EV startup Canoo’s perspectives didn’t look to good two months ago, when the company admitted in its Q1 2022 financial report that it was running out of money.

But the company’s situation appears to have taken a sudden turn for the better as Walmart has committed to purchase 4,500 all-electric delivery vehicles from Canoo, with the option to extend the order to 10,000 units.

This is quite an unexpected lifeline for Canoo, which will first supply its Lifestyle Delivery Vehicle (LDV) to Walmart to be used for delivering online orders, from groceries to general merchandise. The vehicles may also be used Walmart GoLocal, the retailer’s delivery-as-a-service business.

Chicken Heading

While the LDV is expected to enter production in Q4 2022 and start customer deliveries in 2023, the two companies plan to kick-off advanced deliveries to refine and finalize vehicle configuration in the Dallas Fort Worth metroplex in the coming weeks.