What happened Shares of InterPrivate Acquisition (NYSE: IPV), the special-purpose acquisition company (SPAC) set to merge with Aeva, were trading higher on Monday after the company said that an investor has agreed to buy an additional $200 million worth of stock ahead of the merger. As of noon EST, InterPrivate's shares were up about 4.5%. So what InterPrivate said that Sylebra Capital, a Hong Kong-based technology investment firm that already owns a stake in InterPrivate, has agreed to invest an additional $200 million ahead of InterPrivate's merger with Israeli lidar maker Aeva. (Lidar is a sensor technology with applications in robotics and other fields. Of note to auto investors, most experts believe lidar will be essential for self-driving vehicles.) This new deal has two parts: Sylebra will buy about $150 million worth of shares for $11.50 per share, and then an additional $50 million worth of shares at a price of $16. Sylebra has agreed to hold the shares for at least one year after the merger closes. The deal is a so-called PIPE, or private investment in public equity; it will close as part of the merger transaction. PIPEs allow outsiders to invest a known amount of cash in exchange for stock at an agreed price, which is typically discounted. They're common features of SPAC merger deals. Aeva's lidar sensors are visible above the windshield of this test vehicle. Image source: Aeva. This deal already had a $120 million PIPE, which was funded by existing Aeva investors at $10.00 per share and revealed when the merger was first announced in November. Why is the stock up? Because this adds $200 million in cash to the total that the merged company will have available. Furthermore, Sylebra is investing at a valuation higher than in the original November PIPE. Now what With this investment, the post-merger company (to be called Aeva) will receive roughly $560 million in cash from the transaction. Aeva CEO Soursh Salehian said in a statement that the added investment will allow Aeva to accelerate its plan to get its "lidar on a chip" technology to market. The merger is expected to close by the end of March. 10 stocks we like better than InterPrivate Acquisition Corp.When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and InterPrivate Acquisition Corp. wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2020 John Rosevear has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Source