© vladek dreamstime.com General | November 08, 2019
Former GM plant now Lordstown Motors Corp.
General Motors’ shuttered Lordstown plant in Ohio, which closed in March, is now in the hands of an electric truck start-up that is looking to begin production in about a year.
The new ownersꟷLordstown Motors Corpꟷwill begin production of its new truck, called Endurance, by the end of 2020, Reuters is reporting. The company has hired former Tesla exec Rich Schmidt as its chief production officer. Workhorse Group Inc. will have a 10% stake in LMC in exchange for a three-year exclusive license of certain IP relating to the company's W-15 electric pickup truck, a press release stated. While the purchase price was not disclosed, Lordstown CEO Steve Burns told Reuters that the company had been in talks with GM for 10 months and got “a great deal.” He also said the company hopes to roll out pre-production prototypes by April and have an initial workforce of 400 hourly workers. Of the partnership, Burns said in the press release, "Workhorse is the right technology partner for LMC, and this agreement ensures that both parties are positioned, and incentivized, to succeed. Under this structure, both Workhorse and LMC stand to benefit by blending Workhorse's technology with the production capacity of Lordstown Assembly. We, along with Workhorse, remain dedicated to keeping vehicle production in Lordstown. Now, with LMC's acquiring of the Lordstown, Ohio factory, it is time to begin executing on our plan." GM, which is not an investor in LMC, has recently stated its plans for an EV battery plant near Lordstown that could create up to 1000 jobs. Burns also said the company is looking for new strategic investors to raise additional financing, now that the factory acquisition has been made and the management team has been hired.