Pono Capital Three announced a definitive merger agreement with Robinson Aircraft Ltd., a British Columbia company doing business as Horizon Aircraft, at a combined pro forma equity value of approximately $216 million.
If approved, the eVTOL aircraft developer would list on the nasdaq. The deal is expected to close within the first quarter of 2024.
The transaction values Horizon Aircraft at $96 million, assuming no redemptions. A forward purchase agreement with Meteora Capital will support the transaction, although the press release announcing the deal did not disclose the amount.
Cash proceeds after any redemptions and payment of transaction expenses are anticipated to be used for the further development of the Cavorite X7, Horizon Aircraft's flagship hybrid electric eVTOL, and for general company operating purposes.
Pono Capital Three raised $100 million in a February IPO, and cash in trust now stands at about $120 million. The SPAC's current deal deadline is February 2024.