Self-Driving Truck Company Embark To Go Public In $5.16 Billion SPAC Deal

Autonomous driving truck startup company Embark Trucks Inc. announced it is going public via a merger with a special acquisition purpose company (SPAC) Northern Genesis Acquisition Corp. II (NYSE: NGAB), in a business deal that will value the company at about $4.55 billion and market capitalization of roughly $5.16 billion.

The transaction will provide Embark with roughly $614 million in gross proceeds, including a $414 million held in the SPAC’s trust and a $200 million private investment in public equity (PIPE) provided by CPP Investments, Knight-Swift Transportation, Mubadala Capital, Sequoia Capital, and Tiger Global Management, along with the Northern Genesis management team and its associate investors.

“We have been solely focused on solving the problem of self-driving software for trucking since Embark’s CTO, Brandon Moak, and I founded the company in 2016,” said Alex Rodrigues, Co-Founder and CEO of Embark.

“This singular and disciplined focus on the trucking market in the United States has allowed Embark to achieve many industry-first technology milestones – including the first self-driving truck to drive coast-to-coast – and positions Embark to be a leader in autonomous trucking software. The recent accomplishment of key technical milestones – including handling highway workzones on the fly – and the announcement of our Partner Development Program mark the start of Embark’s transition from research to commercialization.”

Embark Trucks is an autonomous vehicle (AV) software-as-a-service company focused exclusively on the US trucking market. Founded in 2015, Embark Trucks is a leading developer of self-driving software technology that strives to address the $700 billion a year trucking market in the United States.

“The Northern Genesis team is enthused to partner with Embark as it continues to execute on its focused mission, a mission that began more than five years ago. Our respective teams share a conviction that success today demands alignment with the ongoing secular shifts towards sustainability and social responsibility; Embark’s commitment to autonomous trucking delivers that alignment through enhanced fuel efficiency, improved driver working conditions, and safer roads for everyone,” said Ian Robertson, Director and CEO of Northern Genesis 2.

Embark collaborates with leading shippers and carriers such as Anheuser-Busch InBev, HP Inc, Werner Enterprises, Mesilla Valley Transportation, and Bison Transport, among others.

The self-driving startup plans to use the proceeds to fully fund its operations through commercialization in 2024.

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