Harley-Davidson Inc's electric-motorcycle division LiveWire will go public through a merger with a blank-check firm in a deal valuing it at $1.77 billion, the company said on Monday, as the 118-year old brand turns to younger customers to boost volumes.
Several other prominent players in the sector have also merged with special purpose acquisition companies to go public.
A broader awareness about climate change is paving way for automakers to lean towards greener vehicles in a sector Tesla reigns supreme. Valuations have gained as money managers also increasingly factor in ESG policies in their investments.Jochen Zeitz, Harley's chief executive, will be the chairman of LiveWire for up to two years following the completion of the deal.
Harley-Davidson will retain an equity interest in the company of about 74% and ABIC's shareholders will own about 17%.Earlier this year, Harley launched its first electric bike from its LiveWire brand priced at $22,000, in a move aimed at younger and more environmentally conscious riders who could eventually lift Harley's volumes as its core baby boomer audience grows old.
Waning interest in motorcycling as a recreational activity as well as the price of Harley bikes, which can cost as much as a car, have hurt the company's efforts to woo younger riders.Reporting by Aishwarya Nair in Bengaluru, Additional reporting by Mehnaz Yasmin; Editing by Shailesh Kuber and Saumyadeb ChakrabartySubscribe for our daily curated newsletter to receive the latest exclusive Reuters coverage delivered to your inbox.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Harley-Davidson to take electric motorcycle division LiveWire public via merger with SPACHarley-Davidson Inc. undefined said Monday its LiveWire electric motorcycle business will go public by merging with special-purpose acquisition corporation...
Read more »
ETF Inflows Top $1 Trillion for First TimeA historic surge of cash has swept into exchange-traded funds, spurring asset managers to launch new trading strategies that could be undone by a market downturn.
Read more »
S.D. teachers competed for $1 bills on a hockey rink. Critics called the game ‘terrible’ and ‘dehumanizing.’Critics said a viral clip of South Dakota teachers scrambling for cash in the center of a hockey rink was 'terrible' and 'dystopian.'
Read more »
Harley-Davidson to take electric motorcycle division LiveWire public via merger with SPACHarley-Davidson Inc. undefined said Monday its LiveWire electric motorcycle business will go public by merging with special-purpose acquisition corporation...
Read more »
Singapore's PropertyGuru sets its sights on mergers and acquisitions after its planned SPAC listingPropertyGuru announced plans in July to go public through a merger with Bridgetown 2 Holdings — a blank-check company backed by Richard Li and Peter Thiel.
Read more »
Old St. Chuck? Schumer under pressure to deliver by ChristmasChuck Schumer leapt over the trap doors of a potential government shutdown and debt default. Now he has to stick the landing on one of the largest spending bills in American history.
Read more »