Canoo's Limp Wall Street Debut

Canoo's Limp Wall Street Debut

The electric car company Canoo made a weak Wall Street debut on Tuesday after completing a reverse merger with Hennessy Capital Acquisition.

The Torrance-based startup, trading on the Nasdaq under the ticker symbol GOEV, closed the session down 3.1%, falling from $22.75 a share.


The company offers a subscription electric car that is slated for release in 2022 and has touted its "skateboard platform" design. Last week, Canoo unveiled its second vehicle, a delivery van that starts at $33,000.

The startup inked a deal earlier this year with Hyundai Motor Group to build its futuristic modular minivan that consumers can rent through a subscription service.

Canoo's move is the latest in a string of electric vehicles going public via a SPAC. In October, Fisker went public following a similar merger that valued the company at around $3 billion.

The EV market is red hot. Shares for Tesla were down after its first day in the S&P 500 Monday, but its stock soared this year, making Elon Musk the second richest person in the world.

Hennessy shareholders approved the deal with Canoo on Monday. In a statement released then, Canoo CEO Tony Aquila said that "the next chapter is a very important one" as the company gears up for 2023 production.

Subscribe to our newsletter to catch every headline.

On this week's episode of Office Hours, you'll hear from Ynon Kreiz, the CEO of Mattel since 2018. Prior, he served on Mattel's Board. We discuss the Barbie movie in production, just one product that's leveraging the iconic brand's IP, what Mattel is doing towards achieving environmental sustainability and the priority Mattel places on DEI. Also, hear the answer to a burning UNO game question hotly-debated in my family.

Read more Show less

Michael Jones and Peter Pham, the founders of Science Inc., officially joined the SPAC frenzy on Tuesday, with a special purpose acquisition company (SPAC) of their own valued at $270 million.

In an announcement, Jones and Pham said their SPAC, Science Strategic Acquisition Corp. Alpha, would debut on the NASDAQ today by selling 27 million units at $10 a share. The SPAC plans on merging with a company in the direct-to-consumer (DTC) services space and/or mobile and entertainment sectors.

Read more Show less
RELATEDTRENDING