Hello, welcome to the Ideanomics and VIA Motors shareholder call. If anyone require operator assistance, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Tony Sklar, Vice President of Communications and Head of Investor Relations. Please go ahead, sir. Thank you very much, operator, good morning, good evening, and good afternoon, depending on where you are logging in from today. Thank you very much to all the participants on the call. With the Ideanomics acquisition of VIA Motors now concluded, we propose this call to give an update to the Ideanomics and VIA Motors management. Joining me, I am pleased to have Mr. Bob Purcell, Chief Executive Officer of VIA Motors, Mr. Alf Poor, Chief Executive Officer of Ideanomics, Mr. Robin Mackie, Chief Operating Officer of Ideanomics Mobility, and thank you very much, Robin. Congratulations on that announcement today. A webcast of today's call will be prepared and available on our corporate website for a minimum of 30 days. As a reminder, this conference call is being recorded. Before we begin, it's important to point out that this discussion will contain forward-looking statements with respect to the transaction, including statements regarding the benefits of the transaction, the expected consideration, and anticipated timings. Forward-looking statements, by their nature, are subject to risks and uncertainties. You are cautioned not to put any undue reliance on forward-looking statements. In addition, other risks are more fully described in the Ideanomics periodic filings with the U.S. Securities and Exchange Commission and can be viewed at www.sec.gov. As previously announced on January 26th, 2023, Ideanomics completed an all-stock transaction for 100% ownership stake in VIA Motors. The format of today's call will be as follows. Mr. Alf Poor, CEO of Ideanomics, will give a general background on the deal. Mr. Bob Purcell, CEO of VIA, will give an update on VIA Motors. Robin Mackie, Chief Operating Officer of Ideanomics, will speak to how VIA Motors will fit into the Ideanomics Mobility. If time permits, management will take a few questions at the end. I am now very excited to hand the conversation over to Mr. Alf Poor, CEO of Ideanomics. Thank you, Tony. Welcome to everyone joining our call today. I'm pleased to speak with you about VIA Motors finally joining the Ideanomics family in a share-based transaction. I believe I speak for both the Ideanomics and VIA teams when I say we are extremely grateful for everyone that assisted in bringing our companies together. This is the result of over two years of discussions and planning since we first met with Bob and the team. Bringing VIA into the Ideanomics family presents significant revenue generation potential to Ideanomics and our shareholders, which now includes those who were previously shareholders of VIA Motors. Having VIA on board helps us unlock the true value of Ideanomics and leaves us better positioned to deliver on our mission, which is accelerating the commercial adoption of electric vehicles through targeting the fast-growing commercial EV delivery sector. BloombergNEF projects that more than 1 million battery electric light and medium commercial vehicles will be on the road in the U.S. by 2030. We believe these estimates are conservative, nevertheless, my goal is to make sure as many of these vehicles as possible are VIA vans and trucks utilizing Ideanomics charging solutions. What happens next? Ideanomics will support VIA's move towards production of their VTRUX portfolio of Class 2 to 5 trucks, vans, and its VDRIVE proprietary skateboards. This will enable VIA to confidently pursue interested customers, who in turn can provide VIA with the firm orders that will drive revenue growth. Combining VIA's electric work trucks with our turnkey charging and financing solutions is exactly what fleet operators want. An integrated EV and charging solution that makes electrification fast, easy, and affordable. Via provides a unique offering to the world of commercial electric vehicles with several key advantages over vehicles in the same class. We think that combining that with the Ideanomics solutions makes for an even more complete and attractive offering for customers. Together, Ideanomics and Via are well-positioned to translate strong upfront customer interest into sales. Over the last year, Ideanomics support to Via enabled initial orders valued at more than $170 million, and the establishment of a co-development partnership with EAVX, a business unit of J.B. Poindexter & Co. We project significant revenue growth for Via once they've started production and begin to scale the availability of their vehicles in market. Underpinning all of this is Via's deep bench of automotive expertise. Via brings a wealth of experience, innovation, and technological expertise that I believe is unparalleled in the EV industry. I'll let Robin discuss more about how VIA Motors fits into Ideanomics strategy moving forward. With that, I'd like