Organization and Business
|6 Months Ended|
Jun. 30, 2022
|Organization, Consolidation and Presentation of Financial Statements [Abstract]|
|Organization and Business||Organization and Business
Canoo Inc. (“Canoo” or the “Company”) is a mobility technology company with a mission to bring electric vehicles ("EVs") to everyone. We have developed a breakthrough EV platform that we believe will enable us to rapidly innovate, and bring new products addressing multiple use cases to market faster than our competition and at a lower cost.
Yorkville Facility I
On May 10, 2022, the Company entered into a Standby Equity Purchase Agreement (the “SEPA”) with YA II PN, Ltd. (“Yorkville”), pursuant to which the Company could sell to Yorkville up to $250.0 million of its shares of Common Stock at the Company’s request any time during the 36 months following the execution of the SEPA. The shares are purchased by Yorkville at a purchase price equal to 97.5% of the market price (as defined in the SEPA). In addition, the Company could also request one or more pre-advance loans (each, a “Pre-Advance Loan”) from Yorkville, pursuant to certain terms and conditions. During the three and six months ended June 30, 2022, the Company issued 14.2 million shares of Common Stock to Yorkville for cash proceeds of $32.5 million with a portion of the shares issued as non-cash stock purchase discount under the SEPA.
On July 20, 2022, in connection with the entry into the Pre-Paid Advance Agreement (the “PPA”) described in Note 15, the Company agreed with Yorkville that it would not request any further purchases of shares of its Common Stock or Pre-Advance Loans under the SEPA while there are any Pre-Paid Advances (as defined below) outstanding under the PPA unless the Common Stock is trading below $1.00 per share. The Company currently intends to terminate the SEPA.
On May 10, 2022, the Company entered into Common Stock Subscription Agreement providing for the purchase of an aggregate of 13.7 million shares (the “PIPE Shares”) of the Company’s Common Stock at a price of $3.65 per PIPE Share (the “Purchase Price”) for an aggregate Purchase Price of $50.0 million (the “Private Placement”). The purchasers of the PIPE Shares (the “Purchasers”) are special purpose vehicles managed by entities affiliated with Mr. Tony Aquila, the Company’s Executive Chairman and Chief Executive Officer. The closing of the Private Placement occurred on May 20, 2022.
No definition available.
The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef