The IPO of Quebec driver assistance software provider LeddarTech ultimately did not materialize on Monday as the company’s management had hoped.
In interview with The Press Last week, the president of LeddarTech, Frantz Saintellemy, nevertheless said he was confident of witnessing the start of transactions on Monday unless there was a “catastrophe”.
LeddarTech was even scheduled to participate in a ceremony organized with the NASDAQ on Monday to ring the bell marking the opening of the markets.
“Due to a problem with NASDAQ, the ceremony was postponed. We are working to reschedule it,” says spokesperson Dan Brennan.
LeddarTech is attempting to go public through a merger with Prospector Capital, a special purpose acquisition company whose shares are already on NASDAQ.
Prospector shareholders approved last Wednesday the operation which should give an initial market capitalization of US 348 million to LeddarTech and bring in an amount of US 66 million.
The money raised must be used to support the activities of the company whose head office is located on Boulevard Hamel in Quebec.
Prospector Capital announced on Monday that the closing conditions of the proposed transaction with LeddarTech have not yet been met.
“The parties are working together to promptly satisfy these closing conditions, including obtaining approval from NASDAQ to list the common shares and warrants,” the document read.
It is also specified that there is no guarantee that the operation will be carried out within the deadlines required by Prospector’s constitutive documents which provide that Prospector must complete the operation before December 31, failing which the operation with LeddarTech could fall short. ‘water.
LeddarTech’s business model is based on selling its software as a service, which should generate recurring revenue. The company does not yet have any commercial customers and therefore does not yet generate revenue from the sale of its software. Management hopes these revenues will begin to materialize over the next few years as customers move into production.
The company plans to announce new products at the Consumer Electronics Show (CES) next month in Las Vegas. Frantz Saintellemy said last week that he expects these products to revolutionize the industry in the way software is integrated.
He highlighted that the market for advanced driver assistance systems is estimated at US$200 billion by 2030 and that the market for LeddarTech software is estimated at US$32 billion by 2035.
The dominant player in the industry today is Mobileye, a company whose shares are listed on the NASDAQ.
LeddarTech’s IPO must coincide with a transition at the head of the company. Frantz Saintellemy is to officially succeed CEO Charles Boulanger.
Founded in 2007, LeddarTech has 160 employees and has offices in Quebec, Montreal, Toronto and Tel Aviv, Israel.