INVESTOR PRESENTATION APRIL 2021 - ElectraMeccanica Vehicles Corp. NASDAQ: SOLO
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D I S C L A I M E R Forward-Looking Statements This presentation (the “Presentation”) by ElectraMeccanica Vehicles Corp. (the “Company”) provides a general overview of corporate and financial information regarding the Company. The information has been presented in summary form and does not purport to be complete. It is not intended for the following information to be construed as legal, financial, tax or investment advice. Some of the statements contained in this Presentation are “forward-looking information” and “forward-looking statements” (collectively, “forward-looking information”) which are based upon the Company’s current expectations, estimates, projections, assumptions and beliefs made by management. Such statements can be identified by the use of forward-looking terminology such as “expect”, “likely”, “may”, “will”, “should”, “intend”, or “anticipate”, “potential”, “proposed”, “estimate” and other similar words, including negative and grammatical variations thereof, or statements that certain events or conditions “may” or “will” happen, or by discussions of strategy. Forward-looking information include estimates, plans, expectations, opinions, forecasts, projections, targets, guidance, or other statements that are not statements of fact. Such forward-looking information is made as of the date of this Presentation, or in the case of documents incorporated by reference herein, as of the date of each such document. These statements and information are only predictions based on current information, knowledge and reasonable assumptions, some of which may be attributed to third party industry sources. Such forward-looking information should not be in any way construed as guarantees of future performance and actual results or developments may differ materially from those in the forward-looking information. Accordingly, readers should not place undue reliance on such forward-looking information, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By its nature, forward-looking information involves numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking information will not be realized. Forward-looking statements are based on certain assumptions and analyses made by the Company in light of the experience and perception of historical trends, current conditions and expected future developments and other factors it believes are appropriate, and are subject to risks and uncertainties. In making the forward-looking information included in this Presentation, the Company has made various material assumptions, including, but not limited to: (i) obtaining the necessary regulatory approvals or permits; (ii) that regulatory requirements will be maintained; (iii) general business and economic conditions; (iv) the Company’s ability to successfully execute its plans and intentions; (v) the availability of financing on reasonable terms; (vi) the Company’s ability to attract and retain skilled staff; (vii) market competition; (viii) the products and technology offered by the Company’s competitors; and (ix) that the Company’s current good relationships with its service providers and other third parties will be maintained. While management considers these assumptions to be reasonable, based on information available, they may prove to be incorrect. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. These risks, uncertainties and other factors include, but are not limited to risks associated with general economic conditions; adverse automotive industry events; marketing costs; loss of markets; future legislative and regulatory developments involving electric vehicles; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favorable terms; the electric vehicle industry in North America generally; tariffs and other international trade matters; the ability of the Company to implement its business strategies including expansion plans; competition; currency and interest rate fluctuations, and the other risks discussed under the heading “Risk Factors” in the Company’s most recent annual report on Form 20-F and subsequent quarterly reports included in Form 6-K filed with the United States Securities and Exchange Commission (the “SEC”) and available on EDGAR at www.sec.gov. The foregoing factors are not intended to be exhaustive. The Company does not intend, and does not assume any obligation, to update the forward-looking information, except as required under applicable securities legislation. For more information on the Company, readers should refer to www.sedar.com for the Company’s filings with the Canadian securities regulatory authorities and to www.sec.gov for the Company’s filings with the SEC. This Presentation does not constitute an offer to sell or the solicitation of an offer to buy any securities of the Company. © ElectraMeccanica Vehicles Corporation – 2021 2 NASDAQ: SOLO
