We advised Meritz Securities on the transaction

Davis Polk advised Meritz Securities Co. Ltd. on its $500 million structured PIPE investment in Lotus Technology Inc. , in connection with the business combination between Lotus and L Catterton Asia Acquisition Corp (LCAA). The business combination values Lotus at $5.5 billion on a pre-money equity value basis.

Meritz is a subsidiary of South Korea-based leading global financial services conglomerate Meritz Financial Group and is engaged in the financial investment business and the provision of financial services, including brokerage, underwriting and securities dealing services.

Lotus is dedicated to delivering luxury lifestyle battery electric vehicles, with a focus on world-class R&D in next generation automobility technologies such as electrification, digitalization and more. Lotus has operations across China, the United Kingdom and the European Union.

LCAA is a special purpose acquisition company (SPAC) incorporated for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses or entities. It was formed by affiliates of L Catterton, a market-leading consumer-focused investment firm that manages approximately $35 billion of equity capital.

The Davis Polk corporate team included partners Miranda So and James C. Lin, counsel Samuel Kang, counsel - registered foreign lawyer Xi Shi and registered foreign lawyer Yong Lee. Partner Kara L. Mungovan and associates William Liang and Omar Hersi provided tax advice. Members of the Davis Polk team are based in the Hong Kong and New York offices.

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