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Technology

Plant-Growing Tech Firm Benson Hill To Go Public

Benson Hill is going public by merging with a blank-check firm backed by alternative asset manager Magnetar Capital, giving the plant-growing technology company an enterprise value of about $1.35 billion, it said on Monday.

The company, which uses artificial intelligence, data and a variety of breeding techniques to create food and ingredient products, is combining with special-purpose acquisition company (SPAC) Star Peak Corp II.

The deal will provide gross proceeds of about $625 million and includes an about $225 million investment from BlackRock, Van Eck Associates, Hedosophia, Lazard Asset Management and others.

The deal will supports Benson Hill's growth in the plant-based meat segment, which is expected to be worth $140 billion by 2029, the company said.

'Access To Resources'

Chief executive officer of Benson Hill, Matt Crisp, said, "This transaction will empower Benson Hill’s continued rapid growth and commercial expansion, providing access to resources to drive scale by strengthening our proprietary technology platform, growing partnerships across the supply chain, and expanding product commercialisation efforts.

"We believe we are now poised to take Benson Hill to new levels with a partner in Star Peak that shares our commitment to sustainability. We look forward to working closely with the Star Peak team to create value for our shareholders, value chain partners, farmers, and consumers as we help shape the future of food."

Plant-Based Protein

Benson Hill focuses in part on enhancing soybean and yellow pea ingredients for the plant-based protein market.

SPACs are shell companies that raise funds through an IPO to take a private company public through a merger at a later date.

The combined company will be listed on the New York Stock Exchange under the new ticker symbol "BHIL".

The deal is expected to close in the third quarter of 2021.

News by Reuters, additional reporting by ESM. For more Technology news, click here. Click subscribe to sign up to ESM: European Supermarket Magazine.

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