Hedge Funds Back $79 Million Order for ZAP Electric Cars

Filed in archive Hedgetalk on April 19, 2007

According to a report by RenewableEnergyStocks.com, electric car pioneer ZAP just received a $79 million order from the Electric Vehicle Company.

The Electric Vehicle Company is being funded by two hedge funds, Diversified Equity Funding, L.P. and Diversified Strategies Fund, LLC, which both have an investment interest in ZAP. EVC will focus on sales of electric vehicles to municipalities, distributors, university campuses, auto and recreational dealers, foreign countries and the military.

Additionally, the company has the goal of developing the first retail chain committed to the sale of all electric vehicles. The two funds have committed the funding necessary to develop the marketing organization. The hedge funds will also provide financing for the purchase of ZAP vehicles by fleets and municipalities.

"We believe this order, which constitutes thousands of vehicles, is the largest order for consumer electric vehicles in history," said Steve Schneider, CEO of publicly owned ZAP. "Many municipalities have been talking recently about mitigating greenhouse gas emissions, so we are grateful to be involved in this historic effort."