The wait is over. Following what Reuters characterizes as a "a bidding war among blank-check companies," Fisker, a California-based electric vehicle (EV) maker, has opted to go public with Spartan Energy Acquistion (SPAQ), a special purpose acquisition company. News of the transaction is not surprising, since rumors of a partnership between the two companies surfaced last week. The transaction -- similar to that which Nikola (NKLA -0.34%) used to go public -- is expected to be completed in the fourth quarter of 2020.

According to the terms of the transaction, Fisker will receive gross proceeds of $1 billion, which the company will use to help finance operations as it strives to bring its first vehicle, the all-electric luxury SUV, Fisker Ocean, to production in 2022. At the $10 per share "private investment in a public entity" price, the merger has a pro forma equity value of $2.9 billion.

Interior of a Fisker vehicle.

Image source: Fisker.

Expressing his enthusiasm about the deal, Henrik Fisker, founder, chairman, and CEO of the automaker, said:

Today, the realization of the world's first digital car company took another major step forward, advancing our mission to commercialize the world's most emotional and sustainable vehicles, while upholding our vision of a clean future for all. We are excited to partner with Apollo, a world-class financial institution who brings deep industry expertise, extensive global relationships and a shared commitment to ESG.

For Fisker, there's a notable emphasis on the ESG merits of its company, which characterizes the Fisker Ocean, with a vegan interior and components made of recycled materials, as the world's most sustainable vehicle.

News of Fisker's foray into the public market follows closely after news of Li Auto, a Chinese EV maker, recently announced its plans to go public. Unlike Fisker, however, Li Auto is solely focused on the Chinese market.