Offering results in Gross Proceeds of
US$50 Million to Lion Electric
This news release constitutes a "designated
news release" for the purposes of the Company's prospectus
supplement dated June 17, 2022 to its short form base shelf
prospectus dated June 17,
2022.
MONTREAL, Dec. 16,
2022 /CNW Telbec/ - The Lion Electric Company (NYSE:
LEV) (TSX: LEV) ("Lion" or the "Company"), a leading
manufacturer of all-electric medium and heavy-duty urban vehicles,
today announced that it has closed its previously announced
marketed public offering of units (the "Units") in the United States and Canada (the "Offering"). The Company issued
19,685,040 Units at a price of US$2.54 per Unit for aggregate gross proceeds to
the Company of approximately US$50 million.
Each Unit consists of one common share in the capital of the
Company (each a "Unit Share") and one common share purchase warrant
(each a "Warrant"). Each whole Warrant entitles the holder thereof
to acquire one common share in the capital of the Company (each a
"Warrant Share") at an exercise price of US$2.80 per Warrant Share for a period of five
(5) years following the closing of the Offering.
The Company is also pleased to announce that it has received
approval to list the Warrants on the New York Stock Exchange
("NYSE") and the Toronto Stock Exchange ("TSX"). The Warrants
commenced trading under the ticker symbol LEV.WT.A on the TSX on
December 16, 2022 following closing
of the Offering, and are expected to commence trading on the NYSE
under the symbol LEV WSA on or about December 21, 2022.
B. Riley Securities, Inc. and National Bank Financial Inc. acted
as joint bookrunners for the Offering.
Under the terms of the underwriting agreement, the Company has
granted the Underwriters an over-allotment option, exercisable for
a period of 30 days from the date of the closing of the Offering,
to purchase up to 2,952,755 additional Units at a price of
US$2.54 per Unit, representing in the
aggregate 15% of the total number of Units sold pursuant to the
Offering.
Power Sustainable Capital Inc., through its wholly-owned
subsidiary Power Energy Corporation, purchased 9,842,519 Units at
the offering price representing an aggregate purchase price of
approximately US$25 million.
The Company intends to use the net proceeds of the
Offering to strengthen its financial position, and allow it to
continue to pursue its growth strategy, including the Company's
capacity expansion projects in Joliet,
Illinois and Mirabel,
Québec.
No securities regulatory authority has either approved or
disapproved the contents of this press release. This press release
shall not constitute an offer to sell or the solicitation of an
offer to buy nor shall there be any sale of the Units in any
province, state or jurisdiction in which such offer, solicitation
or sale would be unlawful prior to the registration or
qualification under the securities laws of any such province, state
or jurisdiction.
ABOUT LION ELECTRIC
Lion Electric is an innovative manufacturer of zero-emission
vehicles. The company creates, designs and manufactures
all-electric class 5 to class 8 commercial urban trucks and
all-electric buses and minibuses for the school, paratransit and
mass transit segments. Lion is a North American leader in electric
transportation and designs, builds and assembles many of its
vehicles' components, including chassis, battery packs, truck
cabins and bus bodies.
Always actively seeking new and reliable technologies, Lion
vehicles have unique features that are specifically adapted to its
users and their everyday needs. Lion believes that transitioning to
all-electric vehicles will lead to major improvements in our
society, environment and overall quality of life. Lion shares are
traded on the New York Stock Exchange and the Toronto Stock
Exchange under the symbol LEV.
CAUTION REGARDING FORWARD-LOOKING
STATEMENTS
This press release contains "forward-looking information" and
"forward-looking statements" within the meaning of applicable
securities laws and within the meaning of the United States Private
Securities Litigation Reform Act of 1995 (collectively,
"forward-looking statements"). Any statements contained in this
press release that are not statements of historical fact, including
the listing of the Warrants on the NYSE and the intended use of
proceeds from the Offering, are forward-looking statements and
should be evaluated as such.
Forward-looking statements may be identified by the use of words
such as "believe," "may," "will," "continue," "anticipate,"
"intend," "expect," "should," "would," "could," "plan," "project,"
"potential," "seem," "seek," "future," "target" or other similar
expressions and any other statements that predict or indicate
future events or trends or that are not statements of historical
matters, although not all forward-looking statements may contain
such identifying words. Such forward-looking statements are based
on a number of estimates and assumptions that the Company believes
are reasonable when made and inherently involve numerous risks and
uncertainties, known and unknown, including economic factors. Such
estimates and assumptions are made by the Company in light of the
experience of management and their perception of historical trends,
current conditions and expected future developments, as well as
other factors believed to be appropriate and reasonable in the
circumstances. However, there can be no assurance that such
estimates and assumptions will prove to be correct. A number of
risks, uncertainties and other factors may cause actual results to
differ materially from the forward-looking statements contained in
this press release, including, among other factors, those risk
factors identified in the offering documents relating to the
Offering and the documents incorporated by reference therein.
Readers are cautioned to consider these and other factors carefully
when making decisions with respect to the Units and not to place
undue reliance on forward-looking statements. Forward-looking
statements contained in this press release are not guarantees of
future performance and, while forward-looking statements are based
on certain assumptions that the Company considers reasonable,
actual events and results could differ materially from those
expressed or implied by forward-looking statements made by the
Company. Readers cannot be assured that the Offering discussed
above will be completed on the terms described above, or at all.
Except as may be expressly required by applicable law, the Company
does not undertake any obligation to update publicly or revise any
such forward-looking statements, whether as a result of new
information, future events or otherwise. All of the forward-looking
statements contained in this press release are expressly qualified
by the foregoing cautionary statements.
SOURCE Lion Electric