Next Ego wants to go public on the US stock exchange

The electric car start-up plans to use a shell company to list on the New York Stock Exchange.

The electric car start-up Next Ego is planning to raise a total of 285 million US dollars with a Spac IPO. This was reported by Wirtschaftswoche. In order to make the leap to the New York Stock Exchange, the young Aachen-based electric vehicle manufacturer Next Ego is slipping into a so-called shell company, also known as Spac. As Athena announced on Thursday, the merger with the company shell (SPAC) Athena Consumer Acquisition Corp. listed there is expected to raise 285 million US dollars for Next Ego.

Unlike most of these backdoor IPOs, no other investors are expected. Instead, Athena will lend the start-up an additional 50 million US dollars. The owners of Next Ego will continue to be shareholders, the statement said.

The company, which emerged from RWTH Aachen University, is valued at 913 million US dollars in the IPO. Ego has had a rocky past since it was founded in 2015. In 2020, the predecessor company Ego Mobile went bankrupt because it was unable to raise new funds. The company's brand ambassador is Brazilian soccer star Neymar.

At its "MicroFactory" in Aachen, Germany, the company has produced more than 1,000 small electric cars since 2019. Athena claims that the plant's potential is closer to 30,000 vehicles per year. Construction of a second factory of this type is due to start this year in Lowetsch, Bulgaria. The investment of 140 million euros includes a government contribution of 34 million euros.