Electric bus maker and tech provider Proterra Inc PTRA filed for Chapter 11 bankruptcy protection on Monday citing market and macroeconomic headwinds.
What Happened: The company intends to continue to operate in the ordinary course of business during the process, Proterra said in a statement. CEO Gareth Joyce said that the company is looking to separate each product line through the reorganization process and intends to streamline its focus as an EV battery technology supplier.
Proterra provides battery technology, charging infrastructure, drivetrains and the ZX5 electric transit bus. It went public in June 2021 through a SPAC merger.
Why It Matters: The fresh filing comes less than two months after EV maker Lordstown Motors filed for bankruptcy protection after a drawn-out dispute with Foxconn over a $170 million investment.
Lordstown put its Endurance all-electric pickup truck and other related assets up for sale and also filed litigation against Hon Hai Precision Industry Co Ltd and its affiliate Foxconn Ventures Pte Ltd. Foxconn failed to live up to its financial commitments, thereby damaging the company and its future prospects, the EV maker said.
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