By Denny Jacob
Electric-vehicle company Canoo said it filed for bankruptcy and shuttered its operations as efforts to secure funding ran into a dead end.
The Justin, Texas, company on Friday said it filed a Chapter 7 bankruptcy filing. A bankruptcy court will appoint a trustee to oversee the liquidation of its assets and distribution of proceeds to creditors.
Canoo said it was unable to secure financial support from the U.S. Department of Energy's loan program office. It added that discussions with foreign sources of capital were unsuccessful.
"We are truly disappointed that things turned out as they did," said Chief Executive Tony Aquila.
Shares dived 74% to 35 cents in premarket trading Tuesday. The stock is down 98% over the last 52 weeks.
Write to Denny Jacob at denny.jacob@wsj.com
(END) Dow Jones Newswires
January 21, 2025 06:26 ET (11:26 GMT)
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