Self-Driving Truck Startup Kodiak To Go Public

Kodiak Robotics has reached an agreement with Ares Acquisition Corp. II (AACT) to go public, valuing the company at $2.5 billion. The deal is backed by institutional investors, including Soros Fund Management, ARK Investments, and Ares, with $110 million in financing and $551 million in cash from Ares' trust.

Founded in 2018 by Don Burnette, Kodiak specializes in autonomous trucking technology and has a first-to-market driverless truck operation. The company works with partners like Atlas Energy Solutions, Bridgestone, and J.B. Hunt, and holds a $30 million Department of Defense contract.

Kodiak's business model offers autonomous trucks on a per-mile or per-truck basis. The autonomous freight market is expected to reach $1 trillion in the U.S. and $4 trillion globally.