing company, but a company that makes cars," she said. "So, this is very attractive from an investor's perspective."
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