CORONA, CA / ACCESSWIRE/ December 24, 2020 / ADOMANI, Inc. (OTCQB: ADOM ) a provider of new zero-emission, purpose-built electric powered autos and drivetrain remedies, announced that it entered into a non-binding letter of intent (“LOI”) with Envirotech Drive Methods, Inc. (“EVT”), North America’s initial and only company of reason-crafted all-electric powered zero-emission Class 3, 4 and 5 automobiles, with regards to a potential small business mixture transaction pursuant to which a recently fashioned subsidiary of ADOMANI would merge with and into EVT, whereby EVT would develop into a wholly-owned subsidiary of ADOMANI in exchange for shares of ADOMANI popular stock (the “Proposed Transaction”). Upon completion of the Proposed Transaction, it is contemplated that the stockholders of EVT would keep somewhere around 58% of the overall fantastic shares of frequent inventory of ADOMANI, subject to specific changes.
“This is an remarkable growth for ADOMANI. The more than 30 a long time of experience and achievements in the EV industry that the EVT staff brings will establish quite beneficial to ADOMANI as we jointly proceed to establish, make improvements to and grow our chopping-edge, technologically-superior zero-emission all-electric goods in support, while minimizing the price tag of our vehicles and our overhead costs, both of which will profit our stockholders,” claimed Phillip Oldridge, Main Govt Officer of ADOMANI. Mr. Oldridge ongoing: “In addition, I have a system to achieve favourable effects for stockholders by having our automobiles on the highway and in company quickly. Combined with the price discounts, we think this organization mix will present sizeable price to our stockholders.”
David Oldridge, Chief Technology Officer of Envirotech Electrical Vehicles Inc., the parent company of EVT, commented, “The ROI is eye-catching for medium and heavy-obligation electric autos. We at the moment have a selection of new multi-system chassis in the remaining stage of progress, which when added to ADOMANI’s line of reason-crafted and all set to produce all-electric vans and trucks, will broaden the current item offerings of ADOMANI’s portfolio of EVs. We assume the ADOMANI/EVT merged entity to have a person of the most, if not the most, comprehensive lineup of medium and hefty-obligation electric automobile chassis which can be seamlessly integrated into a wide variety of weighty responsibility purposes from supply vehicles to garbage trucks, college buses and a wide range of other automobiles, supplementing ADOMANI’s existing car line-up of logistic vans, and taxi overs.”
Conditions of the Proposed Transaction in between ADOMANI and EVT as Contemplated by the LOI:
The following is a summary of the important phrases of the Proposed Transaction as contemplated by the LOI. The Proposed Transaction stays topic to completion of a due diligence review by each and every get together and negotiation of definitive agreements and the composition may possibly adjust owing to tax or other transaction concerns. There can be no assurance that the get-togethers will agree on the terms of definitive agreements or that the Proposed Transaction will be done as at present contemplated or at all.
- ADOMANI to acquire EVT through a share trade transaction whereby shares of widespread stock of ADOMANI will be exchanged for shares of frequent stock of EVT, which trade shall be effected by way of a reverse triangular merger transaction involving a newly shaped subsidiary of ADOMANI that will merge with and into EVT with EVT surviving the merger as a wholly-owned subsidiary of ADOMANI.
- Adhering to the completion of the Proposed Transaction, it is contemplated that the holders of the popular stock and all other remarkable securities that are convertible into or exercisable for shares of popular stock of EVT will keep shares of popular stock of ADOMANI symbolizing 58% of the total exceptional shares of common inventory of ADOMANI as of the date of the LOI, which percentage possession might be minimized to consider into account any inventory issuances produced by ADOMANI following the signing of the LOI and ahead of the closing of the Proposed Transaction.
- As a condition to the closing of the Proposed Transaction, EVT’s full belongings will include things like at the very least $5 million of cash.
- Next the closing of the Proposed Transaction the board of directors of ADOMANI shall be comprised of 7 customers (a) four of whom shall be advised by EVT, and (b) 3 of whom shall be advised by ADOMANI.
- It is envisioned that the management of ADOMANI will continue on to run the small business after the closing of the Proposed Transaction.
- Pursuant to the LOI, EVT is prohibited from immediately or indirectly soliciting or taking part in any discussions with regards to a sale of its business enterprise until eventually February 16, 2021, until usually agreed by equally get-togethers.
Entry into a transaction, together with the Proposed Transaction, will be subject to satisfactory completion of because of diligence by each events and the negotiation of a definitive agreement. If a definitive arrangement is entered into, it is anticipated that the closing of a transaction will consist of customary closing disorders, such as acceptance by the board of administrators of every single get together, the stockholders of EVT and the sole stockholder of ADOMANI’s acquisition subsidiary, in addition to the closing conditions explained previously mentioned. There can be no assurances that the Proposed Transaction will be consummated pursuant to the conditions of the LOI or at all.
More details will be introduced if and when a definitive agreement is arrived at concerning ADOMANI and EVT.
About ADOMANI®
ADOMANI, Inc. is a service provider of new zero-emission electric vehicles and is a provider of zero-emission electrical drivetrain programs for integration in medium to weighty-responsibility professional fleet motor vehicles, as very well as re-electric power conversion kits for the substitute of drivetrain units in combustion-powered cars. ADOMANI’s zero-emission electric automobiles are focused on minimizing the full expense of vehicle possession and assist fleet operators unlock the advantages of eco-friendly know-how and address the troubles of traditional fuel rate price tag instability and area, point out and federal environmental regulatory compliance. For extra information and facts check out www.ADOMANIelectric.com
About Envirotech Generate Programs, Inc.
Envirotech Generate Programs, Inc. has partnered with leading OEM suppliers, and utilizes proprietary techniques and technologies to construct foremost edge all-electrical motor vehicles and generate educate technologies that are now each a lot more successful as effectively as extra cost-effective than traditional combustion engines. EVT thinks it will be the very first to industry to offer and deliver function-designed all electric automobiles in California with no necessitating governing administration subsidies. EVT sells a line of recently innovated, superior quality, multi-system electric powered drive programs, controllers, ancillary parts, and telematics options for present truck fleets as well as for special-purposed autos of all sizes. EVT programs can be retrofitted into rolling inventory or built-in as OEM elements.
Cautionary Assertion About Forward-Hunting Statements
Statements designed in this push release that relate to foreseeable future plans, occasions, fiscal final results, prospects or overall performance are forward-hunting statements. Though they are centered on the present expectations and beliefs of management, these types of ahead-seeking statements are topic to a amount of challenges, uncertainties, assumptions and other aspects that could result in genuine success to vary materially from the anticipations expressed in this press release, which includes the dangers and uncertainties disclosed in stories submitted by ADOMANI with the Securities and Trade Fee, all of which are obtainable on-line at www.sec.gov. All statements, other than statements of historical truth, are statements that could be considered ahead-hunting statements, together with statements that contains the terms “planned,” “expects,” “believes,” “strategy,” “opportunity,” “anticipates,” “outlook,” “designed” and identical phrases. Audience are cautioned not to area undue reliance on these forward-on the lookout statements, which talk only as of the date hereof. Besides as required by law, ADOMANI undertakes no obligation to update or revise any forward-searching statements to mirror new information, transformed situations or unanticipated situations.
Investor Relations Contacts:
ADOMANI, Inc.
Michael K. Menerey, Main Financial Officer
Phone: (951) 407-9860 ext. 205
Email:
Resource: ADOMANI, Inc.
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