Click through to read all about it.
Update:  This was called the Lohner-Porsche Electromobile.  I believe the Mercedes name came into it because Porsche's drivetrain was probably put into a Mercedes car (unlike the picture in the referenced link).  The article sited above does note, however, that Ferdinand Porsche  went to work for Diamler-Benz in 1906.  
 



 
 
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