Motiv Power Systems is expanding its operation thanks to securing a significant $60 million series B in equity funding led by investors GMAG Holdings Corp. and Winnebago.
The cash injection will be used for expansion of Motiv HQ in Foster City, California as well as opening a new engineering and manufacturing facility in Detroit, Michigan to scale up the all-electric chassis Electric Powered Intelligent Chassis (EPIC).
Motiv Power Systems is currently gearing up for growth in the large-fleet customer segment, which means that there might already be some volume orders in the works.
"With this tranche of funding, Motiv will continue its efforts to bring commercial electric vehicles into cost parity with fossil-fueled vehicles without the need for incentives. Establishing an engineering and manufacturing center in Detroit will strengthen its Midwest presence, bring Motiv closer to customers and partners in the region, and enable manufacturing growth through its partners. Further, Motiv will continue its focus on market development, technology innovation, and product differentiation in order to increase electric vehicle adoption throughout the transportation industry."
"The EPIC chassis family features Motiv's proprietary operating software and power electronics on popular Ford chassis, most notably the E-450 and F59. As a Ford partner and Qualified Vehicle Modifier (eQVM) for electric vehicles, Motiv has met Ford's stringent assessment criteria verifying the company meets manufacturing, assembly, workmanship, customer service, and quality requirements. Additionally, the Motiv solution enables a unique, modular approach that safely and reliably controls various battery and hardware technologies. With their Ford eQVM approval, CARB certification, and BMW battery partnership, Motiv has become a recognized leader in all-electric chassis for commercial trucks and buses."
So far, the cumulative mileage of delivered vehicles is at over 750,000 miles, which means that Motiv is still a relatively small company, but the scale of investment clearly suggests the ambition is to sell hundreds if not thousands of vehicles annually.
"Collectively, vehicles powered by Motiv's EPIC chassis have accumulated over 750,000 real-world miles driven by customers such as Aramark, Bimbo Bakeries USA, USPS, the City of Mountain View in the heart of Silicon Valley, over a dozen school districts, and more."
Winnebago and Motiv Power Systems were already partnering on some projects like the all-electric Mobile Healthcare Vehicle - Mobile Lung Unit (eMLU) revealed in 2018.
Matt Gallaher, Chief Financial Officer of GMAG Holdings Corp. said:
"Over the last ten years, Motiv has proven its technology and business model. The commercial transportation industry is on the cusp of significant growth in electrification. We strongly believe in Motiv's technology as well as the management team driving its growth. We are excited to further support them as the company scales to meet the demand of the growing commercial EV market."
Ashis Bhattacharya, Vice President of Business Development, Specialty Vehicles, and Advanced Technology at Winnebago Industries said:
"We are excited to see the first Motiv-equipped vehicle on a Winnebago commercial shell being used by a major hospital system on the West Coast. Our customers are hungry for all-electric mobile solutions developed on our commercial shells, especially in California. We look forward to continuing our collaboration with Motiv and growing the electric commercial segment worldwide."
Matt O'Leary, CEO of Motiv Power Systems said:
"As we have started deploying our products to some of the largest fleet customers in the U.S., we have been looking to expand our workforce and facilities to better support the growing demand we are seeing in the market. With their generous investments, GMAG Holdings and Winnebago are setting Motiv up for success and leadership as the market for commercial EVs approaches an inflection point."