Volta Trucks Files for Bankruptcy Following Supply Chain Breakdowns

The electric vehicle company Volta Trucks said it’s planning to file for bankruptcy after its supply chain broke down.

According to Bloomberg, this decision comes just two months after the organization’s battery supplier, Proterra Inc., filed for bankruptcy. Volta’s board of directors said that Proterra’s failure “negatively affected our ability to raise sufficient capital in an already challenging capital-raising environment for electric-vehicle players.”

Proterra’s Chapter 11 filing came “at the absolute worst time,” said the real estate company Byggmastare Anders J Ahlstrom AB, one of Volta’s biggest shareholders. Byggmastere owned about 10% of all Volta shares as of June 30, 2023. It also invested $4.215 million in Volta as a secured loan during Q3 2023. Following the bankruptcy filing, Byggmastere said the loan's value is now “difficult to assess.”

Volta managed to raise funds at an almost $633 million valuation in November 2022 as the company prepared to ship out its first trucks. According to CEO Essa Al-Saleh, the organization had been targeting an IPO in 2024.

Founded in 2019, Volta Trucks AB manufactures and provides electric truck services with offices in Stockholm, Sweden and London, U.K. The organization also operates in France, Austria, The Netherlands and Spain.

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• Source: https://www.supplychainbrain.com/articles/38307-volta-trucks-files-for-bankruptcy-following-supply-chain-breakdowns