Battery manufacturer Microvast has received capital injection from Citic's leading consortium in its proposed listing through a reverse merger.

On the morning of Feb. 1, media quoted sources as saying that electric car battery maker Microvast (Weihong) has agreed on a merger with special purpose acquisition company Tuscan Holdings (THCB), which will be announced as soon as Monday local time in the United States.

The combined company is valued at about $3 billion, according to people familiar with the matter. After the completion of the transaction, listed companies can receive financing of about US $800m, of which US $540 million is invested by BlackRock, Oshkosh and other companies.

The SPAC raised a total of $276 million when it went public in March 2019. Initially, the company's main acquisition target in the prospectus was the industrial marijuana industry, but also said it might choose targets in different areas.

Microvast, founded in Texas in 2006, mainly produces batteries for commercial vehicles, including electric taxis, buses, minitrucks and port equipment. In December of the same year, Weihong Power system (Huzhou) Co., Ltd. was registered in China as its production base.

According to the company's website, Microvast received a total capital injection of US $400m from the Citic Securities-led consortium in 2017.

According to Tianyan check data, Weihong Power Huzhou Company has received a total of three rounds of financing, and Citic Securities currently accounts for 1.36% of WeChat Power's shares.