Workhorse Secures $25 Million Financing: N-GEN Coming In Q4 2019

Workhorse CEO: “We now have all necessary pieces in place to bridge Workhorse into full-scale N-GEN production”

Workhorse Group announced a private offering with a group of institutional investors, which resulted in $25 million of additional financing.

According to the press release, the proceeds will allow the company to complete the development of an all-electric N-GEN commercial delivery van and start production in Q4 2019.

“The closing with respect to approximately $15,000,000 occurred on May 31, 2019, and the balance of approximately $10,000,000 will close today, June 10, 2019. The proceeds will be used for general working capital and research and development, allowing the company to focus on finalizing the R&D associated with the N-GEN followed by production of the existing contracted backlog.”

Workhorse

Company CEO Duane Hughes said:

“This funding provides Workhorse with sufficient capital to fully deliver on our existing backlog and will enable us to make significant strides in our strategic vision of being a leader in the electric last mile delivery space. We now have all necessary pieces in place to bridge Workhorse into full-scale N-GEN production and are looking forward to commencing the manufacturing process, in earnest, during the fourth quarter of this year.”

Manufacturing of the N-GEN will take place at the Workhorse’s Union City, IN plant in partnership with Prefix Corporation.

Currently, Workhorse doesn’t say much about the N-GEN on its website, besides:

NGEN-1000 is the future of delivery vehicles.

• A lightweight, all-electric delivery vehicle with a 5,600 lb. curb weight
• It weighs less than half the weight of a diesel step-van while still offering 1,000 of storage space
• Built with composites, and a 100-mile range, it’s expected to be more economical than traditional delivery vehicles
• Its 6,500 lb. carrying capacity is robust enough for heavy loads
• Its low floor, with 7.25” ground clearance, makes access easier and faster making it more
• An ergonomic driving position that comfortably fits drivers from 5’2” to 6’5”
• Soon to be available in four cargo sizes: 450, 650, 1,000, and 1,200 cubic feet

So far there is no news also on the talks with GM about the purchase of the Lordstown Complex in Lordstown, Ohio.

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