Jun 1, 2023 - Economy

Schmid Group, founded 159 years ago, agrees to go public via SPAC

Dan Primack

Illustration of a German flag on a clipboard. — Illustration: Aïda Amer/Axios

Schmid Group, a German provider of manufacturing equipment and processes for advanced electronics, agreed to go public through a blank-check company led by the former CEO of Jaguar Land Rover.

Why it matters: Schmid is a profitable, family-owned business created 159 years ago as an iron foundry. Almost all of that is rare in the world of SPAC mergers, which has been dominated by money-losers and moonshots.

Details: The merger gives an implied $640 million valuation to Schmid, which would trade on the New York Stock Exchange

The SPAC is called Pegasus Digital Mobility Acquisition Corp., and was formed by Ralf Speth and StratCap.

The bottom line: Schmid, based in Germany's Black Forest region, has around 800 employees and could benefit from an AI boom that requires advanced printed circuit board solutions. It also operates in the renewable energy and energy storage sectors.

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Schmid Group, founded 159 years ago, agrees to go public via SPAC

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