Swiss-German quantum technology firm Terra Quantum is targeting a U.S. public listing to lay the groundwork for further growth. Through a merger with the blank-check company Mountain Lake Acquisition Corp. II (MLAC II), the firm aims to list on the Nasdaq technology exchange, Terra Quantum announced on Thursday. The non-binding letter of intent with the Special Purpose Acquisition Company (SPAC) values the St. Gallen-based firm at 3.25 billion dollars. Terra Quantum plans to go public later this year, CEO Markus Pflitsch told Reuters, adding that it was still too early for a precise timeline.

Terra Quantum develops quantum algorithms, software, and security solutions, and says it already serves clients in sectors such as defense, finance, pharmaceuticals, and logistics. These include the U.S. Air Force as well as corporations like Siemens, consumer goods giant Unilever, and banks HSBC and BBVA. Such projects have involved quantum technology applications for areas like drones or derivative pricing. Founded in 2019, Terra Quantum is already generating "significant" revenue, according to Pflitsch.

The company opted for a U.S. listing because the country is the primary growth engine in the sector. Furthermore, America plays a pioneering role in setting regulatory standards. "The U.S. is the powerhouse and the benchmark here. And we want to play in the Champions League," said the German executive, who attended the inauguration of U.S. President Donald Trump last year. Pflitsch, who describes himself as "half quantum physicist, half banker," will remain a major shareholder after the IPO, while Terra Quantum's name and management will remain unchanged.

A SPAC transaction offers protection against market turbulence, and competition for investors is lower than in traditional IPOs, Pflitsch explained. With this move, Terra Quantum intends to secure access to capital markets to fund its next growth phase, including product development, global expansion, and strategic acquisitions. Terra Quantum is at the forefront of the quantum revolution and possesses a leadership team with experience in both science and technology commercialization, said Paul Grinberg, CEO of MLAC II.

Terra Quantum is being advised on the transaction by Cohen & Company Securities, which is also working to bring the Swiss renewable energy firm ThomasLloyd Climate Solutions to Wall Street. After years of restraint, SPAC deals have seen a comeback on Wall Street in 2025.

(Reporting by Dave Graham; edited by Oliver Hirt and Ralf Banser. For inquiries, please contact our editorial office at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)