(Bloomberg) -- Matterport Inc., a maker of software for virtual walk-throughs of properties, agreed to go public through a merger with a blank-check company backed by billionaire Alec Gores.
The deal values the equity of Matterport and Gores Holdings VI at $2.9 billion, the companies said in a statement Monday, confirming a Bloomberg News report. Gores Holdings VI is a special purpose acquisition company set up by private equity firm Gores Group.
To support the transaction, the companies will raise about $295 million from investors including Tiger Global Management, Senator Investment Group, Dragoneer Investment Group and Fidelity Management & Research Co. The deal is expected to close in the second quarter of 2021. The combined company will be renamed Matterport Inc. and plans to trade on the Nasdaq under the symbol MTTR.
Matterport stockholders will roll all their equity over and are expected to hold approximately 75% of the combined company. Matterport, which will continue to be operated by its existing management team, had revenue of $85.9 million in 2020, up 87% year-over-year, according to the statement.
Deutsche Bank AG, Morgan Stanley and Moelis & Co. advised Gores Holdings VI while Credit Suisse Group AG advised Matterport.
Alec Gores is chief executive officer of Gores Group and chairman of Gores Holdings VI, according to data compiled by Bloomberg.
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