Twin Vee PowerCats Co. (NASDAQ:VEEE) stock surged on Monday after the company announced a strategic merger and a concurrent plan to privatize its recreational marine business.

The sharp rally came despite weakness across the broader market. The S&P 500 fell about 0.6%, while the Nasdaq declined as technology stocks remained under pressure. The Consumer Discretionary sector also slipped about 0.8%, making VEEE one of the session’s biggest gainers.

Twin Vee PowerCats Stock Soars After Merger, Privatization Plan

Twin Vee said Monday it will merge with a subsidiary of USFM Corporation while spinning off and privatizing its Twin Vee and Bahama Boat Works marine business.

Before the merger closes, the company will transfer its marine operations into a newly created Delaware statutory trust. Existing shareholders will receive contingent value rights (CVRs), entitling them to future distributions generated by the privately held boating business, while also receiving equity in the combined public company.

The company said the transaction is intended to unlock shareholder value, improve strategic flexibility and support long-term growth.

The combined company is expected to trade on the NYSE American after the deal closes, which is anticipated in the third quarter of 2026, subject to shareholder, regulatory and other customary approvals.

The company said its marine operations will continue without interruption during the transition.

Twin Vee, based in Fort Pierce, Florida, has manufactured recreational boats under the Twin Vee and Bahama Boat Works brands for about 30 years.

USFM Corporation is a privately held U.S.-based mineral exploration company focused on advancing critical mineral projects, including the Disko-Nuussuaq Project in Greenland.

VEEE Stock Price Activity: VEEE shares were up 446.68% at $12.15 at the time of publication on Monday, according to Benzinga Pro data.

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