An Oregon-based concept car company has been qualified by the Securities and Exchange Commission to raise $29.9 million through a Tier 2 Regulation A offering. Arcimoto is selling 4,600,000 shares at $6.50 through an exclusive underwriting agreement with WR Hambrecht + Co. The company plans to list on Nasdaq’s Capital Market.
Arcimoto was founded in 2007 to catalyze the shift to a sustainable transportation system. The name Arcimoto means “Future I Drive”. The company’s three-wheel vehicle, call the SRK, is expected to have exceptional maneuverability, room for two passengers with gear, city parking ability, and ultra-efficient operation. The company is targeting the low end of the market with a target base model price of $11,900. Offering docs compare the SRK to an Elio, the ultra-light car proposed by Elio Motors, the first Reg A issuer to be listed for secondary trading.
Mark Frohnmayer, the company CEO, founded Arcimoto in 2007. Prior to that, he was the President and Founder of GarageGames, a software development company that he sold to IAC in 2007.
Since then Arcimoto has invested $10 million to develop its ultra-light car. The company plans to apply for a low-cost loan from the U.S. Department of Energy to help finance the manufacture of the SRK, according to research on the company published by Zacks.