Tomorrow.io, a startup developing radar-equipped satellites for weather and climate forecasting, has agreed to merge with special purpose acquisition company Pine Technology in a deal both parties expect to close in the first half of 2022.
The boards of directors at the two companies have approved the transaction that would take Boston-based Tomorrow.io public, raise approximately $420 million in gross proceeds and give the combined organization a pro forma equity value of $1.2 billion, according to a joint statement released Wednesday.
The software-as-a-service provider aims to help agencies and businesses manage the impacts of weather events on their operations using a proprietary intelligence platform.
“Every individual, business, and government is embracing climate adaptation and mitigation,” said Shimon Elkabetz, co-founder and CEO of Tomorrow.io.
He added that the company’s software offering is built to help customers gain insight from weather data.
The deal is subject to approval of shareholders in Pine Technology and other customary closing conditions.
Houlihan Lokey and Richards, Layton & Finger advise the SPAC on the transaction. PJT Partners and Goodwin Procter respectively act as Tomorrow.io’s financial adviser and legal counsel.
