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Edison Motors Announces C$1.5M Crowd Funding Financing in Canada
Merritt, British Columbia, December 18, 2024 - Edison Motors Ltd. (“Edison” or the “Company”) is pleased to announce a non-brokered Crowdfunding financing for Canadian residents. The Company intends to utilize, among other available prospectus exemptions, National Instrument 45-110 Start-Up Crowdfunding Registration and Prospectus Exemptions. The maximum allowable funding amount under 45-110 is CAD$1.5 million.
The Crowdfunding financing is in addition to the previously announced non-brokered financings announced on October 18, 2024, however, is inclusive of a total offering by the Company of up to 500,000 common shares of the Company (Common Shares) issued at a price of CAD$55 per Common Share for gross proceeds of up to $27.5 million CAD (the “Offering”). Assuming the total offering is fully subscribed, the post-closing valuation of the Company will be approximately CAD$290 million.
We encourage those potential subscribers who are eligible accredited investors that reside in Canada, to subscribe to our previously announced non-brokered financing in order to allow those who may not be eligible accredited investors who reside in Canada a greater opportunity to subscribe to the Crowdfunding financing which is limited to C$1.5 million.
All participating investors must meet the exemption qualifications to conform with BCSC guidelines and Edison Motors undertaking letter signed on December 19, 2023; this letter can be found on our website.
The net proceeds from the Offering will be used (i) to construct a large production facility in order to build and commission additional prototype vehicles, and (ii) to increase working capital. The Company’s objective is to bring Electric, Hybrid Electric & Diesel Commercial Vehicles Conversion kits into production in 2026.
The total offering, including the Crowdfunding is expected to close on or before February 25, 2025. Compensation will be paid in respect of the Crowdfunding Offering to FrontFundr who has been contracted to manage the financing and private placement subscription agreements through their on-line portal.
The Company is not a reporting issuer in any province or territory in Canada and its securities are not listed on any stock exchange in Canada and there is currently no public market for its securities to be resold. As such, the common shares will be subject to a hold period pursuant to applicable statutory exemptions, until the date that is four months and one day, after the date the Company becomes a Reporting Issuer in any province or territory of Canada (subject to any control person distribution restrictions) in accordance with National Instrument 45-102 – Resale of Securities.
Readers can find additional information about the Company on our website https://www.edisonmotors.ca/investing.
This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful.
About Edison Motors Edison Motors Ltd. is a Canadian company focused on the development and commercialization of electric commercial vehicles and electric conversion kits for existing light, medium and heavy-duty trucks. In 2024, the company successfully tested and licensed its heavy truck production prototype “Topsy”, for use on Canadian public roads. In 2023, Edison built North America’s first EV Plug-in Hybrid commercial semi-truck. Both vehicles were developed and assembled in British Columbia, Canada, where the Company is headquartered.
For further information please contact Eric Little, Co-Founder, at eric.little@edisonmotors.ca
Cautionary Statement: This news release contains “forward-looking information” within the meaning of the applicable Canadian securities legislation that is based on expectations, estimates, projections, and interpretations as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, interpretations, beliefs, plans, projections, objectives, assumptions, future events or performance including in respect of the size and use of proceeds of the Offering, the timing and ability of the Company to close the Offering, if at all and the potential for the development and commercialization of electric commercial vehicles and electric conversion kits for existing light, medium and heavy duty trucks and its objective to bring Electric, Hybrid Electric & Diesel Commercial Vehicles Conversion kits into production in 2026 (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “interpreted”, “management’s view”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information and are intended to identify forward-looking information. This forward-looking information is based on reasonable assumptions and estimates of management of the Company, at the time it was made, involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the companies to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Although the forward-looking information contained in this news release is based upon what management believes, or believed at the time, to be reasonable assumptions, the parties cannot assure shareholders and prospective purchasers of securities that actual results will be consistent with such forward-looking information, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither the Company nor any other person assumes responsibility for the accuracy and completeness of any such forward-looking information. The Company does not undertake, and assumes no obligation, to update or revise any such forward-looking statements or forward-looking information contained herein to reflect new events or circumstances, except as may be required by law.
Details of the offering can be found in the offering documents. This communication is for informational purposes only. Investing in crowdfunding and exempt market offerings has significant risk. Investors may not be able to resell quickly or at all. An exempt market security holder may also receive limited ongoing issuer information. You should invest only if you are prepared not to receive any return on your investment and/or lose your investment in its entirety. FFS will provide advice on the suitability of your investments made through its platform
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