CIIG Merger Corp. (CIIC)

[digthemup]

I have a small position (1500) in this after Cramer suggested it, and strongly felt it would take off after the Arrival merger. However, it is been going down a bit since than, though I see that many SPACs seem to be taking it on the chin. There seem to be info out there, with some of it conflicting, so your help in how to digest all this is greatly appreciated, since I feel like a made a mistake.
Thank y'all in advance.

[boneil]

Most SPACs have been getting hit. Partly because there's too much supply in the SPAC space. Partly because most of these companies are worth nowhere near where they are trading at. And a good portion of the reason for the sell off is because most of the retail investor have no idea how to value a spac merger.

CIIC was at 10 went 4x after target was announced and is now at 2x. The good money is made by buying pre announcement and then selling afterwards. If you buy after announcement then you need to understand the structure of the deal and how it is valued.

Whats the valuation of the company at $23?

[digthemup]

Most SPACs have been getting hit. Partly because there's too much supply in the SPAC space. Partly because most of these companies are worth nowhere near where they are trading at. And a good portion of the reason for the sell off is because most of the retail investor have no idea how to value a spac merger.

CIIC was at 10 went 4x after target was announced and is now at 2x. The good money is made by buying pre announcement and then selling afterwards. If you buy after announcement then you need to understand the structure of the deal and how it is valued.

Whats the valuation of the company at $23?

I believe Cramer put it at 30, so I waited to drop down to it and bought it very close to it. The merger supposed to happen this month, and they have 2 large orders from UPS and FedEx for vans, and a large order for buses in UK. They are not doing cars, and seems strictly commercial EV with a very sensible company plan.

[boneil]

The little bit I have seen about this company, they have the same issues that most of these spac EVs have. Most if not all of them, don't have an actual vehicle or battery. It's all on paper or prototypes. Having orders don't mean much imho. TSLA has orders for their semi truck, but there aren't any semi trucks yet, just prototypes.

Until a company has a production vehicle and sales, they have nothing, imo

[digthemup]

The little bit I have seen about this company, they have the same issues that most of these spac EVs have. Most if not all of them, don't have an actual vehicle or battery. It's all on paper or prototypes. Having orders don't mean much imho. TSLA has orders for their semi truck, but there aren't any semi trucks yet, just prototypes.

Until a company has a production vehicle and sales, they have nothing, imo

I agree with you about no actual production, and now I regret having bought them. However, after the major dump this week, I am going to hang in there until the merger is done in the next couple of weeks hoping to be able to get out with my original buy in.