#United States #Newport Beach #AZIO AI #Envirotech Vehicles #Strategic Talks

AZIO AI Clarifies Strategic Discussions with Envirotech Vehicles

On December 22, 2025, AZIO AI Corporation, a pioneer in the AI infrastructure space, shared critical updates regarding its ongoing discussions with Envirotech Vehicles, Inc. (NASDAQ: EVTV). Following the release of an independent valuation analysis estimating an enterprise value of approximately $480 million for AZIO AI, both parties are diligently evaluating a potential strategic transaction. This collaboration aims to aid Envirotech in its transition to the AI Data center marketplace.

Background of the Strategic Discussions

AZIO AI previously entered a non-binding letter of intent (LOI) with Envirotech Vehicles. The discussions revolve around a strategic alignment that supports the transformation of Envirotech into a robust player within the AI sector. These discussions are still in early stages and are subject to careful due diligence, negotiations of definitive terms, regulatory evaluations, and necessary approvals.

Emphasis on Shareholder Value

A paramount focus for AZIO AI throughout these discussions has been to establish a disciplined transaction framework that is congruous with the interests of all stakeholders involved. The leadership at AZIO AI insists on evaluating any potential transaction through the lens of long-term value creation and adherence to the highest standards of capital discipline.

Chris Young, CEO of AZIO AI, stated, "Our Board and management remain focused on prudent execution of strategic opportunities that we believe enhance long-term shareholder value for Envirotech Vehicles. We are committed to preserving capital while minimizing dilution for the shareholders."

Navigating the Transaction Structure

While ongoing talks are touching upon various transaction structures, AZIO AI is concentrated on developing frameworks that will protect the interests of existing Envirotech shareholders. These considerations include limiting any unnecessary shareholder dilution while also meeting the strategic financial goals of both firms.

AZIO AI has also made it clear that a final agreement hinges on numerous conditions, such as the completion of due diligence, approval from both companies' boards of directors, and a thorough regulatory review. There is an acknowledgment of the complexities that surround these negotiations, which involve timing, financing, and structural conditions.

The Path Ahead

As the strategic discussions progress, AZIO AI remains committed to its shareholder base and is working diligently to secure a beneficial agreement for both parties. The potential transaction reflects AZIO AI's emerging role as a vital infrastructure platform in the AI domain.

About AZIO AI Corporation

AZIO AI is recognized for its cutting-edge AI infrastructure solutions, specializing in scalable computing and interconnection networks. This innovative company emerged as a strategic spin-off from AZIO Corporation, enhancing its capabilities in hardware distribution and global infrastructure partnerships. Its experienced team combines expertise in data management and component distribution, reinforcing its commitment to disciplined execution and aligning with institutional-grade operational standards.

Forward-looking statements within this update highlight the potential risks and uncertainties involved. AZIO AI is dedicated to updating investors as necessary, but they acknowledge that the future of these discussions is contingent upon numerous variables that could significantly alter projected outcomes.

In conclusion, AZIO AI's strategic engagement with Envirotech Vehicles emphasizes a shared vision of prosperity while remaining steadfastly aligned with the interests of their respective shareholders.