Zoomcar CEO Greg Moran / Photo credit: Zoomcar
India-based Zoomcar, a car-sharing startup, said it is one step closer to finalizing a merger with Innovative International Acquisition Corp. (IOAC), a blank-check company.
Zoomcar said its filing with the US Securities and Exchange Commission has been declared effective. The firm is now waiting on approval by IOAC shareholders, Zoomcar stockholders, and other customary closing conditions.
The closing is expected in the fourth quarter of 2023. The combined company will be renamed to Zoomcar Holdings and will trade on the Nasdaq under the ticker symbol “ZCAR.”
Zoomcar operates a marketplace for private vehicles, with owners making their cars available on the platform for rent.
Since its 2013 founding, the company has expanded across India, Egypt, and Indonesia. As of October 2022, it said to have over 3 million active users and over 25,000 vehicles on its platform.
The SPAC deal was announced in October last year, with Zoomcar’s shareholders expected to hold most of the combined firm’s outstanding shares. At the time, the joint entity’s pro forma enterprise value was pegged at US$456 million.
Shortly after that announcement, Zoomcar raised US$10 million from Ananda Small Business Trust for a convertible promissory note.
The company left Vietnam earlier this year due to unfavorable market conditions. It had entered the Southeast Asian market in 2021 as part of its expansion in the region.
It also launched in the Philippines as part of the push, but the company’s website for the country appears to be inoperable.
See also: Nasdaq-bound Zoomcar takes SPAC route despite bear warnings
Editing by Putra Muskita and Dhania Putri Sarahtika
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