Exro Technologies Signs Multiyear Agreement with Vicinity Motor Corp. to Supply Coil Drivers to Enhance Electric Bus Powertrains
Exro Technologies has entered into a multiyear agreement with Vicinity Motor Corp. to supply high-voltage Coil Drive Systems, initiating with a purchase order of 100 units. The total delivery could reach 2,500 units over the next 36 months. This partnership aims to enhance the sustainability and efficiency of Vicinity's electric buses, which are vital for public transit. Exro will also offer design and engineering services, further increasing its revenue stream. This deal underscores Exro's commitment to advancing electrification in the mobility sector.
- Multiyear agreement with Vicinity Motor Corp. for up to 2,500 Coil Drive Systems units over 36 months.
- First purchase order of 100 units to kick off the agreement, indicating immediate revenue recognition.
- Potential for additional revenue through engineering and design services for Vicinity's electric buses.
- Exro's Coil Driver™ technology promises to enhance performance and cost-effectiveness of electric buses.
- None.
- Exro will supply Vicinity Motor Corp. with high-voltage Coil Drive Systems, beginning with a pilot in Q2 2022.
- The multiyear agreement includes a first lot purchase order of 100 units with up to 2,500 units planned for delivery over the 36-month term.
- Vicinity electric vehicles optimized with Exro Coil Driver™ technology will make electric buses for public transit more sustainable, cost-effective, and efficient.
- Exro will also provide electric vehicle design and engineering services from its Vehicle Systems division for additional revenue.
- The deal marks a milestone in Exro's work to accelerate the transition toward electrification in mobility by solving performance-cost trade-offs for the North American electric bus manufacturer.
CALGARY, AB, May 3, 2022 /PRNewswire/ - Exro Technologies Inc. (TSX: EXRO) (OTCQB: EXROF) (the "Company" or "Exro"), a leading clean technology company that has developed a new class of power electronics for electric motors and batteries, announced today that it has reached an agreement for up to 2,500 units with electric bus manufacturer Vicinity Motor Corp. (NasdaqCM: VEV) ("Vicinity").
Vicinity Motor Corp. is a leading supplier of advanced shuttle transportation vehicles for public and commercial use. Its flagship product, the Vicinity Lightning™, is a purpose-built electric bus that is revolutionizing public transit using sustainable and affordable components. Vicinity maintains a majority market share in the mid-size heavy-duty bus segment in Canada and will be able to produce more than 1,000 electric vehicle ("EV") units annually from its facilities in Ferndale, Washington and Aldergrove, British Columbia.
Under this multiyear sales and service agreement (the "agreement"), Vicinity will purchase high-voltage Coil Drive System units from Exro, along with a production slot, system pricing and commissioning services. Exro's Vehicle Systems division will provide system engineering consulting services to integrate the electric powertrain for Vicinity's fleet of next-generation electric buses. News of this deal follows a previously announced supply agreement under which the companies have completed nearly 12 months of development and testing to conduct operational validation for the Vicinity Lightning™ electric bus.
The agreement commences with a first lot purchase order of 100 units. Over the 36-month term of the agreement, Exro will plan to deliver an increasing volume of its Coil Drive System for up to 2,500 units that includes both a Coil Driver™ and an electric motor, which were designed to meet Vicinity's specific requirements to deploy clean, affordable and accessible electric buses across North America.
Coil Driver™ is an award-winning dynamic smart controller that can eliminate the need for multiple motors across all EVs, allowing manufacturers, like Vicinity, to achieve more acceleration, gradeability, high-speed torque and better efficiencies while reducing the number of costly power electronics inside the vehicle. Automotive-grade Coil Driver™ units will be manufactured at Exro's state-of-the-art manufacturing facility in Calgary. The 37,000 square foot facility is unique in North America and utilizes clean energy solutions including solar power and battery energy storage with a net-zero carbon emissions objective.
Exro will also support the development of Vicinity's electric motor chassis for Class 5/6 bus configurations and provide engineering services to enable AC fast-charging using Coil Driver™. Upon complete execution, Vicinity Lightning™ buses optimized with Coil Driver™ are expected to be on the road in the near term and accessible for private and public transit use in several forward-looking cities across North America.
"We're pleased to advance our partnership with Exro, a leader in the space for e-mobility power electronics," said William Trainer, founder, and CEO of Vicinity Motor Corp. "I look forward to working closely with Exro's talented team of engineers to make our electric buses, equipped with their intelligent power optimization systems, synonymous with North American public transit."
"Exro is thrilled to partner with Vicinity, with its strong foothold in the Canadian bus market, to bring affordable electric buses to North American cities," said Sue Ozdemir, CEO of Exro Technologies. "Our work with Vicinity demonstrates our ability to customize and scale our Coil Drive System to meet heavy-duty bus requirements and meet net-zero manufacturing requirements with our world-class Calgary facility. Together with Vicinity we're optimizing government investments in zero-emissions transportation, providing electric buses that perform better and last longer even in the toughest weather conditions."
Exro is a clean technology company pioneering intelligent control solutions in power electronics to help solve the most challenging problems in electrification. Exro has developed a new class of control technology that expands the capabilities of electric motors, generators, and batteries. Exro enables the application to achieve more with less energy consumed.
Exro's advanced motor control technology, the Coil Driver™, expands the capabilities of electric powertrains by enabling intelligent optimization for efficient energy consumption. Exro is working with many partners from all over the world to bring their technology to the electric mobility industries and beyond.
For more information visit our website at www.exro.com.
To view our Corporate Presentation visit us at www.exro.com/investors. Visit us on social media @exrotech.
This news release contains forward-looking statements and forward-looking information (together, "forward-looking statements") within the meaning of applicable securities laws. All statements, other than statements of historical facts, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as "plans", "expects", "estimates", "intends", "anticipates", "believes" or variations of such words, or statements that certain actions, events or results "may", "could", "would", "might", "will be taken", "occur" or "be achieved". Forward looking statements involve risks, uncertainties and other factors disclosed under the heading "Risk Factors" and elsewhere in the Company's filings with Canadian securities regulators, that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements. Although the Company believes that the assumptions and factors used in preparing these forward-looking statements are reasonable based upon the information currently available to management as of the date hereof, actual results and developments may differ materially from those contemplated by these statements. Readers are therefore cautioned not to place undue reliance on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required by applicable law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
This information is qualified in its entirety by cautionary statements and risk factor disclosure contained in filings made by the Company with the Canadian securities regulators, including the Company's annual information form for the financial year ended December 31, 2021, and financial statements and related MD&A for the financial year ended December 31, 2021, filed with the securities regulatory authorities in certain provinces of Canada and available at www.sedar.com. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.
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