The company initially sought to raise $650 million USD in cash proceeds at an enterprise value of $2.2 billion. Gores Metropoulos II, Inc. (Nasdaq: GMII, GMIIW, and GMIIU) is a special purpose acquisition company sponsored by an affiliate of The Gores Group, LLC, a global investment firm founded in 1987 by Alec Gores, and by an affiliate of Metropoulos & Co. whose Principals are Dean, Evan and Daren Metropoulos. The Registration Statement, including the proxy statement/consent solicitation statement/prospectus contained therein, when it is declared effective by the SEC, will contain important information about the proposed Business Combination and the other matters to be voted upon at a meeting of Gores Metropoulos IIs stockholders to be held to approve the proposed Business Combination and other matters (the Special Meeting) and is not intended to provide the basis for any investment decision or any other decision in respect of such matters. The Sonder app gives guests full control over their stay. San Francisco-based Sonder works with real estate developers, who build the properties that Sonder later operates under its brand name. Subject to any redemptions by the public stockholders of Gores Metropoulos II and the payment of transaction expenses at the closing, the $200 million in Existing PIPE proceeds and approximately $110 million in proceeds from the New PIPEs will be used together with up to $450 million in cash in Gores Metropoulos IIs trust account and Delayed Draw Notes of $220 million to fund operations and support new and existing growth initiatives. EBITDA margin going from (181%) in 2020 to 16% in 2025. Gores Metropoulos II raised $450 million in a January IPO, and raised an additional $200 million from PIPE investors, including BlackRock, Fidelity and Senator Investment Group. This press release contains a number of forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Founded in 2014, the Israel-based company has been in growth mode. In addition, hypothetical trading does not involve financial risk, and no hypothetical trading record can completely account for the impact of financial risk in actual trading.While an option overlay is intended to improve performance, there is no guarantee that it will do so. Get the latest news about hotels and short-term rentals delivered to your inbox once a week. See here for a complete list of exchanges and delays. SPACs are shell companies that raise funds to take a private company public through a merger at a later date. There might not be a better time, in the history of hospitality, to bring our revolutionary concept to the forefront. Gores Metropoulos II stockholders and other interested persons are advised to read, when available, the Registration Statement and the proxy statement/consent solicitation statement/prospectus, as well as any amendments or supplements thereto, because they will contain important information about the proposed Business Combination. The SPAC merger also includes a $200 million PIPE investment from Fidelity and funds managed by BlackRock and other firms. Utilizing an option overlay strategy involves the risk that as the buyer of a put or call option, the buyer risks losing the entire premium invested in the option if the buyer does not exercise the option. He brings nearly two The industry leader for online information for tax, accounting and finance professionals. The deal will give Sonder $650 million in cash to scale up. The hospitality startup, which leases apartments and turns them into furnished, short-term rentals, announced plans to merge with a blank-check firm backed by SPAC pioneers Alec Gores and Dean Metropoulos. We believe the addition of this incremental funding brings stability and security, enabling Sonder to be appropriately capitalized to fund our continued growth over the next several years. The company scored a This communication is for informational purposes only and shall not constitute an offer to sell or the solicitation of an offer to buy any securities pursuant to the proposed Business Combination or otherwise, nor shall there be any sale of securities in any jurisdiction in which the offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction. Gores Metropoulos II stockholders and other interested persons may obtain, without charge, more detailed information regarding the directors and officers of Gores Metropoulos II in Gores Metropoulos IIs registration statement on Form S-1 (File No. We're not acquiring these assets, but we're running a process that's just as thorough. Stay up to date with what you want to know. San Francisco-based Sonder Holdings Inc. (Sonder) officially launched in 2014 and was co-founded by Francis Davidson, Chief Executive Officer, and Martin Picard, Global Head of Real Estate. We appreciate our close partnership with the Gores team and with our business combination completed, Sonder now has a very strong balance sheet to aggressively pursue our ambitious growth strategy, revolutionize hospitality, and deliver long-term value to shareholders., "Were proud to have partnered with Sonder and look forward to supporting their next chapter of growth," said Ted Fike, Senior Managing Director at The Gores Group. Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC, Citigroup and Deutsche Bank Securities Inc. are serving as joint lead placement agents on the Existing PIPE. The father and son were also co-founders of BlueTail, a social media marketing startup acquired by Salesforce in 2012. Goldman Sachs & Co. LLC is serving as exclusive financial advisor to Sonder. We sat down with Francis Davidson, Sonder's cofounder and CEO who founded the company by renting out his college apartment to discuss the deal and the future of travel. The pandemic was a challenge for the entire hospitality world. All Rights Reserved. Overview | Sonder Holdings Inc. Investor Relations Resources & Information Company Overview Sonder is revolutionizing hospitality through innovative, Launched in 2014, Davidson came up with the idea for Sonder while managing a few apartments for short-term stays as a university student in Montreal. 2012-2023 BetaKit Incorporated. It's like a hybrid of Airbnb and Hilton, turning apartments into hotel suites. Please contact our IR department. The two clear takeaways are: (1) travel is rebounding and (2) Gores and Metropoulos arent worried about the impending regulatory crackdown on SPACs. Weil, Gotshal & Manges LLP is serving as legal advisor to GM II. Revenue tripled, the company said. Join the Industrys Brightest Minds in New York City, Business Travelers: A Multi-Country Survey Report, Hotel Tech Benchmark: Booking Engines, Website Builders, and Direct Booking Tools 2023. We plan to have a multi-part series diving into Sonder's competition, strategy, leadership, and more. April 19, 2023. Forward-looking statements in this release include, but are not limited to, the closing of the drawdown on Sonders Delayed Draw Notes, the commencement of trading of Sonders common stock and publicly traded warrants on Nasdaq, Sonders beliefs regarding its current and future financial position, Sonders beliefs regarding its future financial and operating results and growth and the effect of the COVID-19 pandemic, its timing of recovery and the pandemics impact to Sonders business and financial position. In addition to the very compelling narrative and numbers presented in Sonder's investor presentation, Sonder's strategic advantage relative to both incumbents and potential new entrants makes us believe Sonder's stock has the ability generate over 1,000% return in the next 5 years. SPAC Cash in Trust, US$ 450 million 1, will be provided in a Current Report on Form 8-K which will be filed by Gores Metropoulos II with the SEC and will also be available at www.sec.gov. However known and unknown risks and uncertainties may cause actual results to materially differ from what is expressed in such statements. To ensure the most secure and best overall experience on our website we recommend the latest versions of, Internet Explorer is no longer supported. After four consecutive quarters in which its profits sagged, the real estate data giant generated $74 million in net income during the first quarter. Another interesting observation is on consumer behavior. Your submission has been received! The Company also launched a corporate travel offering, opening its doors to even more business travelers and continues to grow its extended stays offering to capture new traveler groups. We appear to be moving pastthe pandemic disruption. In the next three to five years, we expect to be truly global with presence in Latin America and the Asia-Pacific region., RELATED: All signs point to Montral as home of Sonders second headquarters. Takeaway: Given industry multiples and Sonder's growth rate, Sonder's valuation seems like the deal of a lifetime. OpenSpace, founded in 2017, uses AI and cameras affixed to workers hardhats, to provide 360-degree images of job sites. Complete with self-service features, simple check-in and 24/7 on-the-ground support, amenities and services at Sonder are just a tap away, making a world of better stays open to all. None of Volts proprietary content may be reproduced or referenced, in full or in part, in any other publication without the expressed written consent of Volt. Forward-looking statements include information concerning Gores Metropoulos IIs or Sonders possible or assumed future results of operations, business strategies, debt levels, competitive position, industry environment, potential growth opportunities and the effects of regulation, including whether this proposed Business Combination will generate returns for stockholders. But in the end, the pandemic didnt cause a housing meltdown or a meaningful deterioration in CEO pay. Launched in 2014 and headquartered in San Francisco, Sonder provides a variety of accommodation options from spacious rooms to fully-equipped suites and apartments found in over 35 markets spanning ten countries and three continents. Any and all subjective claims and statements made on this site regarding companies or securities are strictly the beliefs and views held by Volt and are in no way meant to be an endorsement by Volt of any company or security and nor is it meant to be a recommendation by Volt to buy, sell, or hold any security.Past performance is no guarantee of future returns. I remember being in a war room in February 2020, seeing our Italy numbers start going down every week.We've been an international business since 2015. Today is a historic moment for the entire Sonder team and a testament to how weve