Troy-based Electric Last Mile Solutions secures 1,000 binding orders, launches production
Electric Last Mile Solutions Inc., a commercial electric-vehicle startup, launched production on its Urban Delivery van this week and is slated to begin shipping the first units from its Mishawaka, Indiana, plant next week, the Troy-based company said Wednesday.
ELMS is poised to be first-to-market with a commercial Class 1 EV in the U.S. It said it had received a binding purchase order for 1,000 units of the Urban Delivery from a distribution partner, Randy Marion Automotive Group. Production on the Urban Delivery began Monday, and shipments are expected to go out starting Sept. 28.
"From the outset, we stated that our goal was to deliver the first commercial Class 1 EV to the U.S. market, and with the start of production this week we will achieve that milestone," ELMS CEO James Taylor said in a statement.
"This order," he added, "is reflective of the work that we do with our customers and sales channel partners to understand and meet their unique business needs."
Taylor is the former CEO of Workhouse and chief marketing officer of Karma Automotive. He also was president of Cadillac and CEO of Hummer, among many other assignments inside General Motors Co.
With the Urban Delivery, ELMS is targeting customers who want to electrify last-mile delivery, a growing market amid the growth of e-commerce businesses and stricter sustainability targets among fleet operators.
"There is no doubt that the commercial last mile delivery market is demanding electric vehicles and ELMS is leading the charge," Randy Marion, founder and CEO of the automotive group, said in a statement. "Our customers are excited to get their hands on the Urban Delivery vehicle for their many use cases, including e-commerce transportation, utilities, telecommunications and other commercial vehicle applications."
ELMS in June went public via a tie-up with a special-purpose acquisition company and began trading on the NASDAQ under the ticker symbol "ELMS." The company's stock closed up more than 10% to $7.90 per share Wednesday.
The company's stock market debut followed its reverse merger with blank-check company Forum Merger III Corp. Such a deal is an increasingly popular way for startups to go public without going through the traditional process of an initial public offering.
The Urban Delivery targets a range of about 125 miles and costs about $25,000 after an available federal rebate. ELMS in June reported that it had about 45,000 reservations for the Urban Delivery that it would look to convert into orders.
In August, it released its first financial results as a public company. ELMS reported a net loss of $8.6 million and a cash balance of $217.4 million for the second quarter. The company also has announced plans for a second product, an all-electric medium-duty vehicle called Urban Utility.