VANCOUVER, BC – June 8, 2025 – GreenPower Motor Company Inc. (NASDAQ: GP) (TSXV: GPV), a key player in the burgeoning electric vehicle market, has just announced the closing of the third tranche of its previously disclosed secured term loan offering. The company, known for its all-electric, purpose-built medium and heavy-duty vehicles targeting cargo delivery, shuttle, transit, and school bus sectors, secured an additional U.S. $300,000 (the “Loans) in this latest financing round, further fueling its expansion plans. Investors can find further details of the term loan offering in the company’s May 13, 2025 news release.
The financing, structured through agreements with entities controlled by the company’s CEO and a Director (the “Lenders“), is earmarked by management to bolster production, settle supplier payments, cover payroll, and fortify working capital. This move underscores GreenPower’s strategic focus on scaling operations to meet accelerating demand in the EV space.
The terms of the loans, secured by a general security agreement on the company’s assets (subordinated to senior debt), include an annual interest rate of 12% commencing on the closing date and extending for a two-year term. These terms reflect the current financial environment and the inherent risks associated with the development and deployment of new technologies in a competitive market.
As part of the loan agreement, the company issued 340,909 non-transferable share purchase warrants to one of the lenders while also issuing 68,181 shares (each a “Loan Bonus Share“) to one of the lenders. This provides the lenders with potential incentives for continued investment in GreenPower. The warrants allow the holder to purchase one common share at U.S. $0.44 per share for a 24-month period. This structure offers a carefully considered approach to reward the lenders.
In accordance with regulatory guidelines (Multilateral Instrument 61-101), the lenders are considered “related parties” and the transactions qualify as “related party transactions”; however, exemptions from formal valuation and minority approval requirements apply, given that the fair market value of the Loans, warrants, and shares does not exceed 25% of the company’s market capitalization. This ensures compliance while facilitating access to crucial capital.
With respect to the initial loan, all securities issued in connection with the Loans will be subject to a statutory hold period lasting four months plus one day, in accordance with applicable securities legislation.
About GreenPower Motor Company Inc.
GreenPower is at the forefront of the electric vehicle revolution, designing and distributing a comprehensive line of all-electric, medium and heavy-duty vehicles. Its product range hits several key markets, covering transit buses, school buses, cargo vans, and cab and chassis models, all aimed at the zero-emission transport sector. The move reflects the company’s commitment to sustainable transportation solutions to help meet the rapidly growing demand.
Based in Vancouver, Canada, with key operations in southern California, GreenPower has been listed on the Toronto Stock Exchange since 2015, followed by a NASDAQ listing in August 2020. The company’s strategy of integrating global suppliers for key components makes GreenPower a nimble player in the industry.
Forward-Looking Statements
This news release contains forward-looking statements under Canadian securities laws, reflecting the company’s current prospects. These statements are based on projections, expectations, and are subject to risks and uncertainties that could affect actual results. Such risks encompass, but aren’t limited to: whether or not loan proceeds can be utilized as intended. For more information, potential investors are encouraged to review documents on SEDAR+ and with the U.S. Securities and Exchange Commission. The company disclaims any responsibility for updating forward-looking statements, except when required by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release. ©2025 GreenPower Motor Company Inc. All rights reserved.
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