Electric truck manufacturer Workhorse Group announced on Sept. 18 that it had engaged investment bank B. Riley FBR to sell its SureFly operating unit, which is developing its hybrid-electric SureFly eVTOL. “Now that SureFly is doing hover test flights and has entered into the Type Certification Process with the FAA, we believe it is the ideal time to find a suitable partner or buyer that wishes to lead the eVTOL race,” stated Stephen Burns, CEO of Workhorse. “Finding a suitable partner for SureFly will enable Workhorse to continue focusing on its N-GEN electric delivery truck platform as well as our W-15 Electric Pickup Truck.”



  1. Workhorse is selling Surefly because they are REQUIRED to sell it under the terms of a Loan Agreement with Arosa Capital. The Covenents of the Loan (which securitizes every single crumb of Workhorse property, including IP) includes a requirement to sell the Surefly business for at least $20M by January 6 2019 or face Default.

    What you guys should be asking is: why the original Surefly Note holders demanded repayment in cash for the $5.75M note rather than convert to shares. Really: they could have owned a majority of the Surefly venture for a mere $5M (the $750k was interest for six months) but insisted on repayment the day it was due.

    So what is Surefly really worth?
    After you rip out all the reusable hardware and put it on E-bay, you probably wouldn’t have to spend too much to have somebody pick up and dispose of the carcass. Net, I’m thinkin’ $20k. What’s three orders of magnitude between pals?

    1. This is a pretty harsh viewpoint. Can you provide evidence of these statements?

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