to turn the time over to Bob Purcell so he can provide an update about Via. Well, thank you, Alf, and good day to everyone. I'm Bob Purcell, CEO of VIA Motors. Closing this transaction marks a major milestone for all of us. VIA Motors is changing last and mid-mile delivery with innovative and affordable electric commercial vehicles, which have been designed from the ground up to meet the needs of modern fleet operations as drivers. As you can seeI have been in this space for a number of years, and I have never been more excited about what the future holds for us. I also want to speak a little bit about the senior leadership team at VIA Motors. Our management team and our board brings decades of experience from leading vehicle manufacturers. We have all been there and done that. I would like to also share my personal view of our company, VIA Motors. We are a hardworking, experienced team of automotive professionals, practical, no-nonsense car people. We know our stuff, and we always try to do it right. Producing reliable, dependable vehicles designed to meet demanding fleet requirements, delivering cost-effective, sustainable mobility solutions is our mission. VIA Motors has evolved through several generations, accumulating more than 7 million miles of on-road customer experience. We did this to ensure we were producing vehicles that respond to our customers' needs and can be built in a cost-effective manner. Through this effort, we developed VDRIVE, our modular skateboard platform, a highly flexible and scalable platform with a flat load floor that is highly maneuverable and efficient. Our flexible VTRUX chassis architecture operating with this modular platform allows us to accommodate a number of different vehicle classes and battery sizes. Not to mention a full portfolio of vehicle types, including box trucks, walk-in vans, and buses. We've developed a fleet of demo vehicles that have already been in testing and in use with our customers. As Alf mentioned, we have secured an initial order for 2,000 cab chassis with Pegasus, and they have a demo unit already in their garage. Additionally, we've provided a VDRIVE skateboard to EAVX, a Poindexter company, as part of the strategic partnership to develop a Class 2B electric van. Our current roadmap targets started production in the second half of 2024, ramping to full production capacity of 55,000 units by the second half of 2027. This includes both fully assembled vehicles and VDRIVE skateboards. Our manufacturing process is centered around a contract assembly approach that allows us to begin production with a lower upfront CapEx, fast and easy facility start-up, and access to supply chain and experienced labor. This approach helps us avoid the extremely high start-up costs encountered by most new EV entrants in the market, reducing our overall execution risk. Our expected expenditure to start a production is approximately $400 million. This is significantly less than most of the other players in our space. On behalf of the VIA team, I would like to express our excitement in becoming part of the Ideanomics family. With Ideanomics, the VIA product offering becomes much stronger as we leverage Ideanomics charging solutions and financing. Together, we can focus on capitalizing the synergies that create growth and drive returns. We look forward to that continued growth and innovation together. Thank you, Alf. With that, I will hand it over to Robin Mackie. Robin? Thanks very much, Bob. It's a pleasure to be continuing this relationship with you personally. I've enjoyed our interactions over the past 18 months, very fruitful indeed. Thank you, Bob, on a personal note. I'm excited to incorporate VIA Motors proprietary skateboard platform, its proven management team, and its experienced employees into the Ideanomics family. With the addition of VIA Motors to the Ideanomics family, we've added a purpose-built commercial EV platform for customers in the high-growth last mile and mid mile delivery sectors, with the ability to extend the platform to other applications over time, leveraging the inherent flexibility of VIA's modular skateboard and chassis cab configuration. First, I want to remind you why Ideanomics is the right fit for VIA. As part of Ideanomics, Energica, Solectrac, US Hybrid, and WAVE have been transformed from promising startups to leading companies in their respective market segments. Ideanomics saw the potential of these companies, strong management teams, differentiated products and technology, and the potential for significant revenue generation. We've unleashed this potential and will do the same for VIA Motors. How? By focusing on two big goals, scaling the business for production and winning more customers. To achieve this, VIA Motors will be an integral part of our Ideanomics Mobility vertical. The team at VIA Motors knows how to design revolutionary solutions for customers with over 7 million miles of on-road experience with VIA's first generation plug-in