Nikola, a manufacturer of electric trucks, filed for bankruptcy

The case brought on the basis of chapter 11 of the American Bankruptcy Code is often referred to as “restructuring” bankruptcy. Usually, the debtor remains “owned”, has the rights and duties of a trustee, he can continue to lead his own economic activity And he can borrow new money with the consent of the court.

As Reuters notes, the submission of this conclusion by Nikola ends the challenging journey, which included several changes in high -level managerial positions, a sharp decline in the value of shares and allegations regarding short sales.

Companies dealing with electric vehicles that entered the stock exchange during the pandemic, promising to revolutionize the sector, such as Fisker, Proterra and Lordstown Motors, have filed bankruptcy applications in recent years, when funds for capital -intensive activity have exhausted due to the high reasons interest rates and weakening demand.

– Like other companies from the electric vehicle industry, we have faced various market and macroeconomic factors that influenced our ability to act – said CEO Steve Girsky in a statement. – Unfortunately, our greatest efforts were not enough to face these significant challenges – he added.

Tesla, Elon Musk, has also recently had problems, who recorded the first decline in her annual sales. It was explained by high costs of external financing and an aging offer that caused a restriction of demand despite the introduction of the discounts campaign. The beginning of the year for the company is also not easy, and this is due to another January decrease in car sales in Europe, after how Elon Musk performed a “certain controversial gesture” during a speech at a rally Donald Trump.

Nikola, who started with the production of heavy sheights powered by batteries and switched to hydrogen -powered electric trucks, stated that she decided to start the process of selling her assets to maximize the value and ensure orderly liquidation.

By the end of March, the company will continue some of the truck operations and some operations related to the production of hydrogen refueled vehicles.

According to the court writing, Nikola exchanged assets from $ 500 million to $ 1 billion, and estimated her liabilities from $ 1 billion to $ 10 billion. The company based in Phoenix, Arizona was founded over ten years ago. She entered the stock exchange in June 2020, and delivered his first vehicle in December the following year.

Nikola increased the production of its hydrogen -powered trucks in 2024, but still lost hundreds of thousands of dollars on each sold vehicle, because fleet operators were reluctant to invest in the introduction of electric trucks due to the high costs of external financing.