Benzinga | Dec 15, 2021 04:31PM EST

UPDATE: Canoo & VDL Groep Explore Partnership That Will Exclude VDL Nedcar

Canoo Inc. (NASDAQ GOEV) and VDL Groep B.V. today announced that the two companies are exploring opportunities to partner together.

"We appreciate the months of effort VDL Nedcar invested to provide us with a contract manufacturing option, but we have concluded that building in America is better aligned with our mission and current focus to invest in the communities and states that are investing in hi-tech manufacturing alongside us, creating American jobs and innovation. The support from Oklahoma and Arkansas will allow us to achieve SOP earlier and with less risk on many fronts," said Tony Aquila, Investor, Chairman & CEO at Canoo. "While we decided not to move forward with VDL Nedcar, we also concluded that VDL Groep and the van der Leegte family are the people we want to explore a continuing partnership with as we evaluate the best way and timing to expand Canoo into Europe with less risk and take advantage of advanced manufacturing technologies."

"We look forward to continuing our relationship with Tony and the Canoo team, as we explore new opportunities together," said Willem van der Leegte, President & CEO. "We see electric vehicles as a significant economic driver. We are pleased to invest in Canoo and look forward to a long and mutually beneficial relationship."

The companies have ceased contract manufacturing discussions, which will better facilitate Canoo's ability to utilize the incentives from Oklahoma and Arkansas. In addition, VDL Nedcar will return Canoo's prepayment of $30.4 million USD / (euro)25 million EURO. To underline the new relationship VDL Groep will also purchase $8.4 million USD / (euro)7.5 million EURO of Canoo stock.