C O M P A N Y O V E R V I E W ElectraMeccanica Vehicles Corp. • ElectraMeccanica is a Canadian designer & manufacturer of electric vehicles (EVs) designed to revolutionize commuting, delivery and shared mobility • The Company’s flagship vehicle is the innovative, purpose-built, single- seat electric vehicle called the SOLO • The SOLO provides an exciting driving experience that is unique, trendy, fun, affordable & environmentally friendly • Asset-light contract manufacturing model with strategic partner Zongshen Industrial Group – in production since end of August 2020 • Highly experienced management team with significant beneficial insider ownership (>16%) • Key geographic locations: ▪ Vancouver, B.C.: Company HQ and R&D facility ▪ Arizona, California, Colorado, Oregon, Washington: Retail locations and service / distribution center ▪ Chongqing, China: Contract manufacturing with strategic partner and wholly-owned subsidiary (EMV Automotive Technology, Inc.) 3 NASDAQ: SOLO
R E D E F I N I N G T R A N S P O R T A T I O N SOLO Drive Micro Mobility SOLO Drive Passenger Vehicles Lack of safety or protection features Purpose-built solution for Expensive and higher cost of ownership Users are exposed to the elements the modern urban Oversized powertrain and vehicle for majority of uses Minimal technology integration environment-The SOLO Very limited range ECO System Requires dedicated Level II or Level III charging infrastructure 4 NASDAQ: SOLO
C O N T I N U O U S I M P R O V E M E N T Evolution of the SOLO Prototype Pre-Production Production • 64 prototype vehicles produced • 60 pre-production SOLO’s produced • Capable of producing up to 20,000 SOLOs annually • Hand-built in ElectraMeccanica’s Vancouver • Manufactured by our strategic partner, facility Zongshen Industrial Group, in China • Manufactured out of dedicated SOLO facility by Zongshen • Delivered to “early adopters” and been in • Deployed throughout the U.S., Canada & circulation for 3+ years without incident China for final on-road validation testing • Production began August 26, 2020 2015 – 2017 2019 – 2020 2020+ 5 NASDAQ: SOLO
I N T R O D U C I N G The SOLO • The SOLO is a purpose-built, single-seat electric vehicle, providing a driving experience that is unique, trendy, fun, affordable & environmentally friendly • The SOLO’s unique features include: ▪ Up to 100 mile range per charge ▪ 80-mph top speed ▪ Fully charged in under 4 hours (using 220V) ▪ Ability to charge on common electrical outlets (110V) or utilize Level II charging stations (220V) ▪ Technology enabled – Bluetooth stereo, heated seats, rear-view camera ▪ Minimal maintenance - 99% fewer parts than ICE vehicles ▪ Very attractive price point - $18,500 • The SOLO has undergone safety testing beyond what is required for its vehicle class and features numerous safety and drivability upgrades, including: ▪ Electronic power steering (EPS) ▪ Torque-limiting stability control ▪ Robust impact and roll protection ▪ Wider front track for enhanced drivability 6 NASDAQ: SOLO
5 Y E A R True Cost of Ownership Comparison SOLO Mini Cooper SE Nissan Leaf EV Chevy Bolt EV Tesla Model 3 Base MSRP $18,500 $30,750 $31,600 $36,620 $38,990 Federal Tax Credit 0 (7,500) (7,500) 0 0 State Rebate (California) (750) (2,000) (2,000) (2,000) (2,000) Insurance 4,080 4,177 5,025 5,520 4,006 Maintenance 1,459 1,300 2,754 1,300 1,100 Repairs 444 508 601 358 100 Taxes & Fees 1,240 1,967 2,173 2,810 2,635 Financing 2,886 5,258 5,605 5,803 5,905 Depreciation 9,068 15,067 26,297 21,081 19,405 Level 2 Charger 0 2,000 2,000 2,000 2,000 Fuel 1,856 2,440 2,547 2,440 2,549 ® True Cost to Own $20,283 $23,217 $37,502 $39,312 $35,700 TOTAL COST $38,783 $53,967 $69,102 $75,932 $74,600 Premium over SOLO 39.2% 78.2% 95.8% 92.4% Source: Competitor information from Edmunds.com and manufacturer’s websites; SOLO figures based on management estimates using comparable methodology. 7 NASDAQ: SOLO
