Arrival Stock Is Rising Monday: What's Driving The Action?

Arrival ARVL shares are trading higher Monday after the company announced a business combination with Kensington Capital Acquisition Corp. V.

What To Know: Arrival entered into a business combination agreement with special purpose acquisition company Kensington Capital. 

Kensington has $283 million in cash held in trust that it plans to contribute to the combined business. The combined company will be listed on the Nasdaq as "Arrival" and trade under the ticker symbol "ARVL."

"This transaction offers a potentially significant capital infusion and additional support in bringing our XL Van to market ... We are looking forward to partnering with Kensington to meet our production goals as we aim to commercialize our XL Van by the end of 2024," said Igor Torgov, CEO of Arrival.

Monday morning, Arrival announced that shareholders approved all resolutions proposed at its extraordinary general meeting of shareholders on April 6, including a 1-for-50 reverse stock split.

Arrival aims to reinvent the automotive industry with an entirely new approach to design, produce, sell and service purpose-built electric vehicles.

See Also: Tesla Stock Is Trading Lower: What's Going On?

ARVL Price Action: Arrival shares were up 32.1% at 16 cents at time of publication, according to Benzinga Pro.

This illustration was generated using artificial intelligence via MidJourney.