Applied Intuition, Inc., a tooling and software provider for autonomous vehicle development, and autonomous trucking software company Embark Technology have entered into a definitive merger agreement.
Under the agreement, Applied will acquire Embark in an all-cash transaction with an equity value of approximately US$71 million.
Founded in 2016, Embark has built a robust autonomous software stack that uses machine learning methodologies for perception while relying on a safety-redundant compute system. Embark also developed a custom-built hardware platform optimized for autonomy and has performed extensive real-world testing and system deployment, with over 1.5 million miles of autonomous operations conducted on highways.
Applied Intuition said it will integrate Embark’s internal tools, data, and software assets to further improve its offerings for customers in the trucking and automotive industries.
Embark will retire its fleet of test vehicles as part of the transaction. Key Embark employees are expected to remain to support Applied and expand the company’s suite of product offerings.
Qasar Younis, co-founder and Chief Executive Officer of Applied Intuition, said, “This acquisition should enable us to advance our products and solve more specific, complex challenges for our customers. We respect the work Embark has accomplished in the autonomous vehicle industry and look forward to leveraging their expertise to better serve our global customer base.”
The transaction is expected to close in Q3 2023 and is subject to approval by Embark shareholders and other customary closing conditions. Upon completion of the transaction, Embark shares and warrants will cease trading on NASDAQ, and Embark will become a privately held company.
Applied Intuition seeks to bring autonomous systems to market. Information on Applied Intuition may be found at www.appliedintuition.com.
Embark Technology is an autonomous vehicle company building software for powering autonomous trucks focused on improving safety, efficiency, and sustainability. Headquartered in San Francisco, California, the company has partnered with some of the largest shippers and carriers in the US.