On April 30, 2021, Sonder Holdings, a leading next-generation hospitality company that is redefining the guest experience, and Gores Metropoulos II, Inc., a special purpose acquisition company (SPAC) sponsored by an affiliate of The Gores Group, LLC and by an affiliate of Dean Metropoulos of Metropoulos & Co., announced that they have entered into a definitive agreement to combine. The technology-driven hospitality business is expected to have a pro forma enterprise value of $2.2 billion and over $700 million of net cash at closing. Wilson Sonsini Goodrich & Rosati is representing Sonder in the transaction.

The business combination includes $650 million of cash proceeds from Gores Metropoulos II before expenses, including a fully committed PIPE of $200 million from top-tier institutional investors, including Fidelity Management & Research Company LLC, funds and accounts managed by BlackRock, Atreides Management, LP, entities affiliated with Moore Capital Management, Principal Global Investors, LLC, and Senator Investment Group. The proceeds from the business combination, which has been unanimously approved by the boards of directors of GM II and Sonder and is expected to close in the second half of 2021, will be used to continue global growth and expansion and increase investments in technology to drive an elevated guest experience.

Founded in 2014, Sonder works directly with real estate developers and property owners to lease, manage, and operate spaces, providing guests with exceptionally designed accommodations at affordable prices on a nightly, weekly, or monthly basis. Led by a management team with deep technology, operational and hospitality experience, the company’s tech-enabled, mobile-first platform provides seamless booking, digital concierge, and a unified, on-demand platform for maintenance and service. Sonder currently operates more than 300 properties across 35 markets in eight countries.

The Wilson Sonsini team representing Sonder in the transaction includes:

Corporate/M&A
Mark Baudler
Andrew Hoffman
Ethan Lutske
Christina Poulsen
Jonathan Chan
Catherine Riley Tzipori
Dennise Martinez
Jay Carter
Jill Fulwiler
Won Gi Chong
Annie Giomi
Avery Minor
Elia Perez Villamarin
Marianne Stark Bradley

Finance and Structured Finance
Andy Hirsch

Delaware Law
Amy Simmerman
Nathan Emeritz
Jason Schoenberg

Employee Benefits and Compensation
John Aguirre
Michael Klippert
Michael Montfort
Kristen Stidham

Antitrust and Competition
Christopher Williams

Employment Law
Rebecca Stuart

Tax
Myra Sutanto Shen
Nika Antonikova

Technology Transactions
Adam Shevell
Sarah delos Santos

Real Estate
James McCann
David Perry
Martin Sul
Jeremiah Nelson

Privacy and Cybersecurity
Matthew Staples
Lore Leitner
Daniel Chen

National Security
Stephen Heifetz

Regulatory
Anne Seymour
Seth Cowell

For more information, please see Sonder’s press release.