Envirotech Vehicles Announces Letter of Intent to Acquire Battery Manufacturer ProGreens New Energy Technology Co.Ltd
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Envirotech Vehicles Announces Letter of Intent to Acquire Battery Manufacturer ProGreens New Energy Technology Co.Ltd

Thursday, September 16, 2021 6:00 AM
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Envirotech Vehicles, Inc
  • Acquisition Uniquely Positions Envirotech With In-House, State-of-The-Art Battery Manufacturing Capabilities
  • Represents Key Step Toward Becoming a Fully Integrated Manufacturer of Small to Medium Sized Electric Trucks

CORONA, CA / ACCESSWIRE / September 16, 2021 / Envirotech Vehicles, Inc. (OTCQB:ADOM), a provider of new zero-emission, purpose-built electric vehicles (the "Company"), today announced the signing of a letter of intent to purchase ProGreens New Energy Technology Co. Ltd. ("Progreens")

ProGreens is a battery manufacturer committed to the development, production, sale, and service of battery systems for innovative and high-tech companies across the globe. They offer several battery packs and systems capable of powering a broad range of vehicles from electric buses and cars to motorcycles and scooters, as well as an energy storage system that allows for the conversion and storage of unused electrical energy.

Benefits of the acquisition include:

  • Uniquely positions Envirotech with in-house battery manufacturing capabilities
  • Acquisition expected to drive significant cost synergies and reduce vehicle cost
  • Key step in Envirotech's longer-term strategy to become a fully integrated EV manufacturer
  • Acquisition provides access to contiguous high growth energy storage systems (ESS) market opportunity
  • Strengthens management team with the addition of over 10 years of combined battery industry experience as well as an engineering and manufacturing team

Phillip Oldridge, CEO of Envirotech Vehicles, commented, "This is a transformational acquisition for Envirotech, uniquely positioning us as one of the few EV companies with in-house battery manufacturing capabilities. I personally have worked with ProGreens for many years and relied on them as a trusted and innovative battery supplier. Batteries comprise a large portion of the overall cost of an electric vehicle; with this acquisition, we will be better positioned to drive down vehicle cost over the long term while simultaneously maximizing quality. Furthermore, this acquisition is a key next step in our broader strategy to become a fully integrated manufacturer of small to medium-sized EV vehicles. To that end, we are actively evaluating manufacturing facilities in the U.S."

Mr. Oldridge continued, "In addition to providing batteries for our vehicles as we scale, ProGreens also offers state-of-the-art energy storage systems (ESS). ESS is a quickly growing multi-billion-dollar market with applications including EV charging stations or energy backup for commercial and residential solar. This will be an exciting contiguous market opportunity for us."

Mr. Oldridge concluded, "Over the past year, Envirotech has gone through a major turnaround in which we have repositioned the business as a leader in the small to medium size EV vehicle space. We have established multiple Factory Authorized Representative agreements and are seeing our pipeline expand considerably as Envirotech builds recognition in the marketplace. This acquisition is a key step as we drive revenue growth and evolve to become a fully integrated manufacturer to optimally support the demand we are seeing."

George Tao, CEO of ProGreens, stated "We are very excited to be expanding our partnership with Phil and the Envirotech team and to participate more directly in their growth and success that benefits our team as well. The prospect of transferring our technology and leadership in the battery industry into the US and integrating it in Envirotech's planned manufacturing facility is very rewarding, and we look forward to completing the transaction quickly."

Completion of the acquisition is subject to the completion of a due diligence review, the negotiation and execution of a definitive purchase agreement, approval by Envirotech Vehicles' Board of Directors and third-party approvals.

About Envirotech Vehicles

Envirotech Vehicles, Inc. is a provider of purpose-built zero-emission electric vehicles focused on reducing the total cost of vehicle ownership and helping fleet operators unlock the benefits of green technology. We serve commercial and last-mile fleets, school districts, public and private transportation service companies and colleges and universities to meet the increasing demand for heavy duty electric vehicles. Our vehicles address the challenges of traditional fuel price cost instability and local, state and federal environmental regulatory compliance. For more information visit www.EVTVUSA.com.

Cautionary Statement Regarding Forward-Looking Statements

Statements made in this press release that relate to future plans, events, financial results, prospects or performance are forward-looking statements. While they are based on the current expectations and beliefs of management, such forward-looking statements are subject to a number of risks, uncertainties, assumptions and other factors that could cause actual results to differ materially from the expectations expressed in this press release, including the risks and uncertainties disclosed in reports filed by Envirotech Vehicles, Inc. (formerly known as ADOMANI, Inc.) with the Securities and Exchange Commission, all of which are available online at www.sec.gov. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including statements containing the words "planned," "expected," "believes," "strategy," "opportunity," "anticipated," "outlook," "designed," and similar words. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Except as required by law, Envirotech Vehicles undertakes no obligation to update or revise any forward-looking statements to reflect new information, changed circumstances or unanticipated events.

Contact Information

IMS Investor Relations
John Nesbett/Jennifer Belodeau
Telephone: 203.972.9200
Email: [email protected]

Envirotech Vehicles
Michael K. Menerey, Chief Financial Officer
Telephone: (951) 407-9860 ext. 1205
Email: [email protected]

SOURCE: Envirotech Vehicles, Inc

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