With this, the oversubscribed PIPE (private investment in public equity) of Gogoro Inc and Poema Global Holdings has increased from $257 million to $285 million.
Two-wheeler market leader Hero MotoCorp and investment firm Engine No. 1, along with another investor, will invest in electric vehicle battery swapping ecosystems provider Gogoro Inc and Poema Global Holdings, a special purpose acquisition company, increasing the total funding to $285 million, according to a regulatory filing.
With this, the oversubscribed PIPE (private investment in public equity) of Gogoro Inc and Poema Global Holdings has increased from $257 million to $285 million, said a statement by Gogoro Inc shared on BSE by Hero MotoCorp.
In September last year, Taiwan-based Gogoro had announced plans to list on NASDAQ through a merger with Poema Global Holdings Corp.
"Our investment in Gogoro's PIPE is in keeping with our vision — 'Be the Future of Mobility'. We are already partnering with Gogoro to bring modern electric vehicles and its battery-swapping network to India and other global markets," Hero MotoCorp Chairman and Chief Executive Officer Pawan Munjal said.
At Hero MotoCorp, he further said, "We remain fully committed to sustainability and playing a key role in bringing clean mobility across the world."
Gogoro's founder, Chairman and CEO Horace Luke said, "We are proud to be adding PIPE investors Hero MotoCorp, a global leader in two-wheel vehicles, and Engine No 1, a strategic investment group focused on creating long-term value by harnessing the power of capitalism to drive greater ESG (environmental, social and governance) thinking."
Gogoro is transforming urban mobility in the world's most densely populated cities by changing how people use and share portable energy, he said.
Luke added, "We are well-positioned to transform the urban mobility landscape and capitalise on the electric transition of more than half a billion two-wheel vehicles in Asia."
Edward Sun, portfolio manager at Engine No. 1, said Gogoro's innovative products provide solutions that are critical to helping countries de-carbonise their transportation sectors.
"Our investment will further Gogoro's mission to revolutionise the way that we use and share energy. We look forward to working closely alongside the Gogoro team as they continue to expand globally," Sun added.
Gogoro said the existing PIPE is funded by a variety of investors, including strategic partners Hon Hai (Foxconn) Technology Group and GoTo Group, the largest technology group in Indonesia, Gogoro vehicle partners. It is also funded by new and existing financial investors including Generation Investment Management, Temasek as well as Gogoro's founding investor, Samuel Yin of Ruentex Group.
Gogoro Inc CFO Bruce Aitken said, "Adding Hero MotoCorp and Engine No. 1 continues to validate our strategy and plans. Hero MotoCorp is a key OEM (original equipment manufacturer) and expansion partner, and Engine No. 1 will provide strategic guidance on how environmental impact can drive economic value."
Gogoro said its battery swapping ecosystem is an established leading solution for the electric refuelling of lightweight urban vehicles. In less than five years, it has accumulated over $1 billion in revenue and more than 4.5 lakh battery swap subscribers.