Nikola mentioned on Wednesday it had filed for Chapter 11 chapter safety and would pursue a sale of its belongings, the newest electric-vehicle maker to stumble after grappling with tepid demand, fast money burn and funding challenges.
The event ends a difficult journey, which included a number of management adjustments, plummeting share values and short-seller allegations.
EV startups that went public through the pandemic, promising to revolutionize the sector, resembling Fisker, Proterra and Lordstown Motors have filed for chapter in recent times as funding for his or her capital-intensive operations dried up resulting from excessive rates of interest and flagging demand.