Canoo Announces Deal With Shuttle Service for Up to 550 Vehicles

(Canoo Inc.)

Canoo Inc., the electric vehicle-maker with plans to open offices in Bentonville, announced Prime Time Shuttle of Los Angeles has inked a deal for the purchase of up to 550 Lifestyle Vehicle Premium model electric vehicles from the company.

Prime Time Shuttle offers luxury vehicles and airport transportation shuttles that service the L.A. metropolitan area. It operates in 34 states and has more than 50 million customers and riders since it was founded in 1984, Canoo (Nasdaq: GOEV) said in a news release.

The company will use Canoo electric vehicles initially as shuttles in L.A. and has plans to integrate them into markets outside of California, Canoo said.

“As a pioneer and leader in the luxury and airport transportation niche, we have experience serving passengers and providing value to both our clients and the industry,” Rattan Joea, Prime Time Shuttle CEO, said in a statement. “We’re practitioners of sustainability and have a separate fleet of sustainable vehicles, so Canoo’s LVs fit nicely into our vision of providing differentiated experiences to our clients.”

Canoo did not disclose when the first shipment of vehicles for Prime Time Shuttle would be delivered.

The deal adds to the electric vehicle maker’s $2.8 billion-plus order pipeline, which includes contracts with Walmart Inc. of Bentonville, NASA and the U.S. Department of Defense.

Canoo last week reported a third-quarter loss of $112 million. The company has yet to post a profitable quarter and has been burning through cash since it went public through a special purpose acquisition deal with Hennessy Capital Acquisition Corp. IV in December 2020.

Canoo in September transferred its securities from the Nasdaq to a lower tier of the exchange, the Nasdaq Capital Market, after share prices fell below the $1 minimum required for listing.

As of Monday morning, shares were trading at 34 cents.