Nabors Energy Transition Corp. II (NETD) and e2Companies said Wednesday they have agreed to a business combination through which e2Companies will become a Nasdaq-listed company with an equity value of about $1 billion and trade under the "VUTL" ticker.

The deal is expected to raise about $400 million in gross proceeds for the new company, including $331 million of cash held in Nabors Energy Transition's trust account and expected in private placement proceeds, the companies said.

Nabors and e2Companies said existing e2 shareholders and management will not receive any cash as part of the transaction, adding that they will roll all of their equity holdings into the new company. e2's management team will lead the new company following the transaction, which has been unanimously approved by the boards of both companies and is expected to close in Q3.

Nabors is a blank-check company primarily backed by Nabors Industries (NBR), which recently launched a collaboration with e2Companies on power products for energy markets.