Lordstown Motors Corp (NASDAQ: RIDE) agreed to push back the deadline to sell its Ohio factory to Hon Hai Precision Industry Co Ltd (OTC: HNHPF), operating as Foxconn, Bloomberg reports.
The struggling EV startup needs to repay Foxconn if the deal does not close by May 14.
Foxconn acknowledged that the two sides were still negotiating in a “positive and active manner.”
The companies were yet to reach an agreement that lays out the details of Foxconn building Lordstown’s Endurance EV pickup truck.
The Committee on Foreign Investment cleared the sale on April 9.
While Foxconn made a final $50 million down payment on the deal on April 15 under a prior agreement to advance $200 million, the transaction remains subject to “further negotiation and execution of a contract manufacturing agreement.”
In 2021, Lordstown agreed to sell the factory to Foxconn for $230 million.
Price Action: RIDE shares traded lower by 0.91% at $2.16 on the last check Monday.
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