Meeting set on Lordstown Motors Corp. merger with DiamondPeak
WARREN — DiamondPeak Holdings Corp. has called a special stockholders meeting for Oct. 22 to approve the proposed merger with electric truck startup Lordstown Motors Corp., the New York-based firm announced Thursday.
Closing the merger is subject to DiamondPeak stockholders and the satisfaction of other customary closing conditions. It also is the final step toward Lordstown Motors being a publicly traded company.
The companies announced the proposed business combination in October. It’s a move that is expected to infuse $675 million into the startup, which plans to start making its all-battery truck, the Endurance, early next year at the former General Motors assembly plant in Lords- town.
The first deliveries are targeted for the second half of 2022, and the company hopes to expand production to 100,000 by 2024.
When the merger is final with DiamondPeak, a special purpose acquisition company, the new company will remain named Lordstown Motors Corp. and be traded on the Nasdaq exchange under the ticker “RIDE.”
Lordstown Motors announced last month it has 40,000 preorders for the truck, which has a sticker price of about $52,000 before tax credits. Barring any cancellations or delays, the preorders represent about $2 billion in revenue.
The new company will have an equity value of about $1.6 billion.