Vicinity Motor Corp. (NASDAQ:VEV)(TSXV:VMC) ("Vicinity" or the "Company"), a North American supplier of commercial electric vehicles, today announced a new partnership with automated driving software platform provider ADASTEC to create an SAE Level-4 automated Vicinity Lighting EV transit bus (the Vicinity Automated Lightning EV) for the North American market.

The collaboration marks a substantial leap in the realm of transportation, with a strong emphasis on automated, connected, and shared solutions, driving innovation, accessibility, and sustainability. The partnership brings together Vicinity's expertise in medium-duty, accessible, fully electrified low-floor transit vehicles with ADASTEC's SAE Level-4 automated driving software platform, flowride.ai. Together, they aim to revolutionize the mobility sector and make a lasting impact on communities and passengers.

Cemre Kavvasoğlu, Product Management Director, North America of ADASTEC, commented: "At ADASTEC, our collaboration with Vicinity Motor Corporation marks a transformative moment in transportation. Together, we are introducing The Vicinity Automated Lightning EV, a medium-duty, fully electrified, low-floor automated transit bus that prioritizes accessibility, sustainability, and innovation. Our commitment to safety and accessibility is evident in our projects. ADASTEC and Vicinity are driving innovation in the mobility sector, and we are eager to make a positive impact on communities and passengers alike."

Dr. Ali, Chief Executive Officer of ADASTEC, added: "ADASTEC is dedicated to solving modern city problems with automated public transportation, providing high-quality transportation to underserved communities while reducing traffic congestion and carbon emissions. To achieve scalability, we partnered with OEMs from the beginning instead of retrofitting or trying to develop our own vehicle. This allows us to leverage more than 100 years of experience in the automotive manufacturing industry. Our partnership with Vicinity has the potential to bring FMVSS, ADA, and Buy America-compliant automated buses to the North American market. By leveraging our experience in global deployments, we will provide the best solution to North America, which is the largest and highest growth rate market for automated transportation solutions."

William Trainer, Founder and Chief Executive Officer of Vicinity, stated: "Over the last year, we have worked closely with ADASTEC, recognizing our leading position in the industry, to formalize our partnership agreement while jointly pursuing opportunities to deploy automated solutions. Taking this time to get it right has resulted in a more targeted and efficient partnership. ADASTEC's extensive experience in SAE Level-4 automated driving software platform complements our expertise, setting the stage for pioneering advancements in the field in the quarters and years to come."

The groundbreaking partnership between Vicinity and ADASTEC represents a monumental shift in the world of transportation and urban planning for smart cities. Together, they are committed to driving innovation, accessibility, and sustainability, with a vision to create advanced and environmentally friendly transit solutions that integrate seamlessly into the fabric of smart cities. This partnership is set to reshape the mobility industry, offering communities and passengers a more connected and sustainable urban future.