A surprise announcement from Elio Motors, the company developing a three-wheeled vehicle it plans to sell for $6,800. (Or maybe it’s not such a surprise given that we know the company needs cash.)
Friday, Elio announced plans to sell 100 pre-production vehicles built at its plant in Shreveport, LA. The whole idea is to raise money for its continuing R&D efforts as it moves towards mass production. That date has been a moving target that’s now been pushed to 2017.
“Elio Motors is ecstatic to announce that we are taking a major step forward in our development of the Elio,” said Elio Motors founder and CEO Paul Elio. “We now intend to sell the first 100 pre-production vehicles built to one or more fleet customers, rather than use them for internal purposes as previously disclosed in our offering statement filed with the Securities and Exchange Commission. This will help us generate additional revenue, it will allow us to evaluate vehicles under real-world driving conditions and it will allow our supplier team to refine our design.”
Earlier this week, Elio’s announced that Roush would lead engineering efforts to provide a quieter, smoother vehicle ride with a refined driving. The company says despite all of the financial and production challenges it faces, it’s not giving up on bringing the car to market.
“As we have stated in the past, building an ultra-low cost, high efficient vehicle for the masses is not an easy task. It takes solid engineering and supplier partnerships, which we have, and substantial funding, on which we continue to make progress,” Elio said. “We recently had a successful stock offering, which showed there is investment interest and enthusiasm for this project. We raised significant funds, moving us even closer. Our team will keep fighting to get this done. The key is to not quit, and to continue to move forward toward our goal. We have a number of other financial strategies that we are pursuing relentlessly to help get us to our consumer production launch.”
Here are Elio’s recent milestones:
- In November 2015, the company introduced the P5, its fifth generation prototype, featuring a 0.9 liter, 3-cylinder engine designed by IAV specifically for Elio Motors.
- On Jan. 12, Elio Motors announced it will begin building its E-Series of prototype vehicles for testing and engineering purposes.
- On Feb. 12, Elio Motors reached 50,000 reservations for a place in line to buy the vehicle.
- On Feb. 19, Elio Motors became the first organization to raise capital using Regulation A+ and then have its shares publicly traded on the OTCQX Best Market (OTCQX:ELIO).