Lion Electric raises cash for expansion
The financing transactions include the issuance of 74 million dollars in senior unsecured convertible debentures to a group of subscribers, including Investissement Québec, Fonds de solidarité des travailleurs du Québec, and Fondaction. Moreover, Lion Electric issued 90 million Canadian dollars (68 million US dollars) in senior secured non-convertible debentures to subscribers such as Mach Group and the Mirella & Lino Saputo Foundation, as well as 22.5 million common share purchase warrants. The exercise price was 2.81 CAD (2.13 USD).
Lion Electric is an electric utility vehicle manufacturer. Just recently, it presented its Lion5, an all-electric Class 5 truck powered by Lion’s new in-house engineered and manufactured 800V battery packs. The Lion5 has a maximum payload of up to 12,500 pounds, and production should start before the end of the year.
The company also made headlines after it took Nikola Motor to court in March. Nikola Motor took over Romeo Power and terminated a battery supply agreement between the latter and Lion Electric, probably because it wanted to secure its own battery supply.