Yellow.ai and Bluerock Acquisition Corp. today unveiled a definitive business combination agreement that will list the enterprise agentic-AI vendor on Nasdaq under the ticker "YAI" at an implied pro forma equity value of about $550 million. The deal marks one of the largest de-SPAC listings for an Indian-founded AI platform to date.
Terms Of The Deal
Under the Business Combination Agreement, Yellow.ai is valued at a pre-money equity of approximately $300 million. The transaction is expected to generate more than $200 million in gross proceeds, including roughly $175 million currently sitting in Bluerock's Nasdaq trust and $30 million of committed PIPE financing from institutional investors. Founders and senior management are investing personal capital in the PIPE alongside institutional backers.
Boards of both companies have unanimously approved the deal, which is expected to close in the second half of 2026 subject to a Bluerock shareholder vote and customary conditions. Yellow.ai will use the proceeds to accelerate its agentic-AI platform, expand enterprise sales in North America and Europe and pursue a roll-up strategy focused on business-process-outsourcing operators it can convert to AI-native operations.
What Yellow.ai Actually Does
Founded in 2016 by Raghu Ravinutala, Rashid Khan and Jaya Kishore Reddy, Yellow.ai has grown into a full agentic-AI platform for enterprise service automation. The company reported $34 million in unaudited revenue in its last fiscal year, with more than 70% of ARR now coming from enterprise accounts. Its Nexus Vox voice agent is available in 135+ languages and is its fastest-growing product line; the platform now processes roughly 16 billion conversations a year across 650 enterprise customers in 85 countries.
Prior to today's transaction, Yellow.ai raised more than $100 million from investors including Lightspeed, Salesforce Ventures, Sapphire Ventures and WestBridge Capital.
Another AI SPAC Onto Wall Street
The listing extends a busy summer of AI-related public-market debuts and de-SPAC deals, including Unitree's $618M Shanghai IPO subscription window, Agility Robotics' $2.5B Churchill Capital SPAC and Ondas's $875.8M DZYNE acquisition. Cantor Fitzgerald & Co. is exclusive financial advisor to Yellow.ai; Bluerock Capital Markets and Brookline Capital Markets are advising Bluerock.
Reporting based on coverage from PR Newswire, Investing.com and AIwire.