LORDSTOWN, Ohio - Lordstown Motors and Hon Hai Technology Group (Foxconn) have reached an agreement in principle to work jointly on Lordstown Motors' electric vehicle program at the Lordstown assembly plant.

The agreement is non-binding and subject to the negotiation of definitive agreements.

Foxconn will purchase approximately $50 million shares of Lordstown Motors' common stock at a price of $6.8983 per share.

A release from Lordstown Motors says Foxconn would purchase the assembly plant excluding their hub motor assembly line, battery module and packing line assets, certain intellectual property rights and other excluded assets for $230 million.

Both entities would also negotiate a manufacturing agreement where Foxconn would manufacture Lordstown Motors' Endurance pickup truck at the Lordstown plant.

Following the closing of definitive agreements, Lordstown Motors would enter into a long-term lease for a portion of the existing facility and Foxconn would offer employment to agreed-upon Lordstown operational and manufacturing employees.

“We are excited about the prospect of joining forces with a world-class smart manufacturer like Foxconn and believe the relationship would provide operational, technology and supply chain benefits to our company and accelerate overall scaled vehicle production and increase employment in the Lordstown facility. The partnership would allow Lordstown Motors to take advantage of Foxconn’s extensive manufacturing expertise and cost-efficient supply chain, while freeing up Lordstown Motors to focus on bringing the Endurance to market, developing service offerings for our fleet customers and designing and developing innovative new vehicle models,” Daniel Ninivaggi, CEO of Lordstown Motors said in the news release.

Hon Hai Technology Group was established in Taiwan in 1974 and is the world's largest electronics manufacturer.