ZincFive Enters Merger Agreement with Spark I, Valued at Approximately $752M
ZincFive has entered into a definitive business combination agreement with Spark I Acquisition Corporation. This proposed transaction represents a pro forma enterprise value of approximately $752M and, upon completion, is expected to result in ZincFive becoming a Nasdaq-listed company under the ticker symbol ZFIV and under the name "ZincFive, Inc." ZincFive's proprietary, patented nickel-zinc platform delivers superior safety, higher power density, a smaller footprint, and lower total cost of ownership, without the tradeoffs associated with lead-acid and lithium-ion batteries. ZincFive's products eliminate thermal runaway risk while limiting cooling requirements, reducing installation costs, and enabling a more sustainable, recyclable power architecture for data centers. ZincFive believes their technology is positioned to address the accelerating build-out of global data center markets and the emerging need for short-duration, high-power solutions for advanced AI infrastructure designs. ZincFive has already achieved commercial scale, with nearly 2 gigawatts of systems deployed and contracted globally and annual revenue doubling from 2024 to approximately $66.9M in 2025. ZincFive's approximately $81M backlog as of December 31, 2025 reflects accelerating demand in data centers where ZincFive's products deliver immediate, repeatable high-power response without compromising safety, reliability, or operating economics. ZincFive recently launched a comprehensive energy storage solution engineered to support both outage duration backup functionality and real-time AI dynamic power loads, positioning the Company at the forefront of next-generation data center power infrastructure. The proposed Business Combination is expected to deliver gross proceeds of at least $100M from a committed PIPE, which fully satisfies the BCA's minimum cash condition, and up to $25M in additional proceeds depending on redemptions. Existing ZincFive shareholders are expected to roll 100% of their equity into the combined public company. ZincFive has entered into a $35M bridge loan facility of which $28.5M is expected to be repaid at the closing of the Transaction. Net proceeds from the transaction will be used to fund ZincFive's growth investments, commercial deployment, and build-out of U.S. manufacturing. The Boards of Directors of both ZincFive and Spark I have unanimously approved the proposed Transaction, which is expected to close in the second half of 2026, subject to customary closing conditions, including approval by Spark I shareholders and regulatory review.
