Volcon Inc. (NASDAQ: VLCN), the off-road powersports manufacturer, has signed a multi-year distribution agreement with Brazilian importer Comfort Industria E Comercio LTDA (also known as Ventura Experience). The agreement includes a minimum purchase requirement of $12.0 million (up to $17.2 million if full sales forecast for Brazil is met) over a three-year period beginning in 2023. The Importer Agreement will renew in 2026 if Ventura meets its sales performance targets outlined in the agreement and will renew thereafter for consecutive two-year periods.
The agreement also includes up to five additional countries with up to $3.4 million of additional minimum purchase requirements (up to $4.8 million if sales forecast is reached). Sales in these additional countries are contingent upon approval from a component supplier to the Stag to sell into these countries. Volcon seeks to expand its dealership network into several other countries in the South and Latin American regions via Ventura’s established distribution network.
We have reported Volcon’s initial offering with the Grunt and Runt electric motorcycles, their first models. Since then Volcon has continued to expand and recently signed an exclusive co-branding and distribution agreement with Torrot Electric Europa to sell youth motorcycles throughout the Americas. This partnership will allow Volcon to expand its electric youth bike space and introduce more versions of the current lineup over the next 2 years. In addition, the company plans to solidify their position as a “one-stop-shop” for powersports electric off-road vehicles with the addition of 6 new electric motorcycles to their product line.
Melissa Coffey, Vice President of Global Sales and Business Development at Volcon, stated, “We are thrilled to announce our new distribution agreement with Ventura, which will bring Volcon Electric Vehicles to five new countries in South America. Ventura is an impressive company with a proven track record in the industry, and we look forward to working together to bring sustainable and innovative products to customers throughout the region.”
Cristian Liani, International Sales Manager at Volcon, added, “This agreement is a testament to the hard work and dedication of both teams, and we’re excited to see what we can accomplish together.” Ventura plans to launch the Volcon line of products in July at their bi-annual dealer conference, where Volcon team members will participate in revealing the product lineup to dealers attending the conference.
With Ventura’s current UTV and four-wheel lineup being primarily diesel powered, they’re excited to bring Volcon electric vehicles to their customers and community. Prior to the launch of Volcon products at their dealer conference, the Company plans to have members from Ventura join them in Austin this spring for its dealer demo day.
According to Coffey, “A relationship of this kind has the potential to create endless opportunities for both parties, and we’re ecstatic to start working together and exploring what the future holds.” Ventura has been in the market for 40 years and is a leader in the segment of motorcycles, powersport quadricycles, and UTVs, which stand out for their innovation, technology, refinement, and unmistakable design.
The partnership between Volcon and Ventura is expected to bring sustainable and innovative products to customers throughout the region, creating a better and cleaner future for all. With Volcon’s groundbreaking products and Ventura’s 40 years of powersports distribution expertise, the two companies are confident that their joint efforts will result in a successful and sustainable business venture.
Source: Volcon
The Content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained on our Site constitutes a solicitation, recommendation, endorsement, or offer by AEM or any third party service provider to buy or sell any securities or other financial instruments in this or in in any other jurisdiction in which such solicitation or offer would be unlawful under the securities laws of such jurisdiction.
