ElectraMeccanica and Tevva are to merge and build commercial electric trucks.
Tevva factory in Tilbury, UK, and ElectraMeccanica’s facility in Mesa, Arizona, willl increase production and cater to the UK, Europe and the US.
Tevva shareholders would control 76.5% while ElectraMeccanica shareholders would hold 23.5%.
The new venture would have an estimated cash balance of between US$70m and $80m and debt of $26m.
Operating under the name Tevva, the company would be based in Delaware.
Susan Docherty would be CEO.
The merger, to be enacted via a court-approved plan of arrangement under the Business Corporations Act (British Columbia), is coupled with a US$6m credit facility for Tevva and expected complete in Q4 2023.