Workhorse Group Gets Funding for Operations, Truck Deliveries in 2016

Workhorse Group Inc., of Cincinnati, said it will use nearly $12 million from the sale of convertible notes and warrants to fund operations and begin deliveries of trucks to customers in early 2016.

The company also announced a 1-for10 reverse stock split to boost the number of outstanding shares in connection with a proposed listing of its stock on a national securities exchange.

Workhorse manufacturers electric drive systems for medium-duty commercial truck platforms and is developing an unmanned aerial vehicle, or drone, called HorseFly, that can be launched from the roof of a delivery vehile to make package deliveries. The company recently received approval from the Federal Aviation Administration to test the system.

“We appreciate the confidence expressed by existing and new shareholders to provide this funding to our company as we move ahead on our previously stated busienss execution plan,” Workhorse Group CEO Steve Burns said.