Auto data startup Wejo, backed by General Motors, is set to go public through a reverse merger with blank-check company Virtuoso Acquisition in a deal that values the British company at $800 million including debt, the companies told on Friday.
The deal will raise $330 million in proceeds for Wejo which includes $230 million from Special-Purpose Acquisition Company (SPAC) Virtuoso and another $100 million referred to as Private Investment in Public Equity (PIPE).
Wejo itself was founded in 2013. It is headquartered in Manchester, United Kingdom.
Wejo’s leader Richard Barlow said institutional investors make up the majority of the PIPE, but haven’t identified the firms involved. An additional $25 million could be raised within the next month as discussions continue with other possible investors, he said.
Investors in the PIPE include General Motors, which has invested before in Wejo. Another investor is Palantir Technologies which was co-founded by billionaire Peter Thiel.
The sizes of their investments or stakes were not disclosed.
The merger with Virtuoso could be finished in the second half of the year, according to the companies said. The new company will be trading under the symbol “WEJO” but the stock exchange has not been figured out.
