Canoo Gets 5,450-Vehicle Order From California Fleet Company

Canoo Gets 5,450-Vehicle Order From California Fleet Company
A rendering of a Zeeba-branded Canoo Lifestyle Delivery Vehicle (Shutterstock)

Electric vehicle startup Canoo Inc., which is moving its headquarters to Bentonville, has announced an agreement for national fleet leasing provider Zeeba Co. Inc. of Los Angeles to purchase 5,450 vehicles.

The initial binding commitment is for 3,000 vehicles through 2024. Zeeba has agreed to buy Canoo's Lifestyle Delivery Vehicles, which provide 120 cubic feet of cargo volume, and Canoo's passenger seat-configured Lifestyle Vehicles to its long-term fleet leasing portfolio.

Zeeba said the vehicles will be used by small and medium-sized businesses for last-mile delivery, ride hailing, food delivery, trade professions and more. The purchase is part of the company's goal to achieve a minimum 50% fleet electrification by the first quarter of 2024. 

The value of the deal wasn't immediately disclosed.

It follows a 4,500-vehicle purchase order for Walmart that was announced in July. That deal with Walmart represents about $300 million in potential revenue for Canoo.

"We have a large committed, growing order book, are finalizing our multi-year allocations for 2023 customer deliveries and will share our manufacturing plan with the broader market shortly," Tony Aquila, CEO of Canoo, said in a news release.

The publicly traded company (Nasdaq: GOEV) has seen its losses widen and cash dwindle over the past two quarters, but Aquila has said it has a sales pipeline worth more than $1 billion.

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