ElectraMeccanica, former maker of three-wheeled electrical automobiles, stated on Wednesday that it has “terminated” its plan to merge with Tevva, which makes hydrogen-electric vans (not sandals).
ElectraMeccanica stated its board determined unanimously to bin the deal over “a number of incurable breaches of the settlement by Tevva.” The alleged breaches embody “failures by Tevva” to share “materials data” with ElectraMeccanica, the latter agency stated.
What materials data? A spokesperson for ElectraMeccanica declined to elaborate in an e mail to TechCrunch.
Tevva’s spokesperson instructed TechCrunch that it’s “deeply upset by ElectraMeccanica’s abrupt choice.” Additionally they declined to elaborate additional.
Cryptically, ElectraMeccanica’s press launch stated the board’s choice was “primarily based on extra data that got here to gentle.” It added that ElectraMeccanica would “discover all authorized recourse out there to it” to get better money it had lent out.
In August, ElectraMeccanica stated it could lend $6 million in working capital to the U.Ok. truck maker. Their merger was introduced that month, following a rocky 12 months for ElectraMeccanica. Throughout that point, the automaker recalled all of its teeny-tiny automobiles, after which pivoted away from the three-wheeler market completely.
After the businesses introduced the merger, ElectraMeccanica CEO Susan Docherty stated the corporations’ operations would complement one another. The manager cited Tevva’s “expertise within the U.Ok. and EU” and its “commercially prepared merchandise and important buyer record” as upsides to the merger.
ElectraMeccanica’s assertion right this moment added that it “intends to proceed exploring different strategic third-party alternatives.”