Back in January, the SPAC (special purpose acquisition company) Northern Genesis Acquisition (NYSE: NGA) had been in focus among plenty of investors and had even hit its peak.
However, the stock is now down by as low as 45% from those peaks. While that may be the case, it is necessary to take a look at a key development from earlier on this month. Back on February 12, it emerged that the electric vans and buses manufacturing company Lion Electric agreed to merge with Northern Genesis. It is a classic SPAC merger and at the time it was announced that the merger in question was going to be completed at the end of the ongoing quarter.
That being said, it is necessary to point out that Lion is involved in a sector that is highly competitive and has not been able to make any major breakthrough into key markets. Hence, experts believe it might be a good idea to watch the Northern Genesis stock for the time being. Making an investment at this point might not be particularly wise.