M A C R O - E C O N O M I C T A I L W I N D S The Growing EV & Ride Share Market • In 2018, global EV sales totaled 2.1 million (the U.S. increased sales of EVs EV Market Growth & Share of Vehicle Sales 81% in 2018)1 70M 60% EV % of Sales 60M 50% • California continues to play an outsized role in growing the electric vehicle EV Vehicle Sales 50M market; generating ~50% of EV sales in the U.S in 20172 40% 40M 30% • By 2040, over 500 million passenger EVs will be on the road globally, 30M accounting for over 30% of all passenger vehicles3 20% 20M • The market penetration and disruption of the ridesharing and micro- 10M 10% mobility industries has caused a proliferation of service platforms vying to 0M 0% meet the ever increasing demand of mobility solutions • Today, EVs account for 1.8% of the shared mobility fleet (taxi’s, ride-hailing US Europe China ROW EV % of Sales & car-sharing), growing to 80% of the shared mobility fleet by 20403 Ride-Share Market Penetration 800M 684M 700M 648M “Electric Vehicles are nearing an inflection point as changing consumer 605M Millions of Users 553M attitudes, improved battery economics, broader access to charging 600M 493M infrastructure and stricter regulatory policies all present growth 500M 426M 354M opportunities” – McKinsey & Co. 400M 300M 200M 1. Electric Vehicle Sales: Facts & Figures, Edison Electric Institute 100M 2. The International Council of Clean Transportation, May 2018 3. Electric Vehicle Outlook 2019, Bloomberg NEF 0M 4. U.S. EPA national electricity generation data, March 2018 2016 2017 2018 2019 2020 2021 2022 8 NASDAQ: SOLO
R E D E F I N I N G U R B A N M O B I L I T Y Purpose-Built for Urban Driving Challenges The SOLO naturally solves many challenges that today’s drivers face: 76% People who travel to work by themselves in a personal vehicle1 3-5 Seats left open during • Economical: Competitively priced (upfront costs are significantly less than other luxury EV’s), lower operating & maintenance cost than traditional ICE vehicles commutes with standard vehicles1 • Ease: Single driver benefits (e.g. HOV lane access), navigating through traffic & parking benefits, among others • Safety: Enclosed, with most of the comforts of other modern vehicles, yet safer than typical motorcycles 16Miles • Environmentally Friendly: SOLO drivers are supporting Average commute each way for work2 2x The average cost to drive the same • the environment Fun & Trendy: SOLO drivers enjoy their daily commute number of miles in an ICE vehicle while making a statement by driving something unique & when compared to EVs3 cool 1. U.S. Census 2016 2. ABC News, Time Magazine, Washington Post Poll: Traffic, February 2005 3. U.S. Department of Energy, eGallon: Compare the costs of driving with electricity; October 2019 9 NASDAQ: SOLO
T A R G E T E D M A R K E T S Ideal Solution for Multiple Applications – The SOLO ECO System We’re targeting three primary market segments for our flagship SOLO EV SOLO SOLO UTILITY- SOLO DRIVE- URBAN SHARE FLEETS/DELIVERIES COMMUTERS 10
T O P - T I E R P A R T N E R Asset-Light Manufacturing • The SOLO is being manufactured in Chongqing, China, by a subsidiary of our industry-leading strategic partner, Zongshen Industrial Group • About Zongshen Industrial Group1: ▪ Multi-national company who is also China’s largest manufacturer of motorcycle & three-wheeled vehicles ▪ Produces 2+ million units annually across 130 models of two-and three-wheeled motorcycles ▪ Maintains 50+ joint ventures, including some of the most prominent and recognized global brands • Zongshen made an early strategic investment into ElectraMeccanica (currently represents 2.4%2 of shares outstanding) • ElectraMeccanica owns all of the tooling for assembly of the SOLO • ElectraMeccanica’s strategic partnership with Zongshen significantly mitigates production risk & lowers CapEx 1. Information provided by management of Zongshen. 2. As at March 23, 2021 11 NASDAQ: SOLO
M E T H O D I C A L Launch & Strategic Roll-Out • Initial retail launch of the SOLO EV’s in the Los Angeles area: ▪ Established service / distribution center with kiosk retail locations in key markets utilizing flexible short-term leases ▪ There are 4.6 million commuters in Los Angeles with an average 30 minute commute1 – an ideal market for the SOLO ▪ Statistics have shown that the Los Angeles area is a leading location for EV adoption & a well-known commuter’s nightmare ▪ The SOLO is expected to resonate well with the residents in LA (single commuter driving benefits, parking benefits, environmental benefits, fun/trendy/unique, etc.) • Currently a total of 10 Retail Stores in (6) California, (3) Arizona and (1) Oregon and will continued to expand the retail footprint along the West Coast including Colorado & Washington ▪ In CA: LA, Sherman Oaks, San Diego, Santa Clara, Walnut Creek, Brea. In AZ: (2) Scottsdale, Glendale. In OR: Portland. ▪ Additional state tax credits in California ($750) and Oregon ($2,500) • As a true global vehicle, the SOLO will ultimately be available throughout the world, with key markets in Europe and Southeast Asia 1. Los Angeles Almanac, 2017 12 NASDAQ: SOLO
