EV Truck Maker Tevva Seeks New Merger Partners After ElectraMeccanica Deal Falls Through
Tevva “Re-Engages” with Potential Merger Partners
British electric truck manufacturer Tevva has announced that it is actively pursuing new merger partners after its planned deal with ElectraMeccanica was cancelled. Tevva, which has already raised $140 million from investors, is confident that it will secure both medium- and long-term financing through these new opportunities to complete its business plan.
ElectraMeccanica Terminates Agreement
In August, Tevva and ElectraMeccanica revealed their plans to merge, giving Tevva access to U.S. production and setting a revenue target of up to $1.5 billion by 2028. However, ElectraMeccanica terminated the agreement due to alleged failures by Tevva to disclose important information. Tevva disputes these claims and will seek legal recourse.
Tevva’s Commitment to Production
Tevva has emphasized that it is continuing its production efforts despite the setback. The company has several fully electric 7.5-tonne trucks currently in production, ready to be delivered to customers.
Challenges Faced by EV Startups
The cancellation of the Tevva-ElectraMeccanica merger is just one example of the struggles faced by electric vehicle startups in recent years. Many of these companies, which once attracted billions in investments, are now grappling with rising inflation and interest rates, making it difficult to secure funding. Some startups, like Volta Trucks, have even had to file for bankruptcy.
The EV industry continues to navigate these challenges as it strives to revolutionize transportation and combat climate change. Tevva remains optimistic about its future prospects, actively seeking new partnerships to drive its vision forward.
