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REE Automotive Announces Global Manufacturing Agreement with Leading Automotive Supplier Motherson Group Making Strategic Investment in a $45.35 Million Registered Direct Offering Led By M&G
Motherson is a global engineering and manufacturing specialist and one of the world’s leading automotive suppliers. For FY24, it achieved gross revenue of USD
About this update from Ree Automotive Ltd.
[{"type":"text","content":"Motherson is a global engineering and manufacturing specialist and one of the world’s leading automotive suppliers. For FY24, it achieved gross revenue of USD 17.2 billion1. The group employs over 190,000 people in its 400 facilities spanning across 44 countries.Combining Motherson’s manufacturing expertise and supply chain might with REE’s market-leading software-defined EV product line-up promises to create a dominant new force in the electrified commercial vehicle market globally, allowing REE to provide OEMs and global fleet owners an innovative product portfolio.Motherson will oversee supply chain management, leveraging manufacturing capabilities for components, module integration, REEcorners, and platform assembly to support full vehicle production, including U.S. assembly of P7 electric trucks.With this agreement, REE believes its ability to service customers at scale will materially accelerate. Given the unmet market need, significant order growth is anticipated. In addition to faster revenue, improved unit costs are anticipated, accelerating the road to meaningful free-cash flow generation. REE priced a $45.35 million registered direct offering, led by M&G Investment, REE’s largest shareholder, who invested $20 million; Motherson, who invested $15 million in the round; and Varana Capital, one of REE’s earliest investors; who invested $5.25 million.Motherson will nominate a member to join REE’s board of directors. TEL-AVIV, Israel and NOIDA, India, Sept. 16, 2024 (GLOBE NEWSWIRE) -- REE Automotive (NASDAQ: REE), an automotive technology company and provider of full by-wire electric trucks and platforms, and Motherson Group (IN: MOTHERSON), an engineering and manufacturing specialist and a major supplier to the automotive industry with long standing relationships with global OEMs such as Mercedes Benz, Audi, Volkswagen, Suzuki, BMW, Porsche, GM, Ford, Stellantis, Daimler Trucks, Paccar and John Deere today announced a strategic agreement. Pursuant to the agreement, Motherson will manage sourcing and supply chain of all production parts and support the assembly of the REEcorner® and REE P7 electric trucks, the first full by-wire, software-driven certified medium duty electric truck available on the market today. Motherson will also nominate a director to join REE’s board of directors. In addition, REE has entered into defi...