F O R W A R D - T H I N K I N G Marketing Strategy • Establish and develop an exciting integrated brand identity that reflects a forward-thinking, dynamic, growth-oriented electric vehicle company • Campaign will include building awareness through digital marketing, influencers, revamped website, billboard, print and traditional media advertisements • Working with R&C/PMK for Public Relations and Narrative Media Group as our marketing and advertising agency to assist with our initiatives Significant Media Coverage “One of the coolest cars of the “It’s all-electric like a Tesla. It’s “Here’s proof you don’t have to “I've literally never had so many year” priced like a Ford Fiesta. It’s one of drive a boring car to save money people ask me about a vehicle the oddest-looking vehicles you’ve on gas” before, and I've driven around Forbes, July 2019 ever seen -- and it may just Manhattan in Ferraris, Road & Track, July 2018 redefine the commuter car.” Lamborghinis, and Rolls Royces.” Bloomberg, February 2019 Business Insider, May 2018 13 NASDAQ: SOLO
D E F I N E D Path to Profitability-SOLO ECO System • Ramp Up Production Volumes ▪ As volumes ramp, ElectraMeccanica’s minimal overhead costs will quickly be recovered ▪ Ability to leverage buying power from suppliers to gain more favorable pricing ▪ Enhanced manufacturing efficiencies and increased automation • Establish U.S. Assembly Facility ▪ Identified State of Arizona in Mesa ▪ Ability to avoid cumbersome tariffs through the local assembly of knock- down kits supplied from Zongshen ▪ Capture benefit from logistical efficiencies and limit uncertainties in the global supply chain • Continued Product Development ▪ In addition to ongoing enhancements to performance, the Company is focused on cost improvement initiatives ▪ Clear path to a reduced bill of materials in the future iterations of the SOLO 14 NASDAQ: SOLO
K E Y S T A T I S T I C S Company, Stock & Financials Trading Statistics Financials2 Stock Price1 $4.44 $501M Cash USD$129.4M Market Cap1 Long Term Debt $0 Average Volume1 (3 month) 14,555,376 Shares O/S3 112.91M Fully Diluted Shares O/S3 138.2M Company Ownership3 Beneficial Insider Ownership 15.99% Public Float 83% Company Specifics3 Employees 133 HQ Vancouver, BC Incorporated 2015 1. As of March 29,, 2021 2. As of December 31, 2020 3. As of March 23, 2021 15 NASDAQ: SOLO
W H Y S O L O ? Key Takeaways ElectraMeccanica is a Canadian designer & manufacturer of EVs SOLO Drive is a purpose-built, economic solution for urban driving challenges SOLO ECO system is the ideal solution for ride sharing, fleet applications and urban drivers Poised to capitalize on substantial macro-economic tailwinds Asset-light manufacturing with recognized strategic partner, Zongshen Strategic launch roll-out with a forward-thinking marketing strategy Highly experienced management team focused on growth and execution 16 NASDAQ: SOLO
Appendix 17
S O L O Vehicle Specifications Cost Interior • MSRP: $18,500 USD • LCD Digital Instrument Cluster • Financing available through Freedom Financial • Remote Keyless Entry • Power Windows • Intermittent Wipers Performance • AM / FM / Bluetooth / USB • Air Conditioning • Up to 100 Mile Range1 • Upgraded Vinyl Heated Seat • 0-60 mph: 10 Seconds1 • Rear View Backup Camera • Top Speed: 80 mph1 • Power Steering / Power Brakes • Curb Weight: 1770 lbs1 • Lightweight Aerospace Chassis Exterior Powertrain • Heated External Mirrors • 17.5 KWh NCA Battery Liquid Cooled • LED Headlamps • Rear Wheel Drive • Daytime Running Lights • 55 HP Liquid Cooled Motor • 103 ft-lbs Torque Dimensions • Length: 122 in Charging Times • Width: 61.4 in • 220 V (Level 2): 2.5 hours for 15% - 90% • Height : 53 in • 110 V (Level 1): 8 hours for ~60% • Wheelbase: 80.5 in • Front Tires: 135-70-R15 • Rear Tires: 215-40-R16 Colors • Cargo Space: 5 cubic ft • Electric Red • Raven Black • Arctic White 1. Specifications are subject to change without notice. Prices are in US dollars and do not include any applicable taxes. Financing available OAC. 18 NASDAQ: SOLO
