The US Logo Nikola is in the photo at the event, which took place new full electric and hydrogen CNH fuel cells in cooperation with the US Nikola event in Turin, Italy, December 3, 2019.
Massimo Pinca Reuters
Detroit – Nikola Corp. – Car startup, which was once a favorite of Wall Street analysts and retail investors – he submitted an application for bankruptcy after the buyer could not be secured or collecting additional funds for maintaining surgery.
Nikola said on Wednesday that he plans to continue the trial of the auction and sale of her assets, waiting for the court approval. The company said that it has about $ 47 million in cash to finance bankruptcy, implementation of the sales process and exit from Chapter 11.
“Like other companies in the electric vehicle industry, we faced various market and macroeconomic factors that influenced our ability to act” – CEO of Nikola Steve Girsky he said in a communication. “Unfortunately, our best efforts were not enough to overcome these important challenges, and the management agreed that Chapter 11 is the best possible path forward in circumstances for the company and its stakeholders.”
The proposed tender procedures, if they are approved by the court, would allow interested parties to submit binding offers of the acquisition of Nikola's assets, Nikola's free and skillful debt purchased and certain obligations.
The notification is the final of the company's long -term fall from Phoenix from Grace. At the summit in 2020, Nikola was valued more than Ford engine for $ 30 billion, mascara Contract worth many billions of dollars With General Motors And he was recognized as the peak of car startups to make public for the reverse mergers and acquisition companies for a special purpose.
Trevor Milton, founder of Nikola Corp., arrives at the court in New York, on Monday, September 12, 2022.
Victor J. Blue Bloomberg Getty images
The company's fall has played over the years, lit by scandals and lies with the participation of its founder and former general director and president of Trevor Milton. Fast, energetic, disgraced management convicted of wire fraud and fraud of securities In 2022, for misleading investors about Nikola's activities and zero emission technology.
The controversy was first made public by Hindenburg Research sellers after the contract with GM, which included the manufacturer Detroit. $ 2 billion in the startup.
Nikola's basic products are versatile semitrcks and fuel cells, which he began to produce in 2022. In the third quarter of last year, the company produced only 600 vehicles since then. Many of these vehicles were canceled due to defects, costing a car manufacturer of millions of dollars.
Since the transition from the president to CEO in 2023, Girsky has upheld Nikola forward, including the production of Zeroemissions Trucks, but the capital of the company is decreasing.
Nikola warned investors in a conference interview in the third quarter that the company had only enough cash to support its business Up to the first quarter of 2025. But no further. Nikola reported $ 198 million in cash to finish the third quarter.
Nikola supplies
Girsky said about calling in October that Nikola “actively talks to many potential different partners who value what we do and value what we built.”
Girsky, a former bank analyst and general director of the GM, published Nikola publicly through his own Spa in June 2020. The catalyst for more public companies was publicly made by spac.
Like Nikola, most, if not all, has It was not possible to meet the initial expectations. There were many federal investigations, scandals and executive shocks.
Nikola's shares were rotary below USD 2 per share from the beginning of December. Last year, factoring last year in terms of reverse actions at 30, states that the price of closing all time Nikola was almost USD 80 in June 2020.