|3 Months Ended|
Mar. 31, 2023
|Subsequent Events [Abstract]|
|Subsequent Events||Subsequent Events
OKC Manufacturing Facility
On November 9, 2022, the Company entered into a Purchase and Sale Agreement ("PSA") with Terex USA, LLC ("Terex") for the purchase of approximately 630,000 square foot vehicle manufacturing facility on approximately 121 acres in Oklahoma City, Oklahoma. The purchase price for the facility is $34.2 million. On April 7, 2023, pursuant to the assignment of real estate purchase agreement, the Company assigned the right to purchase the property to I-40 Partners, a special purpose vehicle managed by entities affiliated with Mr. Tony Aquila, the Company’s Executive Chairman and CEO. The Company then entered into a lease agreement with I-40 Partners commencing April 7, 2023. The lease term is approximately ten years and the minimum aggregate lease payment over the initial term is expected to be approximately $44.3 million, which includes an equity portion.
Exercise of Yorkville Warrants
On April 24, 2023, Yorkville exercised the right to purchase 23.8 million shares of Common Stock at a price of $0.62 per share, for gross cash proceeds of $14.8 million.
Yorkville Convertible Debenture
On April 24, 2023, the Company, entered into a securities purchase agreement with Yorkville, in connection with the issuance and sale by the Company of convertible debentures in an aggregate principal amount of $48.0 million. The Convertible Debentures bear interest at a rate of 1.0% per annum, subject to increase to 15.0% per annum upon the occurrence of certain events of default, and will mature on June 24, 2024, unless earlier converted or redeemed. The Convertible Debentures have an original issue discount of 6.0% resulting in gross proceeds to the Company before expenses of $45.1 million.
The Company has analyzed its operations subsequent to March 31, 2023, through the date these financial statements were issued and has determined that it does not have any additional material subsequent events to disclose.
The entire disclosure for significant events or transactions that occurred after the balance sheet date through the date the financial statements were issued or the date the financial statements were available to be issued. Examples include: the sale of a capital stock issue, purchase of a business, settlement of litigation, catastrophic loss, significant foreign exchange rate changes, loans to insiders or affiliates, and transactions not in the ordinary course of business.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef