Sarcos Robotics going public in $1.3 billion SPAC deal
Sarcos Robotics, a Salt Lake City-based developer of robotic exoskeletons, agreed to go public at a $1.3 billion implied valuation via acquisition by Rotor Acquisition (NYSE: ROT), a SPAC led by Wall Street vet Brian Finn.
Why it matters: Expect this one to get some special scrutiny from the SEC. Finn's venture capital firm, Rotor Capital, last year led a Series C investment in Sarcos and also participated in a CES product unveiling. And Finn seems aware of the potential pitfalls, mentioning the existing relationship early in today's investor presentation.
Details: The deal includes a $220 million PIPE from investors like BlackRock, Palantir Technologies, Millennium Management, Caterpillar, Schlumberger and JAWS Estates Capital. Sarcos also could secure up to $281 million in earnouts.
The bottom line: "Sarcos develops robotic systems for non-repetitive tasks that are designed to increase productivity among industrial and military workers. Its wearable devices help people move heavy objects with mechanical limbs and support, reducing workplace injuries and allowing employees less capable of strenuous labor to carry out tasks such as lifting airport baggage and manufacturing components without assistance." — Crystal Tse, Bloomberg