DIH, which offers advanced rehabilitation technology and supports hospitals, clinics and research facilities globally by advancing rehabilitation through robotics, AR, VR and AI, expects to receive gross proceeds of $58.3m from the transaction
DIH to merge with Aurora Technology Acquisition. (Credit: Gerd Altmann from Pixabay)
DIH Holding US has agreed to merge with Aurora Technology Acquisition, a special purpose acquisition corporation (SPAC), in a deal that values the combined company at a pro forma enterprise value of $321.9m.
Established in 2007, DIH provides robotics and virtual reality (VR) technology in the rehabilitation and human performance sector.
The deal with the SPAC will enable DIH to become a publicly listed company, whose securities are expected to be listed on the Nasdaq.
Through the transaction, the technology firm expects to receive gross proceeds of $58.3m, assuming no redemptions by the SPAC shareholders.
Besides, DIH equity holders will be entitled to receive up to $60m of common shares of the combined company if certain stock price-based thresholds are met within five years from the closing of the deal.
DIH offers advanced rehabilitation technology and supports hospitals, clinics and research facilities globally by advancing rehabilitation through robotics, augmented reality (AR), VR, and artificial intelligence (AI).
DIH chairman and CEO Jason Chen said: “Being a public company, we will have the resources to significantly expand our global growth and value-delivery platform; to meet the increasing demand and enthusiasm for our robotic and VR enabled solutions around the world; and to accelerate our “Total Solution” strategy through innovations and consolidation.
“All those will greatly benefit our customers, patients, partners, and the industry as a whole.”
DIH stockholders are anticipated to roll their full equity holdings into the combined company and will own nearly 69.4% of the common stock of the combined company immediately after the completion of the transaction.
The deal, which is subject to approval by the SPAC’s stockholders and DIH’s stockholders alongside other customary conditions, is anticipated to close in Q3 2023.