Los Angeles-based truck manufacturer to acquire ElectraMeccanica in all-stock deal
Jan 14, 2024, 5:45 AM
A Los Angeles-based electric truck manufacturer has agreed to acquire ElectraMeccanica in an all-stock deal. (ElectraMeccanica Rendering)
(ElectraMeccanica Rendering)
A Los Angeles-based electric truck manufacturer has agreed to acquire ElectraMeccanica in an all-stock transaction, the two companies announced Jan. 11.
Xos Inc. (Nasdaq: XOS) entered a definitive acquisition agreement with ElectraMeccanica Vehicles Corp. (Nasdaq: SOLO), giving it access to the Mesa electric vehicle company’s estimated cash balance of $48.5 million, in addition to its issued and outstanding common shares upon closure of the deal.
“We believe leveraging ElectraMeccanica’s assets will strengthen Xos’ leadership position in the robust commercial truck market and allow Xos to scale profitable vehicle sales,” Dakota Semler, CEO of Xos, said in a statement.
The transaction is expected to close in the first half of 2024, pending shareholder and regulatory approval. After the deal closes, ElectraMeccanica shareholders will own 21% of the combined company.
This story is posted in partnership with Phoenix Business Journal. Click to read the full story.
