Electric vehicles maker Envirotech Vehicles, Inc (NASDAQ:EVTV) entered into a sale and purchase agreement with PlugD Commercial Electric Leasing and Rentals.

Under the terms of the agreement, EVTV will deliver 200 electric high roof vans and trucks to PlugD for a total of approximately $16.2 million.

"This order represents the largest deal to date for Envirotech and reaffirms our team's 30-plus years of commitment to the development of purpose-built, low-maintenance, zero-emissions vehicles," said Envirotech CEO Phillip Oldridge.

PlugD is a Texas-based electric vehicles leasing company. Envirotech noted the purchase order highlights the growing demand for electric vehicles.

"After personally testing several different manufacturers, we chose Envirotech Vehicles because they are not only able to deliver with current inventory but were more reliable and cost-effective," said PlugD CEO Adam Greenberg.

Price Action: EVTV shares are trading lower by 4.59% at $2.08 in premarket on the last check Wednesday.