Janus Electric (ASX: JNS) has announced significant progress in its North American expansion, securing California HVIP vouchers for two heavy-vehicle conversions and signing a non-binding MOU with Energy One for battery swap infrastructure.
Janus Electric has secured two California HVIP vouchers valued at US$112,500 per vehicle, delivered through authorised dealer Electric Vehicle Choice (EVC).
This achievement confirms the eligibility of Janus' conversion system under the California Air Resources Board's (CARB) HVIP program, a crucial step for its US market entry.
The company is also actively working to include additional vehicle models and OEM platforms under HVIP to broaden fleet eligibility across California.
Energy One MOU for Infrastructure
Janus Electric has also signed a non-binding Memorandum of Understanding (MOU) with Energy One Solutions International.
The agreement explores the deployment of AVPP-integrated battery swap and charging infrastructure for Class 8 freight.
The initial phase of this partnership targets deployment at the Ports of Los Angeles and Long Beach, supported by potential grant funding pathways, including the California Transportation Commission’s Trade Corridor Enhancement Program (CTC TCEP).
Under the MOU, Energy One is expected to act as the prime applicant for available grant funding, with Janus serving as the infrastructure and technology partner.
This arrangement remains subject to further definitive agreements and securing funding, and has a 24-month term governed by Pennsylvania law.
Strengthened Funding and Advisors
In a boost to its financial position, Janus recently received its full FY24 tax refund from the Australian Taxation Office (ATO), totalling approximately A$1.41 million.
The company also secured a binding A$2.75 million R&D finance facility through subsidiary Janus Energy.
This facility provides non-dilutive working capital, with proceeds used to repay a prior A$1.053 million loan and generate approximately A$1.7 million in additional working capital.
To support its capital strategy and investor engagement, Janus appointed Lynx Advisors for 12 months and Spark Plus for six months as corporate advisors.
Managing Legacy and Partnerships
Janus reached a Deed of Settlement with Kjoller A/S and Kjoller DMCC to resolve legacy disputes stemming from IPO-related advisory and investments.
This settlement involves the issuance of 1,000,000 shares at A$0.20, subject to available placement capacity.
The previous distribution and licence agreement with EVUNI, intended for sub-Saharan Africa, has been terminated.
This follows EVUNI's non-subscription for its entitlement under a prior share placement agreement, which now frees up associated placement capacity for Janus.
Janus is now actively engaging with alternative partners in South Africa and other jurisdictions.
Outlook and Key Risks
The HVIP voucher awards and the non-binding Energy One MOU represent crucial, positive steps for Janus Electric's US market entry and infrastructure plans, signaling progress in its commercial expansion.
However, significant execution risk remains, as the non-binding nature of the Energy One deal means there is no guarantee of definitive agreements, funded projects, or timelines.
Furthermore, the termination of the EVUNI agreement highlights the inherent risks in finalising partnerships and securing capital, emphasising the timing and regulatory hurdles involved in commercial rollout.
Janus must successfully navigate these complexities, including broadening HVIP eligibility and securing new partners, to deliver on its North American ambitions.
