ArenaEV.com ArenaEV.com

Facebook

Twitter

Instagram

RSS

Settings
Units
Power
Standard
Consumption
Currency

Log in

Login

I forgot my password
Sign up
ADVERTISEMENTS

Arrival gets a $300 million lifeline

  • Post your comment

Max McDee, 15 March 2023

Arrival

There is hope for Arrival still, the company just announced it has secured a $300 million equity financing from Westwood Capital. At the same time Arrival is calling for an Extraordinary General Meeting of its shareholders with a proposal to enact reverse stock split and reduce capital.

Last few months have been nothing but brutal for the company. It reduced its workforce by 50% with about 800 people losing their jobs. This together with property reductions, should net the company at least $30 million a quarter in savings.

This is the latest deign iteration of the Arrival Van This is the latest deign iteration of the Arrival Van

Arrival agreed to reduce its debt by a staggering $121.9 million and has additional capital commitments of $350 million, which should help the company in achieving its goal of moving the production to the Charlotte factory in the US.

The company now plans to build 10 test vehicles to improve its fully automated production technology. The vehicles will be used as well for public road testing, with a target of 250,000km accumulated by the end of 2023.

Further development of the XL Van specifically designed for the US market with a view of attracting higher profit margins. At the same time Arrival products will qualify for EV tax credits which should make the vehicles more attractive to customers.

It started off as arguably the best looking commercial vehicle on the market It started off as arguably the best looking commercial vehicle on the market

The Van XL production is planned to begin in late 2024, but the company will require additional funding to get the Charlotte factory up and running. Arrival plans to have its quarterly costs slashed down to $35 million, and with the latest funding it has enough cash for the business to continue until at least the end of 2023.

Providing the shareholder meeting goes well, the company should be able to secure its future well into the start of the Van XL production. It has been a long and very bumpy road for the company that started with possibly the best looking commercial vehicle prototype and eventually ended up focusing on the US market.

Source

Related articles
  • Arrival appoints new CEO as it tries to turn its fortunes around Arrival appoints new CEO as it tries to turn its fortunes around
  • Arrival has enough cash to survive only until September next year Arrival has enough cash to survive only until September next year
  • First van from Arrival built at its first Microfactory First van from Arrival built at its first Microfactory
  • Post your comment
Total reader comments: 0

  • Home
  • Compare
  • News
  • Terms
  • Reviews
  • About us
  • Tesla
  • Volkswagen
  • Audi
  • Porsche
  • BMW
  • Mercedes
  • Hyundai
  • Kia
  • Genesis
  • Renault
  • Nissan
  • Ford
  • Volvo
  • Polestar
  • Jaguar
  • Toyota
  • Mazda
  • Mini
  • MG
  • Vinfast
  • Lucid
  • Rivian
  • Cadillac
  • Chevrolet
  • GMC
  • Subaru
  • Nio
  • Xpeng
  • BYD
  • [..]

EV finder

ADVERTISEMENTS

Latest models

  • ModelXiaomi
    YU7 Max
  • ModelNissan
    Leaf 75kWh
  • ModelTesla
    Model S Plaid
  • ModelNissan
    Micra EV 52kWh
  • ModelTesla
    Model X Plaid
  • ModelGenesis
    GV60 Performance AWD

Featured

  • Volvo EX90 alternatives - Mercedes EQS SUV 580 and Tesla Model X LR+ Volvo EX90 alternatives - Mercedes EQS SUV 580 and Tesla Model X LR+
  • Audi Q8 55 e-tron alternatives - BMW iX xDrive50 and Polestar 3 LR Audi Q8 55 e-tron alternatives - BMW iX xDrive50 and Polestar 3 LR
  • 57 electric cars range tested at highway speeds - who wins? PART 2 57 electric cars range tested at highway speeds - who wins? PART 2
  • Have electric cars gone power crazy? Have electric cars gone power crazy?
  • Peugeot e-208 tops 84 cars in ADAC's 2024 Ecotest, Model 3 ranks fourth Peugeot e-208 tops 84 cars in ADAC's 2024 Ecotest, Model 3 ranks fourth
ADVERTISEMENTS

Reviews

  • Hyundai Ioniq 5 N review Hyundai Ioniq 5 N review
  • Which Skoda is better - Enyaq iV or Enyaq Coupe RS iV Which Skoda is better - Enyaq iV or Enyaq Coupe RS iV
  • Peugeot e-3008 GT Electric review Peugeot e-3008 GT Electric review
  • 2024 Hyundai Kona Electric 65.4 kWh review 2024 Hyundai Kona Electric 65.4 kWh review

Home News Compare About us RSS feed Facebook Twitter Instagram

© 2022-2025 ArenaEV.com Mobile version EV Finder Glossary Privacy Terms of use

From the team behind
GSMArena.com