Lion Electric (LEV) closes financing transactions after raising $142M

Medium and heavy-duty electric automaker, Lion Electric (NYSE: LEV) announced Wednesday that the Canadian-based car company has closed previously announced financing transactions. The transactions resulted in aggregate gross proceeds to the Company of approximately $142 million.

According to Lion Electric, the financings include the issuance of US$74 million in senior unsecured convertible debentures to a group of subscribers including Investissement Quebec, Fonds de solidarite des travailleurs du Quebec and Fondaction.

Lion Electric also issued $90 million in senior secured non-convertible debentures to a group spearheaded by Mach Group and supported by the Mirella and Lino Saputo Foundation. Furthermore, the company issued 22.5 million common share purchase warrants, exercisable at $2.81 per share.

The Company intends to utilize the net proceeds to support its working capital, enhance its financial standing, and enable the ongoing pursuit of its growth strategy. This includes funding the Company's capacity expansion initiatives in Mirabel, Quebec and Joliet, Illinois.

Shares of LEV are up 2.05% in afternoon trading on Wednesday.

By Michael Elkins | [email protected]

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