GreenPower secures $5M loan with EDC to fund EV mfg.
by CM Staff
The Facility provides additional liquidity to GreenPower to fund all-electric vehicle production for approved customer orders, allowing for multiple advances over a two-year period with repayments when vehicles are delivered.
GreenPower manufactures a suite of all-electric, purpose-built, zero-emission vehicles that serves the cargo and delivery market, shuttle and transit space and school bus sector.
VANCOUVER — GreenPower Motor Company Inc., a manufacturer and distributor of purpose-built, all-electric, zero-emission medium and heavy-duty vehicles serving the cargo and delivery market, shuttle and transit space and school bus sector, has entered into a revolving loan agreement with Export Development Canada for up to $5 million to fund all-electric vehicle production pursuant to customer orders. The Facility expands EDC’s support to GreenPower beyond its existing letter of credit guarantee.
The Facility provides additional liquidity to GreenPower to fund all-electric vehicle production for approved customer orders, allowing for multiple advances over a two-year period with repayments when vehicles are delivered. The revolving nature of the Facility provides the flexibility to fund multiple orders and offers incremental capital in addition to GreenPower’s existing $8 million operating line of credit and the guarantee of up to $5 million of standby letters of credit provided by EDC.
“GreenPower is excited to be expanding our relationship with EDC and secure a credit Facility that will accelerate our production of all-electric vehicles with existing orders. This Facility allows us to access funding over multiple orders for the next two years which has a multiplier effect on the sales we can generate,” said Fraser Atkinson, CEO of GreenPower. “The mix of funding from EDC is a great fit with our production requirements and fulfilling our order book without shareholder dilution.”
“EDC is thrilled to support GreenPower’s international growth journey as they manufacture a wide range of commercial electric vehicles” said Guillermo Freire, Senior Vice-President, Mid-Market and responsible for Cleantech at EDC. “As a strategic partner, EDC is focused on supporting medium size companies like GreenPower achieve their true global potential.”
