Electric Vehicle

Workhorse Group Secures $25 Million Financing

American technology company focused on providing sustainable and cost-effective electric-mobility solutions, Workhorse has entered into subscription agreements for a private offering with a group of institutional investors, resulting in gross proceeds to the Company of $25 million.

Under the terms of the agreements, the investors acquired shares of Series B preferred stock and warrants to purchase common stock. The Series B preferred stock is not convertible, but the holders are entitled to annual dividends payable in shares of common stock. Full details relating to the private offering can be found in the Company’s Form 8-K filed with the Securities and Exchange Commission on June 6, 2019.

The closing with respect to approximately $15,000,000 occurred on May 31, 2019, and the balance of approximately $10,000,000 will close today, June 10, 2019. The proceeds will be used for general working capital and research and development, allowing the company to focus on finalizing the R&D associated with the N-GEN followed by the production of the existing contracted backlog.

Source: Press Release


Related Articles