Electric-truck maker Lordstown Motors is becoming a publicly traded company in a deal that will add $675 million to its coffers and boost its valuation to $1.6 billion.
This transaction includes a $500 million fully committed private investment in public equity (PIPE), which includes $75 million of investments by General Motors, Lordstown Motors said.
The company, which bought GM's former massive Lordstown Assembly plant in Ohio last year, said it is merging with DiamondPeak Holdings Corp. DiamondPeak is a special purpose acquisition company and this merger will result in Lordstown Motors becoming a publicly listed company.
Burns said he will start hiring 600 workers next year to build the first 20,000 Endurance pickups.
Then, starting in 2022, Burns will hire more people to build other all-electric vehicles, such as SUVs and a midsize pickup.
“We didn’t buy a mass volume plant like this and not plan to fill it up," Burns said. "This is a gem of a building built for volume manufacturing."
Burns expects to employ 4,000 to 5,000 people in the plant in the near future based on demand for electric vehicles, adding, "We think the electric pickup is the new normal.”