Tesla Inc (TSLA)

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Tesla Gets Order For 150 Semi Trucks From Canadian Company As It Prepares For 'Volume Production'
2:29 am, November 5, 2020

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Tesla Inc (NASDAQ: $TSLA) has received an order for 150 units of its Semi electric truck from a Mississauga, Canada-based trucking conglomerate.

What Happened: Pride Group Enterprises announced Wednesday in a statement that it had placed a deposit to secure the initial units and build slots and would further consider purchasing up to 500 trucks.

“We believe that electrification is the way of the future as we work together across multiple industries to reduce our carbon footprint,” Pride Group CEO Sam Johal said.

“Pride Group Enterprises' vision is to invest in facilities that will support charging, full-service maintenance and a consistent supply of electric trucks on North American highways.”

The company said it was busy investing in the necessary infrastructure needed for parking, charging and maintenance at its locations to support the arrival of the all-electric class 8 trucks.

Why It Matters: Privately-held Pride Group has 12 locations in the United States and Canada. The 300-employee company had a five-year growth rate of 2,365% as of September last year, according to Canadian Business.

Pride Group’s order is larger than the 130 units ordered by Walmart Inc (NYSE: WMT) in Canada. Tesla CEO Elon Musk said this summer that it was time to bring the Semi truck to “volume production.”

The company had unveiled two concept vehicles in November 2017 with production slated to commence in 2021 at the time.

Price Action: Tesla shares closed nearly 0.7% lower at $420.98 on Wednesday and gained 0.34% in the after-hours session.