I N P I C T U R E S The SOLO Angled Front Side Interior Dashboard Trunk Frunk Charging Port 19 NASDAQ: SOLO
S O L O R E Q U I R E M E N T S Current U.S. Market Access $2,500 State Incentive $750 State Incentive Information provided for general reference only; vehicle operators should always consult their local authority to confirm licensing requirements. 20 NASDAQ: SOLO
P O L I C Y D R I V I N G G R O W T H EV Technology Future Milestones California Scotland 5 million zero-emission Ban sale of new ICE vehicles vehicles target by 2032 France Ban sale of new Netherlands Iceland California ICE vehicles 50% of all new Replace oil with electricity in 1 million zero-emission vehicles car sales are all new vehicles on the road by 2020 EVs Paris UK Ban ICE (petrol & diesel) Ban sale of new ICE vehicles vehicles 2020 2025 2030 2035 2040 Japan Next-gen vehicles to account for 50–70% of new vehicle sales Germany Norway India China 1 million EVs on Sells EVs only All electric Target of 60% the road manufacturing by electric sales by 30 2035 Source: L.E.K. Insights 21 NASDAQ: SOLO
E X P E R I E N C E D L E A D E R S H I P Management Team Paul Rivera Henry Reisner Chief Executive Officer & Founder, President & Director Director • +20 years of automotive industry • President of Intermeccanica since management 2001, a subsidiary of EMV. • Prior President of Ricardo, USA, a • Extensive experience in the 100-year old global engineering, automotive industry with a OUR strategic & consultancy business • Previous Executive VP of Hybrid and Electric Systems at Ricardo background in manufacturing. • Oversees the design & production of ElectraMeccanica’s electric cars. MANAGEMENT TEAM Bal Bhullar Chief Financial Officer & Isaac Moss Chief Administrative Officer Director • +25 years of diversified business, • 27 years of international financial & risk management business, investment banking & experience as an Executive &/or corporate finance Board Member, with both public & • Held senior executive positions private companies (industries such with companies across several as technology, automotive, industries including CEO, COO manufacturing, resource, marine, & CFO energy, transport, health /wellness.) • Carries designations as CPA, CGA 22 & CRM NASDAQ: SOLO
E X P E R I E N C E D L E A D E R S H I P Board of Directors Steven Sanders Joanne Yan Jerry Kroll Paul Rivera Chairman Director Director and Co-Founder Chief Executive Officer & Director • 45+ years of experience practicing • 25+ years of experience in advising & • 20+ years of experience as an investor international corporate law spanning managing both publicly traded & private and in leadership serving in executive North America, Europe and Asia companies management roles at tech companies • Founding partner of Sanders Ortoli • Current President of Joyco Consulting • Licensed race car driver and founder of Vaughn-Flam Rosenstadt LLP Services Kleen Speed Technologies, developing Bal Bhullar • BBA from City College of New York, a • Served on the Board of Directors of public advanced electric race cars at the NASA Chief Financial Officer & Director Juris Doctorate from Cornell Law School & and private companies, including Zongshen Research Park in California member of the American and New York Environtech Ltd. and Tianchen Aviation bar associations (Canada) Ltd. Henry Reisner Peter Savagian Luisa Ingargiola Co-Founder/Chief Operating Director Director Officer/ President & Director • 30+ years experience & pioneer in • Diverse experience in capital markets with automotive electrification. public companies as a CFO, Director and • Broad spectrum of expertise in the Audit Chair for several public companies technology, development, launch & in the technology, environmental and production of EVs energy industries • Former Director of Electrified Propulsion at • Currently the CFO of Avalon GloboCare, General Motors, bringing 13 electrified Director and Audit Chair of FTE Networks autos brought to production (i.e. the first plug-in hybrid, Chevy Volt & Chevy Bolt, among others) 23 NASDAQ: SOLO
COMPANY CONTACT Bal Bhullar Chief Financial Officer & Board Director ElectraMeccanica Vehicles Corp. (604) 428-7656 ext.107 Bal@electrameccanica.com ElectraMeccanica INVESTOR RELATIONS CONTACT Vehicles Corp Matt Glover and Tom Colton Gateway Investor Relations 102 East 1St Avenue Vancouver, British Columbia, V5T 1A4 Gateway IR Canada (949) 574-3860 SOLO@GatewayIR.com 24 NASDAQ: SOLO
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