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Fledgling electric vehicle developer Xos Trucks Inc. completed a new round of financing, raising $20 million from a group of investors that include Proeza Ventures, a mobility-focused venture capital firm, and BUILD Capital Group.
Los Angeles-based Xos said Aug. 18 that it will use the money to scale production of its X-Platform, a chassis system that Loomis is piloting as an armored truck and UPS Inc. is using to test electric delivery trucks.
Xos designed the platform for use with multiple configurations of medium-duty bodies and wheelbases. The vehicles have a range of up to 200 miles, depending on their configuration and weight.
“We’re excited to continue growing our operations,” Xos co-founder and CEO Dakota Semler said in statement. “It’s our goal to provide reliable, affordable and sustainable transportation as the volume of e-commerce demands are increasing, and have accelerated during the pandemic.”
An electric truck from Xos Trucks provided to UPS. (Xos Trucks Inc.)
Two of the funders will place representatives on Xos’ board of directors as part of the financing. The new members are Rodolfo Elias Dieck, managing director of Proeza Ventures, and Mark Lampert of BUILD Capital Group and former Daimler Trucks North America senior vice president of sales and marketing.
Proeza is an affiliate of Metalsa, an auto and truck frame supplier. Xos said the investment includes Metalsa’s contribution in the design of the X-Platform and that it is providing components for the chassis.
“We’ve been impressed with what the Xos team has been able to achieve in such a short amount of time and with limited funding,” Elias Dieck said. “They have designed and engineered a proprietary, reliable and affordable electric solution for commercial fleets.”
Giordano Sordoni, Xos co-founder and chief operating officer, said the company is gaining orders on a monthly basis and is “excited to meet the overwhelming demand for both our medium-duty and heavy-duty trucks.”
Connectivity is changing trucking today and into the future, including how it could enable electric and self-driving trucks. Host Seth Clevenger talks with two experts from Penske Transportation Solutions, Bill Combs and Samantha Thompson. Hear a snippet, above, and get the full program by going to RoadSigns.TTNews.com.
The new funding is critical to the company’s ability to scale production, he said.
Xos expects business to grow as shippers and freight haulers work to meet stringent California environmental regulations. California is requiring more than half of all commercial trucks sold in the state to be zero-emission by 2035, and all trucks by 2045.
But it has plenty of competition from other startups such as Rivian — it has an Amazon order for 100,000 electric delivery vans — and incumbent manufacturers such as Daimler and Volvo that also are launching electric trucks.
Xos also named Kingsley Afemikhe chief financial officer. Rob Ferber, Tesla Inc.’s former science director, was appointed chief technology officer.
Xos changed its name from Thor Trucks a year ago because of a copyright dispute with a recreational vehicle maker.
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