GreenPower secures up to $18 million preferred share financing

GreenPower Motor Company Inc. (NASDAQ: GP) announced it has entered into a Securities Purchase Agreement for the issuance of up to $18 million of Series A Convertible Preferred Shares through a facility with an institutional investor.

The company has issued an initial tranche consisting of 754 Series A Convertible Preferred Shares through a public offering and 425 shares in a concurrent private placement, with a combined stated value of $1,179,000 and purchase price of $1,120,050. A follow-on tranche of 926 shares carries a stated value of $926,000 and purchase price of $879,700.

The institutional investor has the right to acquire additional Series A Convertible Preferred Shares in tranches of up to $2 million, subject to certain terms and conditions, to a total of up to $16 million. The Series A Convertible Preferred Shares carry a dividend rate of 9% per annum.

Each preferred share is convertible into common shares at 105% of the stated amount and are convertible at 125% of the closing price of GreenPower's common shares on NASDAQ on the day prior to issuance, subject to adjustment provisions.

The public offering was conducted under a shelf registration statement on Form F-3 filed with the Securities and Exchange Commission on December 21, 2023, and declared effective on February 2, 2024.

GreenPower will pay a cash placement fee equal to 5% of the cash proceeds to Digital Offering LLC pursuant to an engagement letter dated October 29, 2025.

The Vancouver-based company manufactures and distributes all-electric medium and heavy-duty vehicles serving cargo and delivery, shuttle and transit, and school bus sectors.

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