Tesla and NatPower Partner on $5 Billion Battery Storage Expansion in Europe 
Trump Requests $11 Billion More in Farm Aid as Rising Costs Pressure U.S. Farmers 
Gold Prices Rise Above $4,000 as Inflation Data and Weaker Dollar Boost Demand 
Iran Attack in Strait of Hormuz Pushes Oil Prices Higher 
Asian Markets Rally as Micron and Qualcomm AI Outlook Lifts Global Tech Stocks 
White House Seeks $87.6 Billion Emergency Funding for Iran War, Farmers, and Ebola Response 
Oil Prices Drop as Strait of Hormuz Shipping Recovers 
Doncasters Raises $919 Million in NYSE IPO as Aerospace Growth Accelerates 
Bayer Wins Major U.S. Supreme Court Roundup Lawsuit, Shares Surge 
Kioxia Targets U.S. Listing as AI Chip Boom Accelerates 
OpenAI IPO Delay Weighs on SoftBank Shares as AI Valuation Concerns Grow 
Cerebras Revenue Forecast Tops Expectations, but Margin Concerns Weigh on Stock 
BOJ Hawk Signals Faster Interest Rate Hikes Amid Inflation Risks 
Oil Prices Rebound as Strait of Hormuz Tensions Return After Ship Attack Near Oman 
Australian Household Spending Rebounds Strongly in May as Travel and Dining Drive Consumer Growth 
Trip.com Shares Tumble After Q1 Profit Drops and Weak Revenue Growth Outlook 
Nike CFO Shake-Up Fuels Concerns Over Turnaround Strategy 
Lordstown Motors announced that it has closed its asset purchase agreement deal with Foxconn, which is also known as Hon Hai Precision Industry Co., Ltd. The American electric vehicle automaker sold its Ohio plant to the Taiwanese electronics firm for $230 million.
It was reported that Lordstown Motors also entered into a joint venture agreement with Foxconn Technology Group for Mobility in Harmony (MIH) based electric vehicle development. The EV maker made the announcement of closing its deal with Foxconn on Wednesday, May 11.
Lordstown Motors and Foxconn’s asset purchase agreement (APA) closing resulted in more or less $260 million in sales to the former. This is said to be in addition to the prior $50 million common stock purchase.
The two companies will also create the MIH EV Design LLC joint venture to develop EVs that will be sold to the market worldwide. This JV has a $100 million investment. Foxconn and Lordswtown Motors will be sharing their expertise and resources for their joint project and scaling up EV adoption.
As per CNBC, the deal to sell the Ohio factory was seen as a critical lifeline for the struggling EV manufacturer. Following the news of the deal, Lordstown’s shares shot up to more than 35% in the after-hours trading, indicating a positive response.
It was reported that Lordstown and Foxconn have until May 18 to complete and formally close their acquisition deal. In case they fail to close by that time, the former will run out of cash which could result in its inability to complete the development of its Endurance electric pickup truck.
"The closing of the Foxconn APA and the completion of a joint venture agreement for the development of new electric vehicles using Foxconn's MIH platform are important milestones for LMC," Lordstown Motors’ chief executive officer, Daniel Ninivaggi, said in a press release.
He added, "Our strategic partnership with Foxconn provides LMC with a flexible and less capital-intensive business model, access to broad supply chain and software capabilities and an effective vehicle development platform to bring EVs to market faster and more efficiently. I have always been a strong believer in what Foxconn is doing to accelerate the adoption of electric vehicles and we are proud to be their partner."