revolutionized the hospitality industry by reimagining and delivering what the modern traveler demands. In connection with the proposed Business Combination, Gores Metropoulos II has filed a registration statement on Form S-4 (the Registration Statement) that includes a preliminary proxy statement, consent solicitation statement and prospectus with respect to Gores Metropoulos IIs securities to be issued in connection with the proposed Business Combination that also constitutes a preliminary prospectus of Gores Metropoulos II and will mail a definitive proxy statement/consent solicitation statement/prospectus and other relevant documents to its stockholders. Our mission is really one of democratization here. OR As part of the SPAC deal, Sonder will retain its management team: Davidson will stay on as CEO, and Sanjay Banker will continue to serve as president and CFO. Sonder forecasts their 2025 GAAP revenue to grow to a whopping $4B at a 103% CAGR (2020-2025). For more information, please visit www.gores.com. WebReports & Presentations. On top of that, I think the benefit of our technology here is that it allows us to provide a really elevated stay at a much more affordable price point. Francis Davidson, Sonders co-founder and CEO, called the listing a historic moment for the company, adding that it is a testament to how weve revolutionized the hospitality industry by reimagining and delivering what the modern traveler demands.. The travel and hospitality industry has been hit hard by the ongoing pandemic, which has led many to cancel, postpone, or scale down their travel plans, impacting both traditional hotels and tech companies like Sonder and Airbnb. The high redemption rate for the Sonder deal stands out for SPACs led by buyout These forward-looking statements are based on Gores Metropoulos IIs or Sonders managements current expectations, estimates, projections and beliefs, as well as a number of assumptions concerning future events. Sign up to our email list so you don't miss a thing. You can see their 2019 Series D investor pitch deck here. CEO Francis Davidson co-founded Sonder as a college student in Montreal in 2014. Sonder was founded in Montral in 2012 by Martin Pecard, Lucas Pellan, and Davidson under the name Flatbook. Get research, business strategy, and tech analysis delivered to your inbox, Peter Thiel on Identifying Disruptive Companies: 10x Better than Competitors. 1 to Agreement and Plan of Merger, dated as of October 27, 2021, by and among Gores Metropoulos II, Sonder and the other parties to the Merger Agreement (such amendment, Amendment No. Let's find people who are in need of temporary housing, or who don't want to live with their roommates during a pandemic." These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside Gores Metropoulos IIs or Sonders managements control, that could cause actual results to differ materially from the results discussed in the forward-looking statements. Weil, Gotshal & Manges LLP served as legal advisor to GM II. Sonder confirmed Friday that it will go public by merging with a SPAC backed by billionaires Alec Gores and Dean Metropoulos. Additional information about the proposed Business Combination, including a copy of Amendment No. 310-209-3010 Wilson Sonsini Goodrich & Rosati, P.C. Our Standards: The Thomson Reuters Trust Principles. Other CEOs followed suit. 1)) and the proposed Business Combination contemplated thereby; (b) the inability to complete the proposed Business Combination due to the failure to obtain approval of the stockholders of Gores Metropoulos II or other conditions to closing in the Merger Agreement (as amended by Amendment No. Description. The landlord is funding it. Investing involves risk and possible loss of principal capital. This comes as the travel and short-term-rental industries are set to rebound after pandemic lows. For full disclosures, please go to our Terms & Conditions page. Gores Metropoulos II was formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. Thats due to the leadership and staff who built a flexible model thats been proven at scale, Roberts told BetaKit. Forward-looking statements included in this document speak only as of the date of this document. Yet, their recent historical growth rate has been MUCH higher than the median of each of those industries. For The Gores Group and affiliates: We saw that there's a chance that this would spread to the US and our core markets, and if that happened, we needed to be ready to respond. The CEOs of Opendoor and Porch saw hefty stock and options in a year when both companies went public. Something went wrong while submitting the form. All quotes delayed a minimum of 15 minutes. Content is subject to change without notice. Moelis & Company LLC acted as additional financial advisor to GM II. Morgan Stanley & Co. LLC is serving as lead financial advisor and Deutsche Bank Securities Inc. and Citigroup are serving as capital markets advisors to Gores Metropoulos II. During this period, the adviser was not providing advice using any models mentioned and clients results may have been materially different. We're not cutting a check 90% of the time now when a property opens. San Franciscos short-term rental startup Sonder has lowered its going-public-through-SPAC valuation down to $1.925 billion from the