Tevva prepares to call in administrators while seeking rescue deal

British electric truck manufacturer Tevva has confirmed that it’s preparing to call in administrators while seeking a rescue deal.

The Essex-based business has filed a notice to appoint administrators in a move to stave off collapse, as reported by The Telegraph.

Tevva was founded in 2013 by Asher Bennet, the older brother of former Israeli prime minister Naftali Bennett and an ex-submarine officer in the Israeli navy.

The company, based in Tilbury, has been developing 7.5-tonne fully electric and hydrogen-electric trucks to halt climate change and make EVs “the unarguable choice”.

It had secured agreements in principle with Royal Mail and Travis Perkins, supplying its electric trucks as “better, cleaner alternatives that work for today”.

But Tevva is now seeking to appoint administrators as it looks for new funding to keep the business afloat.

A company spokesperson said: “Despite positive customer interest in Tevva and its products, current global economic conditions have created a challenging environment for electric vehicle start-ups.

“As a consequence, we have filed notice of intent to enter administration with the court while the board is pursuing investment that secures the future of the company.”

Tevva signed a merger deal in August 2023 with Canadian e-mobility firm ElectraMeccanica that would have secured its future and seen it move to the US but the deal fell through in October last year. ElectraMeccanica said it was terminating the plans, citing “multiple incurable breaches of the agreement by Tevva, including failures by Tevva to disclose to ElectraMeccanica material information about Tevva”.

Tevva responded by “strongly” refuting the basis under which the planned merger was terminated and said it would seek recourse through due legal process while also exploring new merger opportunities.

Conditions for electric vehicle start-ups remain extremely tough. The collapse of Tevva’s deal with ElectraMeccanica in late 2023 coincided with rival Volta Trucks falling into administration following the collapse of battery supplier Proterra. Volta Trucks exited administration in December 2023 under new owner, Luxor Capital and is now planning a “sustainable comeback”.

More recently, electric van maker Arrival entered administration in February 2024 after failing to find a buyer.

Earlier this year, Stuart Cottrell, head of energy services and government partnerships at Tevva, said in a column piece that it was no secret that Tevva had faced its challenges this year as with many other start-ups in the electric vehicle space that have faced and continue to face several obstacles to mass production.

Cottrell warned that the financial incentives on offer for electric truck adoption in the UK were “paltry” compared to those found on the continent.

He also stressed that the UK severely lags behind mainland Europe on available charging infrastructure – and said it was imperative that supportive actions and policies were put in place to facilitate the journey to net zero, by this government or the next.