Canoo Delivered Electric Vehicles to Kingbee
- Canoo Inc. secures a binding order for 9,300 vehicles from Kingbee, with an option to increase to 18,600 vehicles
- The delivery is part of a phased ramp-up manufacturing approach in Oklahoma City
- The vehicles are engineered for service workers, optimized for safety, reliability, and comfort, providing a competitive edge for commercial fleet companies
- Kingbee will upfit, custom wrap, and deliver Canoo vehicles as work-ready fleet solutions for companies across the United States
- None.
The strategic partnership between Canoo Inc. and Kingbee represents a significant milestone in the electric vehicle (EV) industry, particularly in the commercial fleet sector. This large-scale adoption of EVs by a national van provider like Kingbee signals a substantial shift in the market towards sustainable transportation solutions. The order for up to 18,600 vehicles, should the option be exercised, has the potential to generate considerable revenue for Canoo Inc. and could lead to increased investor confidence in the company's growth trajectory.
Moreover, the announcement of this deal may serve as a catalyst for other fleet providers to consider transitioning to electric vehicles, thereby expanding the total addressable market for EV manufacturers. It is also indicative of a broader trend in corporate responsibility, where companies are increasingly prioritizing environmental impact in their operational decisions. This deal could have a ripple effect, encouraging more businesses to adopt EVs, thus amplifying the growth of the sector.
From a financial perspective, the binding order for 9,300 vehicles, with the potential to double, is a substantial commitment that could have a positive effect on Canoo's financials and stock valuation. Investors will likely monitor the execution of this order closely, looking for signs of operational efficiency and scalability within Canoo's manufacturing processes. The ability to meet delivery schedules as part of a phased ramp-up approach is crucial in maintaining investor trust and supporting the company's stock price.
Additionally, the long-term nature of the deal provides a level of revenue predictability, which is valuable for financial planning and could lead to improved financial stability for Canoo. It is important to note that the successful fulfillment of such a large order could improve Canoo's bargaining power with suppliers, potentially leading to cost savings through economies of scale. However, investors should also consider the risks associated with scaling production, such as increased capital expenditures and the need for efficient supply chain management.
This collaboration between Canoo and Kingbee underscores the increasing importance of vehicle customization in the commercial fleet market. Kingbee's commitment to upfit and custom wrap Canoo vehicles for their clients demonstrates a growing trend in the industry towards providing tailored solutions that meet specific business needs. It reflects a recognition of the diverse requirements of service workers and the importance of factors such as safety, reliability and comfort in commercial vehicles.
The emphasis on these vehicle attributes by Canoo's CEO highlights the company's focus on differentiating its product in a competitive EV market. By engineering vehicles that cater specifically to the needs of service workers, Canoo is positioning itself as a leader in a niche market segment. This strategy could lead to enhanced brand recognition and loyalty, which are critical factors for success in the automotive industry.
Delivery part of 9,300-vehicle binding order for a national van provider
Justin, Texas, Jan. 17, 2024 (GLOBE NEWSWIRE) --
Canoo Inc. (NASDAQ: GOEV), a leading high-tech advanced mobility company, today announced Kingbee, a national work-ready van provider, will begin using Canoo LDV 130 vehicles in its fleet.
Canoo delivered vehicles to Kingbee consistent with its schedule as part of a phased ramp-up manufacturing approach in Oklahoma City. Additional customer deliveries will be scheduled through 2024.
“We are proud that an increasing number of our vehicles are on the roads of America, and we are looking forward to our vehicles joining Kingbee and its impressive list of customers,” said Tony Aquila, Investor, Executive Chairman, and CEO of Canoo. “Our vehicles are engineered for service workers, and optimized for safety, reliability, and comfort. This is what distinguishes our vehicles and provides a competitive edge for commercial fleet companies.”
As part of the agreement, Kingbee will purchase 9,300 Canoo vehicles with an option to increase to 18,600 vehicles, subject to availability. Kingbee will upfit, custom wrap, and deliver Canoo vehicles as work-ready fleet solutions for companies across the United States.
“We are excited for the opportunity to help fleets transition to electric vehicles. Fleets of all sizes use Kingbee as a flexible option for vehicle acquisition, and we’re honored to be among the first to add Canoo to our EV portfolio,” said Scott Haslam, CEO of Kingbee Vans
About Canoo
Canoo's mission is to bring EVs to Everyone. The company has developed breakthrough electric vehicles that are reinventing the automotive landscape with their pioneering technologies, unique design, and business model that spans multiple owners across the full lifecycle of the vehicle. Canoo designed a modular electric platform that is purpose-built to maximize the vehicle interior space and is customizable for all owners in the vehicle lifecycle, to support a wide range of business and consumer applications. Canoo has teams in California, Texas, Oklahoma, and Michigan. For more information, visit www.canoo.com and investors.canoo.com.
Media Contact:
press@canoo.com
About Kingbee
Kingbee Vans is a work-ready van rental company that focuses on ultimate fleet flexibility. There is no other company that will upfit, wrap and deliver fleet vans across the country on a month-to-month contract. Kingbee’s roots are in commercial vehicle upfitting. For the last 10 years the company has operated an upfitting business focusing on work vans and light duty trucks. With the addition of the vehicle wrap shop in 2019, the wrap team can turn out 14 fully or 30+ partially wrapped vans every day. Learn more at kingbee-vans.com.
Media Contact:
Tanner Lee
tanner@lowfivesonly.com
Forward-Looking Statements
The information in this press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Forward- looking statements may be identified by the use of words such as "estimate," "plan," "project," "forecast," "intend," "will," "expect," "anticipate," "believe," "seek," "target" or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding estimates and forecasts of financial and performance metrics, expectations and timing related to commercial product launches and the achievement of operational milestones, including the ability to meet and/or accelerate anticipated production timelines, Canoo's ability to capitalize on commercial opportunities, current or anticipated customer orders, and expectations regarding the development of facilities. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of Canoo's management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of Canoo. These forward-looking statements are subject to a number of risks and uncertainties, including changes in domestic and foreign business, market, financial, political and legal conditions; Canoo's ability to access future capital, via debt or equity markets, or other sources; the rollout of Canoo's business and the timing of expected business milestones and commercial launch; future market adoption of Canoo's offerings; risks related to Canoo's go-to-market strategy and manufacturing strategy; the effects of competition on Canoo's future business, and those factors discussed under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Canoo's Annual Report on Form 10-K for the fiscal year ended December 31, 2022 filed with the U.S. Securities and Exchange Commission (the "SEC") on March 30, 2023, as well as its past and future Quarterly Reports on Form 10-Q and other filings with the SEC, copies of which may be obtained by visiting Canoo's Investors Relations website at investors.canoo.com or the SEC's website at www.sec.gov. If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that Canoo does not presently know or that Canoo currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect Canoo's expectations, plans or forecasts of future events and views as of the date of this press release. Canoo anticipates that subsequent events and developments will cause Canoo's assessments to change.
However, while Canoo may elect to update these forward-looking statements at some point in the future, Canoo specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing Canoo's assessments as of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.
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