GreenPower Motor Company Inc (NASDAQ:GP) is set to expand its offering as the electric vehicle (EV)-focused group announced the acquisition of Lion Truck Body, a company that designs and installs a range of resilient state-of-the-art truck bodies.
The latter offers dry-freight aluminum, refrigerated box, aluminum beds, stake bed, flatbed and service body, and in its more recent fiscal year, generated revenue of around $3.5 million.
"Our customers seek energy-efficient solutions that maximizes cargo capacity and delivery range. Lion Truck Body's expertise in bodybuilding with our EV Star CC addresses these requirements directly," said Brendan Riley, the president of GreenPower, in a statement.
"This acquisition provides our EV Star truck customers with many options for any number of body types required to meet their business needs with greater speed to market - completed in a few weeks versus taking months.
"We have been working with Lion Truck Body for some time to make lightweight and efficient truck bodies for our EV Star as well as other models of electric trucks. We are pleased to add the Lion Truck Body franchise into our business."
Asset purchase deal
GreenPower told investors that it and Lion Truck Body have struck an asset purchase deal, under which GreenPower has purchased the assets of the business through a wholly owned subsidiary.
The consideration consists of upfront cash payments totaling $215,000, assuming certain liabilities totaling around $1.45 million, and further cash payments up to $25,000, which remain subject to certain conditions.
GreenPower designs, builds and distributes a full suite of high-floor and low-floor all-electric medium and heavy-duty vehicles, including transit buses, school buses, shuttles, cargo van, and a cab and chassis.
GreenPower was founded in Vancouver, Canada with primary operational facilities in southern California. Listed on the Toronto exchange since November 2015, GreenPower completed its US IPO and NASDAQ listing in August 2020.
Contact the writer at giles@proactiveinvestors.com