Palantir SPAC Sarcos Robotics Acquires A New Robotics Company
Palantir SPAC Sarcos Robotics has completed an acquisition of RE2, an Award-Winning Developer of Intelligent Mobile Manipulation Systems.
From their press release:
"Sarcos Technology and Robotics Corporation (“Sarcos”) (NASDAQ: STRC and STRCW) today announced that the Company has reached a definitive merger agreement to acquire Pittsburgh-based RE2, Inc., a developer of autonomous and teleoperated mobile robotic systems for use in the aviation, construction, defense, energy and medical industries. This transaction brings together two leading commercial robotics teams focused on industrial robotic technologies that improve worker safety and productivity. Consideration for the transaction is $100 million, consisting of $30 million in cash, which Sarcos expects to fund with cash on hand, and $70 million of Sarcos common stock."
I did a video about Sarcos a few months ago and tired to understand this company. In a nutshell, they are creating industrial robotic exoskeleton suits that have a variety of use cases, one of the main being for workers in factories that need assistance with lifting heavy objects. Essentially, they plan on selling the suits to major industries that need technology to help workers while working with heavy machinery.
The company they are acquiring, RE2, is described as followers:
"RE2 provides the RE2 Sapien™ family of robotic arms, RE2 Detect™ computer vision software, and RE2 Intellect™ autonomy software to enable intelligent mobile manipulation systems that operate in a variety of complex indoor and outdoor environments. RE2’s systems help companies in the aviation, construction, defense, energy, and medical industries to enable remote operations, improve worker safety and efficiency, and reduce operational costs."
Quotes from the press release:
“We are delighted to welcome the RE2 team to Sarcos,” said Kiva Allgood, President and CEO, Sarcos. “This transaction brings an innovative company with a complementary but additive suite of products into the Sarcos family, allowing us to offer a much wider range of solutions to address our customers’ needs. It will also allow us to expand our offerings to new industries such as medical and subsea, deepen our team of robotics experts, and advance the development of AI and machine learning technologies for use in unstructured environments.”
“The RE2 team is looking forward to joining Sarcos and accelerating the development and adoption of intelligent robotic systems,” said Jorgen Pedersen, President and CEO, RE2. “Across the globe, robotic technologies are changing the way workers perform complex, often dangerous tasks, particularly during a time of widespread skilled labor shortages. By combining our organizations, Sarcos can now offer a variety of robotic solutions to a broader customer base.”
What This Means For Palantir
Palantir SPACs need to grow. Palantir is betting that these SPACs are truly innovative companies using their Foundry software to grow and will become massive.
A company like Sarcos having enough capital and strategic vision to acquire a new robotics company to enhance their product is bullish. It's strong to see a relatively small SPAC like Sarcos engaging in high level acquisitions to grow their products.
Robotics is an industry that is set for exponential growth. What powers the foundation of many robotic technologies is artificial intelligence, which is likely the reason for why Sarcos found Palantir's product vital to use.
The aqqusiton of RE2 has a goal of "adopting intellgient robotic systems" using RE2's technology, implying that the aqqusition is rooted in a focus around how Sarcos can combine their robotics with RE2's intellgient modeling system to create faster, stronger, and more efficient robots.
Time will tell to see how the company grows, but acquiring another company in their space points to strong signs of product focus, business strategy, and overall vision for innovating the best robotic suits in the industry.