RTTNews | Dec 13, 2021 10:38AM EST

10:37 Monday, December 13, 2021 (RTTNews.com) - Shares of Harley-Davidson, Inc. (HOG) jumped over 15% on Monday morning after the company announced that its electric motorcycle division LiveWire will go public via SPAC merger deal.

HOG is currently trading at $42.56, up $5.75 or 15.61%, on the NYSE.

Harley-Davidson and AEA-Bridges Impact Corp. (IMPX), a special purpose acquisition company sponsored by executives of AEA Investors and Bridges Fund Management, have agreed a deal to merger AEA-Bridges with LiveWire, Harley-Davidson's electric motorcycle division, to create a new publicly traded company.

Harley-Davidson will retain an equity interest in LiveWire of about 74% after the merger.

The combined company is expected to have an enterprise value of about $1.77 billion and post-money equity value of around $2.31 billion at closing. The stock is expected to list on the NYSE under the symbol LVW.

The transaction will be financed by ABIC's $400 million cash held in trust, a $100 million investment from Harley-Davidson, and a $100 million investment from KYMCO, through a PIPE.

Jochen Zeitz, Chairman, President and CEO of Harley-Davidson, will be Chairman and serve as Acting CEO of LiveWire for up to two years. Ryan Morrissey will serve as President.

Read the original article on RTTNews ( https://www.rttnews.com/3248882/harley-davidson-stock-jumps-15-on-plans-to-take-electric-motorcycle-division-public-via-spac-merger.aspx)

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