There have been many SPAC deals coming from the electric vehicle industry and it’s obvious that it ain’t stopping. The latest deal to come from that end is Solid Power, a startup working on solid-state batteries for EVs that has automakers Ford and BMW as investors.

• Solid Power has agreed to merge with a SPAC named Decarbonization Plus Acquisition Corporation III (NASDAQ: DCRC). As expected, it’ll start trading on the Nasdaq market following the merger.

• Terms of the merger value Solid Power at $1.2bn. From the deal, the startup will get $350mn of cash held in trust by DCRC and then a $165mn PIPE round from investors including chemicals giant Koch Industries. 

• The merger announcement comes shortly after Solid Power raised a $130mn private round co-led by BMW and Ford. The two automakers are strategic investors and partners to the company.

• Notably, Solid Power is a pre-revenue company. It’s been focused on R&D so far in its nine years of existence and doesn’t expect to start generating substantial sales till 2025, its investor presentation shows.

• At that above, it implies that Solid Power is a risky, long-term play on the part of investors.

• Upon completing its merger, Solid Power will start trading on the Nasdaq with the trading symbol “SLDP”.

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