hybrid vehicles. Pairing VIA's expertise with Ideanomics Energy and Ideanomics Capital will create a force multiplier, resulting in a stronger, differentiated customer value proposition. Some collaborations are already underway. For example, Ideanomics Design are collaborating with VIA on several new vehicle concepts. Similarly, Ideanomics Digital will support VIA with the development and incorporation of advanced digital solutions that securely allow fleet operators to track their vehicle performance. This is a must in today's market. Opportunities I'm looking forward to in the longer term include the integration of WAVE on the VIA platform and bringing a unified EV and charging product offering to major customers. For example, the combination of VIA electric work trucks and our advanced containerized charging units, underpinned by Ideanomics as-a-service model. Additionally, we will explore potential opportunities to utilize VIA's VDRIVE skateboard with non-competing OEMs. Together, VIA and Ideanomics will prioritize and pursue the highest value customer opportunities. We'll play off each other's strengths. The Ideanomics Energy team will become the charging solution provider of choice for Via, offering Via's customers AC and DC fast charging, wireless charging, and containerized charging solutions. Similarly, Ideanomics Energy will leverage its customer base to create new sales opportunities for Via. Ideanomics Capital will make it possible for deals to happen faster with their as-a-service financing models. We expect these collaborations to create synergistic growth for Via. Ideanomics Energy and Ideanomics Capital creating value for our customers and driving growth for our Ideanomics. The decision to transition to an electric commercial fleet is simply the start of a complex journey for fleet managers as they navigate an increasingly complex process, from vehicle selection to charging infrastructure installation, energy management, and financing to support it all. Ideanomics is ready to become the full service trusted partner that can help customers navigate that journey. With that, I'll hand it back to Alf Poor. Alf? Thank you to both Bob and thank you, Robin. As Robin stated, we are very excited to welcome VIA Motors to the Ideanomics family. With that, we are enthusiastic for what the future holds for the entire Ideanomics family, which already includes exciting EV market leaders such as WAVE, Energica, and Solectrac. We believe that now we have completed this transaction, we are in a position to accelerate our strategic plans and bring tremendous value to customers and shareholders alike. Thank you all for joining the call. I'll now hand this back to Tony Sklar. Thank you so much. This concludes management's prepared remarks. We'll now have a chance to take a few questions. Operator, if you wouldn't mind reminding the audience how they signal their question. Certainly. If you'd like to be placed in the question queue, please press star one at this time. Once again, that's star one to be placed into question queue. One moment, please, while we pull for questions. Our first question today is coming from Andres Sheppard from Cantor Fitzgerald. Your line is now live. Hi. Good morning. Can you guys hear me okay? Yes, we can, Andres. Sure we can. Wonderful. Thank you. Good morning, gentlemen, and congrats on the acquisition. A couple of quick questions from me. Maybe to start off, would you mind just kind of walking us through how you plan on integrating VIA with the charging and with the financing arms? Yes, absolutely. Thank you. Let me start. It's. Okay. Please go ahead. Sorry, Alf, go ahead. No, please go ahead. No, go ahead, please, Alf. After you. After you. Thank you, Andres. All right. That's a great question. We're all eager to make the answers. Yeah, this is, this is obviously a big part of our value proposition. Everything we do and everything VIA Motors has done to date has been done with the voice of the customer. That customer, of course, is fleet operators both nationally and internationally. When we speak to them, we're talking to them about exactly what their needs are. It's become very clear that a proposition to them that includes both the vehicle, the charging systems, and of course, the financing to pay for it for those that don't have a hefty balance sheet, has become an integral part of what is required to unlock revenues in the fleet operator sector. The Inflation Reduction Act is gonna help ease some of that because the fleet operator has been waiting to see, you know, what subsidies, regional and federal government would provide. Really the ability to be able to combine the vehicle, the charging solution, and the financing to pay for it's been the piece that's been missing in the industry. Bringing VIA in gives us that last piece of the puzzle. Of course, we've been marketing our charging systems for the last couple of years to fleets, and we've had some areas of success there. This is