If it isn’t glaringly obvious that humans should be cutting down on fossil fuels yet, the recent chatter about the state of the climate is helping to make it even more clear. And this week is, as a result of a recent climate report, seeing some largely optimistic deals generating among green companies. Lightning eMotors (NYSE:ZEV) is one such company that is electrifying investors with a new partnership. Naturally, ZEV stock is up on the news.
There’s nothing that gets investors excited like a jumpstart player in a burgeoning industry, except maybe throwing Warren Buffett into the mix. And Lightning is doing just that — breaking into the electric vehicle (EV) scene with a large, multi-year deal linked to a Buffett-backed company.
ZEV Stocks Posts Shocking Gains With New Bus Fleet Deal
Lightning’s newest deal will be one of its broadest reaching yet, seeing the company build electric drivetrains for thousands of vehicles. Today, the company is inking a partnership with Warren Buffett’s vehicle company, Forest River Inc. Forest River works particularly in the shuttle-bus sector, as well as various other recreational vehicles.
The specifics of the deal see Lightning shipping drivetrains to Forest River’s Indiana manufacturing facility. Lighting will be supplying upwards of 7,500 electric drivetrains for implementation in the company’s shuttle buses.
With this partnership, the company is securing a crucial spot at the forefront of a blossoming mode of transportation. Kash Sethi, CRO of Lightning, speaks on the benefits of this particular partnership:
“Transit agencies and other shuttle operators, including airports, parking lots, hotels, and corporate and university campuses, have had an increasing selection of options for large full-size electric buses. However, supply for medium-duty electric buses has been limited to smaller EV companies working with regional dealerships to retrofit buses.”
The news is causing quite the boom for ZEV stock. The green vehicle play is up 54% on the day’s trading session. Volume is well over the stock’s daily average of 547,000 as well; more than 86 million shares of ZEV stock are trading hands in the first hours of the session.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.