Nikola, an Arizona-based startup developing futuristic semi-trucks powered by hydrogen fuel cells and batteries, is listing shares on Nasdaq in a surprise merger with publicly traded acquisition firm VectoIQ that the companies say is worth $3.3 billion and will bring in funds to accelerate the construction of Nikola’s first factory in Arizona.

Nikola Corporation, a leader in the design and development of BEV and FCEV class 8 semi-trucks, along with VectoIQ Acquisition Corp. (NASDAQ: VTIQ), a publicly-traded special purpose acquisition company, announced that the two companies have entered into a definitive agreement to create a company focused on the development of next-generation smart transportation. Upon the closing of the transaction, the combined company will be named Nikola Corporation and is expected to remain NASDAQ-listed under the new ticker symbol “NKLA.”

Here is what the merger will mean:

• Nikola to use proceeds to accelerate its portfolio of battery-electric (BEV) and hydrogen fuel-cell electric vehicles (FCEV) targeting zero emissions globally

• Nikola will build out a hydrogen station infrastructure to support its FCEV vehicles

• Nikola has more than 14,000 pre-orders representing more than $10 billion in potential revenue and two-and-a-half years of production

• Pro forma enterprise value of the merger is approximately $3.3 billion

• The transaction includes a $525 million fully committed common stock PIPE at $10.00 per share anchored by institutional investors including Fidelity Management & Research Company, ValueAct Spring Fund and P. Schoenfeld Asset Management LP

• The company will add Stephen Girsky, current CEO of VectoIQ and former Vice Chairman of General Motors Corporation, to its Board of Directors

Nikola acquired approximately 400 acres of property in Pinal County at Inland Port Arizona in Coolidge.  Nikola plans to build its hydrogen-electric class 8 trucks at its manufacturing facility at this location and anticipates the project will bring approximately 2,000 jobs to the region by 2024.