Envirotech Vehicles Announces Amended LOI to Acquire AZIO AI in $480 Million Merger Proposal

Envirotech Vehicles, Inc. (NASDAQ: EVTV) has entered into an amended and restated letter of intent with AZIO AI Corporation under which EVTV would acquire 100 percent of the issued and outstanding equity interests of AZIO AI through a statutory merger. The proposed transaction would make AZIO AI a wholly owned subsidiary of EVTV, representing what the company describes as a potential strategic transformation toward advanced artificial intelligence infrastructure and high-performance computing. This development is significant as it signals a major pivot for Envirotech Vehicles from its current focus toward the rapidly growing AI sector, which has become a central driver of technological innovation and economic growth globally.

Under the proposed framework, AZIO AI CEO Chris Young is expected to assume the role of chief executive officer of EVTV at closing, indicating that leadership of the combined entity would be directed by AI expertise. The nonbinding LOI reflects a preliminary transaction framework assuming an enterprise value of $480 million for AZIO AI and a reference value of $3.00 per share of EVTV common stock. The transaction remains subject to numerous conditions including due diligence, regulatory approvals, board and shareholder approvals, and independent third-party valuation, with no assurance that a definitive agreement will be executed or the transaction consummated.

The announcement matters because it represents a substantial strategic shift for Envirotech Vehicles at a time when artificial intelligence infrastructure represents one of the most competitive and capital-intensive sectors in technology. The proposed $480 million valuation for AZIO AI suggests significant perceived value in the target company's AI capabilities, while the leadership transition to AZIO AI's CEO indicates that the acquisition would fundamentally reshape Envirotech Vehicles' strategic direction. More information about Envirotech Vehicles is available on the company's website at https://evtvusa.com/.

This transaction occurs within a broader context of increasing consolidation in the AI sector as companies seek to acquire specialized capabilities and talent. The implications extend beyond the immediate companies involved, potentially signaling increased competition for AI assets and talent across the technology landscape. If completed, the merger would create a publicly traded entity with combined resources focused on AI infrastructure, positioning it to compete in markets ranging from data center solutions to specialized computing hardware. The requirement for shareholder approval adds an additional layer of scrutiny, as investors will need to assess whether this strategic pivot aligns with long-term value creation objectives.