EV truck maker Tevva 're-engages' with potential merger partners

Electrameccanica Vehicles

23/10/2023 24:01

By Nick Carey
       LONDON, Oct 23 (Reuters) - British electric truck maker
Tevva has "re-engaged" with a number of possible merger partners
following ElectraMeccanica's  SOLO.O  decision earlier this
month to cancel their planned deal and said on Monday it has a
number of trucks in production.
    The two companies announced their planned merger in August,
giving Tevva access to U.S. production and targeting revenue of
up to $1.5 billion in 2028, but Mesa, Arizona-based
ElectraMeccanica terminated the agreement citing "failures by
Tevva to disclose ... material information."
    Tevva, which has so far raised about $140 million from
investors, said it had provided "full and open access" to
ElectraMeccanica and "will be seeking recourse through due legal
process."
    Tevva said it has "re-engaged with a number of investors and
public companies looking for a merger," adding it was "confident
that from these various opportunities it will secure both
medium- and long-term financing to complete its business plan."
    In a statement it also said it had a number of fully
electric 7.5 tonne trucks in production to hand over to
customers.
    After attracting billions from investors just a few years
ago, many EV startups have struggled as rising inflation and
interest rates have shut off access to funding. 
    A few have begun bankruptcy proceedings, including
Swedish-based electric truck maker Volta Trucks which filed for
bankruptcy last week.

 (Reporting by Nick Carey; Editing by David Holmes)
 ((nick.carey@thomsonreuters.com; +44 7385 414 954))