Arcimoto, Inc. announced that it expects to receive $6.7725 million in funding
August 14, 2023
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Arcimoto, Inc. announced that it has entered into a securities purchase agreement to issue 8,466 series D convertible preferred shares at a price of $800 per share and warrant at the price of $800 per share for the gross proceeds of $6.7725 million on August 15, 2023. The preferred shares have a coupon rate of 8% and are convertible into an aggregate of 1,760,298 shares of the common stock of the company at a conversion price of $1.20 and warrants to purchase up to an aggregate of 14,110,417 shares of common stock at an exercisable price of $1.50 per share, will be exercisable upon the earlier of six months from the first closing date or the date that the company has received shareholder approval of the transaction. As a part of the transaction, the company will pay $0.4725 as placement agent fees and expenses and estimated offering expenses payable by the company.
On the same date, the company received $4.515 million in its first tranche closing. The second closing of the transaction for $2.2575 million will occur after the date that the company has received shareholder approval.
Arcimoto, Inc. is engaged in the design, development, manufacturing, and sales of electric vehicles. The Company has introduced six vehicle products built on the first Arcimoto platform that target specific niches in the vehicle market. Its flagship product, the Fun Utility Vehicle (FUV), for everyday consumer trips; the Deliverator for last-mile delivery and general fleet utility; the Rapid Responder for emergency services and security; the Cameo for film, sports and influencers; the Arcimoto Roadster, an unparalleled electric on-road thrill machine; and the Flatbed, the Company's solution for a right sized pickup truck. The Company introduced a second vehicle platform prototype, and the first product concept on that platform, a class III e-trike codenamed the Mean Lean Machine. The Company is also selling their TRiO motorcycle upgrade kit through Tilting Motor Works, Inc., which transforms a traditional two-wheeled motorcycle into a leaning three-wheeled motorcycle.