Foxconn Investing $170 Million into Lordstown Motors
The world’s largest electronics contract manufacturer, Foxconn, has announced another huge capital investment into Lordstown Motors as it prepares to build electric vehicles (EVs) in Ohio.
Foxconn is set to invest $170 million into Lordstown Motors, purchasing a combination of common stock and new preferred shares, according to a joint statement from the two companies made on Monday (via The Wall Street Journal).
The companies also said that Foxconn and Lordstown would work together on their first EV, though they didn’t add any details about the project.
The news comes after Lordstown ran out of cash last year, offering a low asking price to the Taiwan manufacturer amidst plans to establish a U.S. factory for EVs. The company had thus far only announced plans for one electric pickup truck, the Lordstown Endurance.
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Foxconn purchased Lordstown’s factory in Ohio last year in a $280 million partnership deal, along with $50 million in an equity stake in the EV truck manufacturer.
The new investment marks Lordstown’s most recent cash injection and it coincides with Foxconn’s plans to increase contract manufacturing deals, after the Taipei-based company said it wants to build EVs for Tesla. Foxconn also announced plans to partner with U.S. EV startup Fisker.
In addition to Foxconn’s U.S. EV manufacturing plans, the company also plans to build a factory in Thailand.