Phoenix Proterra

Proterra Transit, a heavy-duty electric bus manufacturer, has risen from the ashes when Phoenix Motor (Nasdaq: PEV) formally purchased it from insolvent Proterra Inc.

Phoenix Motor gained clearance from the US bankruptcy court to conclude the purchase earlier this week and announced its completion today. This implies that Proterra Transit's heavy-duty electric transit buses will now be added to Phoenix's medium-duty electric bus product range.

"Proterra has a strong position in the full-size, zero-emission transit bus market, just as Phoenix has in the medium-duty market," Phoenix CEO Denton Peng stated. We are more enthusiastic than ever about this acquisition prospect after spending numerous hours interacting with Proterra Transit team members and learning more about their business."

The next stage for Phoenix Motor is to integrate the Proterra Transit personnel and assets into its operations. Phoenix Motorcars, which focuses on commercial medium-duty EVs such as shuttle buses, school buses, municipal transit vehicles, and delivery trucks, as well as EV chargers and electric forklifts, and EdisonFuture, which focuses on light-duty EVs.

To minimize costs, Proterra integrated battery and bus manufacturing at its South Carolina site in August 2023, along with employment cutbacks. However, supply chain and financial issues, as well as the money required to grow, led to Proterra filing for Chapter 11 bankruptcy. Volvo Group won an auction for Proterra's battery division in November with an offer of $210 million.