Engineers at electric maker Tevva work on a pre-production prototype truck at the startup’s UK plant in Tilbury, Britain, January 14, 2022. Picture taken January 14, 2022. REUTERS/Nick Carey Acquire Licensing Rights
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
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