Australian commercial EV manufacturer SEA Electric completes US$42 Million equity financing
The SEA-Drive Power System. Images: SEA Electric
Founded in Australia in 2012, SEA Electric Holdings Pty Ltd. (SEA Electric) has become an international success story with its proprietary electric power-system technology (known as SEA-Drive®) now found across the world's urban delivery and distribution fleets.
With products in seven countries including USA, Canada, Australia, New Zealand, Thailand, Indonesia and South Africa, SEA Electric has more than one million miles of independently OEM-tested and in-service operation behind its technology.
This week, SEA Electric announced it has closed initial private placement equity financing for total gross proceeds of approximately US$42 million. The net proceeds from the investment will allow SEA Electric to solidify its position as a market leader in the electrification of commercial vehicles whilst funding its considerable backlog and facilitating more pilot programs with operators.
According to President and Founder Tony Fairweather, the financing allows SEA Electric to accelerate its global sales efforts and further utilize its proprietary Sea-Drive® 120b battery power system, while strengthening the delivery and distribution transportation segment for vehicles that operate in urban and metropolitan areas.
SEA Electric issued approximately 1.1 million Series A Preferred Shares at a price of US $40.1995 per share, convertible into common shares of SEA Electric at the option of subscribers and automatically convert to common shares under certain conditions, including SEA Electric completing a public transaction.
Fairweather stated, “We are very pleased to have completed a heavily oversubscribed equity financing and are excited to welcome aboard a global set of institutional investors as partners. The financing allows SEA Electric to grow our backlog as we explore options to seek a public listing in the United States this year.”
SEA Electric currently partners with commercial vehicle OEMs, dealers, operators and upfitters to deliver a new range of zero-emissions trucks and is on schedule to deliver more than 1,000 electric commercial vehicles this year. The company forecast is to have more than 15,000 vehicles on the road by the end of 2023.
“2021 will see a paradigm shift in the way developed markets facilitate uptake of commercial electric vehicles and the unstoppable momentum will build year-after-year” said Fairweather.
It is a notable achievement that in the face of lacklustre government support for clean technology in Australia, a company like SEA Electric has successfully conquered the international market in eight years. Companies like SEA Electric, Tritium and Evans Electric exemplify the technical and creative capital that exist in Australia that must be nurtured to support jobs, manufacturing and the transition to clean energy technologies.
