We are an all-electric, off-road powersports vehicle company developing and building electric two and four-wheel motorcycles and utility terrain vehicles (UTVs), also known as side-by-sides, along with a complete line of upgrades and accessories. In October 2020, we began building and testing prototypes for our future offerings with two off-road motorcycles – the Grunt and the Runt. We are currently taking orders on our website for these initial offerings and expect to begin delivering the Grunt in the third quarter of 2021 and the Runt in the first quarter of 2022. Also in 2022, we expect to expand our offerings with the Volcon Stag, a UTV, followed in 2023 by a higher performance, longer range UTV called the Beast.
We initially intend to sell and distribute our vehicles and accessories in the U.S. on a direct-to-consumer sales platform. We are currently negotiating dealership agreements with retail partners to display and sell our vehicles and accessories. Once we have dealers in each state, customers can either purchase a vehicle and accessories through our website and pick them up at a local dealership, or they can buy them directly from a local dealership. Some of these retail partners will also provide warranty and repair services to our customers. To date, we have not entered into any dealership agreements.
As of September 1, 2021, U.S. customers have made deposits for 278 Grunts and 5 Runts, plus accessories and a delivery fee representing total deposits of $1.8 million. These orders are cancelable by the customer until the vehicle is delivered and after a 14-day acceptance period, therefore the deposits have been recorded as deferred revenue. Based on our current production capacity, we believe we will deliver all the Grunts by November 2021 and the Runts by the first quarter of 2022.
Our vehicles and accessories will be sold globally in a three-phase rollout of export sales– Latin America importers in 2021, Canada, Europe, and Africa in 2022 and Southeast Asia plus Australia in 2023. Export sales are executed with individual importers in each country that buy vehicles by the container. Each importer will sell vehicles to local dealers or directly to customers. Local dealers will provide warranty and repair services for vehicles purchased in their country.
*For the six months that ended June 30, 2021, Volcon had a net loss of $19.46 million.
(Note: Volcon, Inc. (also known as Volcon ePowerSports) priced its IPO on Oct. 5, 2020, at $5.50 – the top of its range – to raise $16.64 million.)
|Industry:||All-electric off-road vehicles|
|Address||2590 Oakmont Drive, Suite 520 Round Rock, TX 78665|
|Phone Number||(512) 400-4271|
|View Prospectus:||Volcon, Inc.|
|Revenues||$1.8 mil (last 12 months)|
|Net Income||$-19.46 mil (last 12 months)|
|Price range||$5.50 - $5.50|
|Est. $ Volume||$16.6 mil|
|Manager / Joint Managers||Aegis Capital Corp.|
|Expected To Trade:||10/6/2021|
|Quiet Period Expiration Date:||Available only to Subscribers|
|Lock-Up Period Expiration Date:||Available only to Subscribers|
|SCOOP Rating||Available only to Subscribers|
|Rating Change||Available only to Subscribers|