Nxu Inc. executes partnership, investment in Lynx Motors

Nxu, Inc. has executed definitive documents to finalize its strategic investment in Lynx Motors. The financial impact of the transaction results in an increase in Nxu‘s shareholder equity and helps to ensure that Nxu can achieve and maintain Nasdaq’s continued listing standards by and beyond Nasdaq’s extension deadline of April 7, 2024. Nxu’s investment is structured as a share exchange, whereby $3M in Nxu shares will be exchanged for $3M in Lynx shares. The value of Lynx shares become an asset on the Company’s balance sheet. Additionally, Nxu now holds one seat on Lynx’s Board of Directors, allowing the Company a hands-on opportunity to help develop Lynx and monitor the status of its investment. To expedite the electrification process, Lynx has issued an interest-free promissory note of $250,000 to Nxu in exchange for a $250,000 bridge loan. The Agreement is subject to registration rights and representations and warranties that survive the closing.