June 26 (Reuters) – Cargo drone startup Elroy Air has agreed to list in the U.S. through a merger with blank-check firm Columbus Circle Capital Corp II in a deal valued at roughly $1 billion, the companies said on Friday.
Here are some details:
• The deal is expected to generate proceeds of at least $165 million from committed investors, with up to $230 million from the SPAC’s trust account, depending on redemptions.
• A SPAC is a shell company that raises money through an IPO to merge with a private business, allowing it to go public without a traditional IPO.
• Elroy Air, which is developing autonomous heavy-cargo drones for defense, rapid response and commercial logistics, expects to be listed on the Nasdaq under the ticker symbol “ELRY.”
• It intends to use the proceeds to accelerate its technology and platform development, enable strategic M&A, and hire talent in software and hybrid-electric systems.
• The companies expect the deal to close in late 2026.
• Bloomberg News first reported the news earlier on Friday.
(Reporting by Abu Sultan and Manya Saini in Bengaluru; Editing by Janane Venkatraman and Shinjini Ganguli)
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