LiDAR sensor and 3D perception software company Quanergy is set to go public via special purpose acquisition company CITIC Capital Acquisition Corp CCAC with a pro forma implied equity value of approximately $1.4 billion.
Kevin Kennedy, chairman and CEO of Quanergy, appeared on Benzinga's YouTube show "SPACs Attack" for an exclusive interview Monday.
About Quanergy: Quanergy has more than 350 customers and 40 partnerships worldwide, Kennedy said. In 2020, the company introduced 10 new products to market and he expects the company to introduce a similar number of products in 2021.
Quanergy uses a unique process called optical phased array technology, Kennedy told Benzinga. Electronic beam steering makes the LiDAR sensors immune to vibration and extremely reliable. The product is also a cost-effective solution for mass production.
Over the next three to four years, the company will be focusing on the mechanical and software IoT opportunity and then plans to phase in its solid-state technology for the transportation market, he said.
"Investors should be watching for news over the summer," Kennedy noted.
IoT Market: The company plans to focus on the automotive industry in the future when the current technology becomes insufficient, but the IoT ecosystem is ready for disruption today and Quanergy has great technology, Kennedy said.
The company is targeting an IoT ecosystem that includes mapping, security, industrial automation and smart cities.
Industrial automation is transitioning from 2D to 3D scanning and camera technologies, Kennedy said, adding that the company aims to offer 3D technology and capabilities in line with current 2D technology.
The IoT LiDAR market is expected to reach $16.7 billion dollars by 2030.
SPAC Notes: Quanergy decided to go public via the SPAC route because the IoT and transportation markets are poised for accelerated growth and access to capital was crucial for the company, Kennedy said.
The transaction is expected to close in the second half of 2021. Pending shareholder approval, the combined company is expected to be listed on the New York Stock Exchange under the ticker symbol “QNGY.”
Price Action: CITIC Capital Acquisition Corp has traded as high as $12.21 and as low as $9.65 since its IPO in February.
At last check Monday, the stock was down 0.025% at $9.93.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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