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Auto racing legend Michael Andretti simply took his SPAC public

Now, some of the well-known names in racing historical past, former IndyAutomotive champion Michael Andretti, is trying to capitalize on the second by taking a clean test firm public.

The Andretti Acquistion Co, a particular function acquisition firm, or SPAC, raised $200 million in its preliminary public providing Thursday. Shares had been up barely from their IPO worth of $10 in early buying and selling. The inventory trades beneath the ticker image of WNNR.U.

The Andretti identify is famous on this planet of auto racing. Michael’s father, Mario, was each an IndyAutomotive champ in America and a Formula 1 winner. Michael’s son Marco now races as effectively and a number of other different members of the Andretti household have been profitable drivers.

CNN Business spoke with Andretti, co-CEO of Andretti Acquisition and head of the Andretti Autosport racing group, in addition to his fellow co-CEO, Bill Sandbrook, former CEO of US Concrete, which is now owned by Vulcan Materials (VMC), and chief monetary officer, Matt Brown, about what’s subsequent for Andretti Acquisition.

Brown mentioned that Andretti Acquisition is offers all through the automotive panorama, together with electrical automobiles and autonomous vehicles.

“There are a lot of emerging companies and established companies that could benefit from the Andretti brand,” Brown mentioned, including that the SPAC is trying to do a deal within the $1 billion to $2 billion vary.

Like many SPACs, Andretti is hoping to convey on different buyers via a so-called non-public funding in public fairness, or PIPE, transaction. RBC is advising Andretti Acquisitions because the SPAC’s underwriter.

But Andretti mentioned that regardless that there have been rumors final yr that Andretti Autosport desires to purchase a Formula 1 group, buyers should not anticipate the SPAC to make any direct investments on this planet’s high racing circuit — regardless of the Netflix increase that F1 has gotten.

“There has been a lot of speculation about how I’ve been looking to get involved in Formula 1, but we’re not going to do it through the SPAC, which is independent of Andretti Autosport.” he mentioned. “But Netflix has done wonders for Formula 1 and that’s good for all of racing.”

F1 is now part of John Malone’s Liberty Media empire, and the racing enterprise even has its personal monitoring inventory (FWONA), which has surged almost 65% up to now yr.

Andretti did say that his SPAC would contemplate acquisitions of firms with ties to the electrical auto racing enterprise.

Andretti Autosport already has a group that competes within the Formula E sequence for electrical race vehicles. And Zak Brown, CEO of the McLaren Racing group that has high drivers on the Formula 1 circuit, is now a board member of Andretti Acquisition.

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“Our team has a lot of experience in the all electric Formula E series,” Andretti mentioned. “So if companies we’re looking to buy are in that space, we have a lot to bring to the party.”

Sandbrook brings the Wall Street savvy to that social gathering. He was CEO of US Concrete from 2011 till his retirement in 2020.

So how did a building supplies government become involved in auto racing?

As it seems, he is identified Michael Andretti and the remainder of the household for many his life. They had been subsequent door neighbors rising up in Nazareth, Pennsylvania. US Concrete was even a sponsor of Marco Andretti’s Indy automotive.

“Michael and I have known each other forever,” Sandbrook mentioned, joking that Andretti did not want to rent a headhunter or go on LinkedIn to discover a CEO for his SPAC.

Now, Sandbrook hopes to make use of his enterprise relationships to search out the suitable agency for the Andretti SPAC to merge with, including that the infrastructure invoice that handed in Congress and signed by President Joe Biden final yr may result in extra alternatives to purchase EV charging firms.

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