GreenPower Announces Term Loan Offering

Core Viewpoint - GreenPower Motor Company Inc. is announcing a term loan offering of up to U.S. $2,000,000 to support its operations and production costs, with an interest rate of 12$500,000 is expected to close with initial lenders associated with the CEO and a Director of the company [2]. - The net proceeds from the loan will be allocated towards production costs, supplier payments, payroll, and working capital [2]. Loan Bonus Warrants - As an inducement for the loan, the company will issue non-transferable share purchase warrants to each initial lender, with the number of warrants determined by the loan amount divided by the market price [3]. - Each warrant will allow the holder to purchase one common share at an exercise price not less than the market price on the closing date for a period of 24 months [3]. - For future tranches, the company may issue loan bonus warrants or bonus common shares up to 20% of the loan amount [4]. Regulatory and Compliance - The closing of the loan is subject to corporate and regulatory approvals, including acceptance by the TSX Venture Exchange [5]. - The loan and issuance of loan bonus warrants are considered related party transactions but are exempt from formal valuation and minority approval requirements due to their market capitalization [6]. Company Overview - GreenPower designs, builds, and distributes a range of all-electric medium and heavy-duty vehicles, including transit buses, school buses, and cargo vans [7]. - The company employs a clean-sheet design approach to manufacture zero-emission vehicles and integrates global suppliers for key components [7]. - GreenPower was founded in Vancouver, Canada, and completed its U.S. IPO and NASDAQ listing in August 2020 [8].