really the thing that brings it all together for us and why ourselves and the VIA team have been so excited to get this deal done for the past couple of years. Robin, if you may. One second. Sorry. Yeah. Sorry, Andres. Just to build on that, those comments from Alf. On a technical basis, we have a number of technologies within our energy vertical, including obviously induction charging by WAVE. We've got AC Level 2 through partnerships, and we have DC fast charging, all underpinned by our Ideanomics Telematics Cloud and our Ideanomics Energy cloud, which allow us to present data and manage those assets. We're able to combine those different technologies as appropriate to the needs of a VIA customer. I think the most exciting element is, as I mentioned before, the integration of WAVE's induction charging onto the VIA platform. This is not something that we can take lightly. It will take several months, if not a year or so, to pull this off. We've already started some of the early-stage requirements definition and specification definition with VIA between WAVE and VIA. We're excited to see how this all comes together. Wonderful. Thanks, Alf. Thanks, Robin. That's very helpful, very insightful. Maybe one follow-up is if, could you just remind us, following the acquisition on your capital needs? Do you expect, anticipate to raise additional capital to help fund this acquisition and for VIA to scale up? Just curious if how your capital needs may have changed. Thank you. Yeah, it's a great question. We've effectively been providing Via with capital for around 18 months now. In terms of, you know, day-to-day change, there won't be any difference there because we've obviously been helping them develop the skateboards and build the team and move into the tech center in Detroit, et cetera. Ideanomics has funded that progress. In order to start the ramp up towards the scale for production, we are gonna start likely by stepping into contract manufacturing with a strategic partner with an option as we start to onboard revenues to potentially take that facility over. That hasn't even quite finalized yet. There's still some details to hash out. That's how we're gonna be capital efficient through this process, as Bob could tell you as well. Essentially right now, while our equity is priced as it is, we're going to be looking to wrap up a debt deal and potentially some strategic partner investment as well as a way to capitalize in the near term. Everybody in the EV space, it should be no surprise to anybody on the call, is going to need regular access to capital for the next few years. I think Ideanomics and Via have been among, as Bob mentioned in his remarks, among the most economical. In terms of doing this, we did not step into production facilities early, because frankly, the fleet market was not buying. The fleet market wasn't buying because Inflation Reduction Act hadn't passed in any meaningful way so that, you know, these fleet operators could understand how they were gonna pay for this and what federal grants and subsidies they might get. We'll be looking to lean into debt. We'll be looking to lean into some strategic partner investments in the near term. We couldn't close those conversations without having VIA under the umbrella, so to speak. Now we switch our attention to getting those types of deals done so that we can confidently plan ahead. Whether it's Bob or it's Robin, you know, when we have conversations around capital, you know, what they need is predictability, particularly with the global supply chain and tightness in some areas of supply chain like there is. They need to know the capital is available. We'll be looking on our side, myself, Shane, Tony, you know, we're spearheading, along with Stephen and Paul on the legal and financial side, respectively, those conversations, and we expect to have something wrapped up, very quickly. Wonderful. Thanks very much, Alf. I appreciate all the color. I'll pass it on. Thank you. Thank you. We've reached the end of our question and answer session. I'd like to turn the floor back over to Tony for any further closing comments. Thank you very much, operator. Thank you everybody who attended the call. We have reached the end of our question and answer, and we would like to make sure we urge our listeners. Sorry, a little fumble there. We urge our listeners to refer to the Ideanomics SEC filings for any information that you may need. A PowerPoint and recording of this call will be soon available on the Ideanomics website under the Events section. To be alerted to news and events and other information in a timely manner, we recommend you follow us on social media and explore the websites at www.viamotors.com and www.ideanomics.com. Thank you everybody for participating on this call today. Thank you. That does conclude today's teleconference webcast. You may disconnect your line at this time, and have a wonderful day. We thank you for your participation today.
Loading workspace