earlier planned $2.2 His coverage is more complete than his moustache. The most comprehensive solution to manage all your complex and ever-expanding tax and compliance needs. As previously announced on April 30, 2021, Sonder entered into an agreement to combine with GMII. Hypothetical model results have many inherent limitations, some of which, but not all, are described herein. In the markets that we're in we're talking about substantial investments into those local economies either through our partners or with the employees that we have on the ground. GAAP Revenue These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside Sonders managements control, that could cause actual results to differ materially from the results discussed in the forward-looking statements. You can read more of our analysis on Sonder's strategic position vs. hotels in this post. Francis Davidson co-founded the company in 2014 while managing several apartments in Montreal as a university student. For Sonder: As part of the proposed business combination, the Company will receive approximately $110 million in incremental capital from affiliates of Gores Metropoulos II and other leading investors including Fidelity Management & Research Company LLC, funds and accounts managed by BlackRock, Atreides Management, LP, and Senator Investment Group pursuant to the New PIPEs, in addition to the $200 million Existing PIPE, which continues to be led by affiliates of Gores Metropoulos II, with participation from top-tier institutional investors including Fidelity Management & Research Company LLC, funds and accounts managed by BlackRock, Atreides Management, LP, funds and accounts managed by Principal Global Investors, LLC, and Senator Investment Group. All rights reserved 2023 The Real Deal is a registered Trademark of Korangy Publishing Inc. Watch: Developer Patrick Carroll "spits" on restaurant manager, Mitsubishi UFJ to sell SF office building at expected 80% discount, Miami luxury real estate agent pleads guilty in PPP fraud case, Sonder to open in Flatiron Hotel next month. GMII dropped 5.5% today and closed at $8.86. For more information, please visit www.gores.com. Sonder recently announced its entry into France with the opening of a property in Paris near the iconic Champs-lyses, as well as large expansions of its operations in the Middle East and Mexico. The deal would value Sonder at $2.2 billion, almost $1 billion more than its June valuation of $1.3 billion, and includes $650 million in total cash proceeds. In 2020, Sonder had 5,000 units (with contracts for another 7,000). All references to available cash are subject to any redemptions by the public stockholders of GM II and payment of transaction expenses. The new funding raised will help continue to focus on building the company and hopefully keep the economics in check enough to complete the deal. Shares of Gores Metropoulos II rose 0.5% in afternoon trading on Friday. Goldman Sachs & Co. LLC served as exclusive financial advisor to Sonder. Last week, the startup raised $55 million from investors, led by Alkeon Capital Management, with participation from Penny Pritzkers PSP Partners and others. Brokerage giant Realogy struck a massive deal with MoxiWorks, a real estate software startup. Sonder confirmed Friday that it will go public by merging with a SPAC backed by billionaires Alec Gores and Dean Metropoulos. There's no Sonder city where there's no Sonder employees, so we do provide meaningful employment. Below are the highlights from the presentation. Oops! Guesty, a property management startup targeting Airbnb hosts, raised $50 million last week. The content should not be considered investment advice and is for educational purposes only. In 2020, CoStars Andy Florance was compensated $21.3 million, according to the companys recently filed proxy statement. Access unmatched financial data, news and content in a highly-customised workflow experience on desktop, web and mobile. You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. SAN FRANCISCO & LOS ANGELES--(BUSINESS WIRE)--Sonder Holdings Inc. (Sonder'' or the Company), a leading next-generation hospitality company that is redefining the guest experience through technology and design, today announced that it completed its previously announced business combination with Gores Metropoulos II, Inc. (Nasdaq: GMII, GMIIW, and GMIIU) (GM II), a special purpose acquisition company sponsored by affiliates of The Gores Group, LLC, and Metropoulos & Co. Starting from right to left: Usually a lodging provider would need to make a trade-off in terms of these 3 dimensions of price, design, quality consistency. Volt does not seek to solicit or offer any of its products or services to any persons to whom doing so would otherwise be prohibited under the laws applicable to their place of citizenship, domicile or residence.Some of the content on this site may contain forward-looking statements, including but not limited to statements related to future expectations, based on Volts current outlook and assumptions. The The Sonder app gives guests full control over their stay. Additionally, the Company has put in place a non-binding term sheet for Delayed Draw Notes of $220 million with existing PIPE investors, to be available following closing of the proposed business combination.
