Strong Market Demand Drives Electric Last Mile Solutions to Proceed with Production Plans of Class 3 Urban Utility Commercial EV

Rhea-AI Summary

ELMS announces the Board's approval for production of the Urban Utility EV, targeting the Class 3 commercial vehicle market in 2022. This vehicle has a max payload of over 5,700 lbs, a gross vehicle weight rating of over 11,000 lbs, and a range of approximately 125 miles. With this launch, ELMS aims to capture a share of the $130 billion North American market for Class 1-3 commercial vehicles, building on the success of its Urban Delivery EV already in production.

Positive

• Board approval for Urban Utility EV production enhances growth prospects.
• Expansion into the $130 billion North American Class 1-3 commercial vehicle market.
• Competitive positioning against internal combustion engine (ICE) vehicles.

Negative

• None.

• Urban Utility EV approved by Board of Directors as ELMS prepares to enter Class 3 commercial vehicle market in 2022
• ELMS expands its total addressable market in North America to $130 billion with Urban Utility

TROY, Mich., Nov. 08, 2021 (GLOBE NEWSWIRE) -- Electric Last Mile Solutions, Inc. (NASDAQ: ELMS; ELMSW) (“ELMS” or “the Company”), a pioneer of electric and intelligent mobility solutions for commercial vehicle customers, today announced its intention to move ahead with plans to launch the Urban Utility vehicle after the ELMS Board approved production.

The Urban Utility is a Class 3 commercial electric vehicle targeting over 5,700 lbs. of max payload, more than 11,000 lbs. gross vehicle weight rating (GVWR) and approximately 125 miles of range. Its price positioning is expected to be competitive against ICE counterparts. The cab-over chassis design of the Urban Utility is highly configurable, and it can be outfitted with a dry box, flat bed, stake bed and other customizable cargo options. ELMS sees the introduction of the Urban Utility as an opportunity to greatly expand its target customer applications, including delivery, construction, landscaping, towing and refrigeration.

“After the prototype Urban Utility was shown and tested with customers for the past several months and received such strong feedback, we are excited to proceed with our plan for production and delivery in 2022,” said James Taylor, CEO, ELMS. “As market demand for commercial EVs continue to increase due to rising emissions standards, legislative action and corporate ESG goals, the Urban Utility is an equally capable, emissions-free option compared to its ICE counterparts.”

With the introduction of the Urban Utility, ELMS will have a product portfolio spanning the $130 billion North America Class 1-3 commercial vehicle market. It will join the ELMS Urban Delivery EV, which began production in late September and is the first Class 1 commercial EV in the market.

About Electric Last Mile Solutions, Inc. 
Electric Last Mile Solutions, Inc. (Nasdaq: ELMS; ELMSW) is focused on defining a new era in which commercial vehicles run clean as connected and customized solutions that make our customers’ businesses more efficient and profitable. ELMS’ first vehicle, the Urban Delivery, is the first Class 1 commercial electric vehicle in the U.S. market. The Company will begin production of its second vehicle, the Class 3 Urban Utility EV, in the second half of 2022. ELMS is headquartered in Troy, Michigan. For more information, please visit www.electriclastmile.com.

Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The Company’s actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the Company’s expectations with respect to future performance of the business, the size, demands and growth potential of the markets for the Company’s products and the Company’s ability to serve those markets, the Company’s ability to develop innovative products and compete with other companies engaged in the commercial delivery vehicle industry and/or the electric vehicle industry, the Company’s ability to attract and retain customers, the estimated go to market timing and cost for the Company’s products, and the implied valuation of the Company. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside the Company’s control and are difficult to predict. Factors that may cause such differences include, but are not limited to: (1) the inability to recognize the anticipated benefits of the business combination, which may be affected by, among other things, competition and the ability of the Company to grow and manage growth profitably and retain its key employees; (2) changes in applicable laws or regulations; (3) the possibility that the Company may be adversely affected by other economic, business, and/or competitive factors; (4) the impact of COVID-19 on the Company’s business; (5) any delays the Company may experience in realizing its projected timelines and cost and volume targets for the production, launch and ramp up of production of the Company’s vehicles and the modification of its manufacturing facility; (6) the ability of the Company to obtain customers, obtain product orders, and convert its non-binding pre-orders into binding orders or sales; (7) the Company’s ability to implement its business plans and strategies; and (8) other risks and uncertainties described in the “Risk Factors” section of the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2021 and in the Company’s future filings with the Securities and Exchange Commission. Some of these risks and uncertainties may in the future be amplified by the COVID-19 outbreak and there may be additional risks that the Company considers immaterial or which are unknown. The Company cautions that the foregoing list of factors is not exclusive. The Company cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. The Company does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based.

Contacts
Media: elms-svc@sardverb.com  
Investor Relations: IR@electriclastmile.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/6251e4d1-ecb7-4d20-9d9d-5b5e81641c49

 

FAQ

What is the purpose of the Urban Utility EV by ELMS?

The Urban Utility EV is designed for the Class 3 commercial vehicle market, offering customizable cargo options for various applications.

When does ELMS plan to produce the Urban Utility EV?

ELMS intends to begin production of the Urban Utility EV in the second half of 2022.

What are the key specifications of the Urban Utility EV?

The Urban Utility EV features a max payload of over 5,700 lbs, GVWR exceeding 11,000 lbs, and a range of about 125 miles.

How does the Urban Utility EV fit into ELMS's market strategy?

It expands ELMS's product offering in the North American commercial vehicle market, which is valued at $130 billion.

What is the market outlook for commercial electric vehicles according to ELMS?

ELMS highlights increasing market demand for commercial EVs due to stringent emissions standards and corporate ESG goals.