Problematic electric truck manufacturer Nicola files for bankruptcy

Hydrogen Electric Trucking Starting Nicola Corp. Chapter 11 Bankruptcy Defense Wednesday could not provide the receiver to carry the operations or provide additional funds.

Nicola was once silicone Valley lover, was worth $ 30 billion in June 2020 went to the public through a specific purpose combination of combination. However, its founder and a series of scandals around the former CEO Trevor Milton puts free autumn.

Now Nicola, according to the regulatory document, plans to take auction with assets that expect the court’s consent.

“As other companies in the industrial industries, we faced various market and macroeconomic factors affecting our ability to work,” said Nicola President Steve Girsky and Nicola President Steve Girsky, in the statement.

“In recent months, we have taken numerous measures to raise capital to raise our liabilities, reduce our liabilities to maintain our balance and maintain our best efforts. determined that he represents the best way. “

The company has $ 47 million in his hand to finance the bankruptcy process. Nikola’s proposed proposal process will allow you to provide forced proposals to obtain Nikola’s assets, regardless of stakeholders, the company’s debt or obligations.

In some of these assets, Nikola’s classroom 8 hydrogen combaires will include electric truck and battery electrical truck platforms. Nicola also visited the development of the highway of hydrogen gas in California.

Bankruptcy documents are opened for a year. Nicola was considered a gold sample from one cavity and closed a large number of dollars with general engines. Milton until the company is accused of fraud to make inflated claims about electric truck technology.

Prosecutors claimed that in the case against Milton, “Land Up” and in fact, developing the batteries that are actually purchased elsewhere and deceived investors on Nicolas.

Then there was No doubt Nicola Marketing Video It shows a truck that seems to drive to its strength. Actually lowered a hill.

Following this video, the short seller called a report company for fraud, and Milton was deprived of September 2020 and in 2022 in 2022. four-year imprisonment.

Nicola As a result 125 million dollars penalty In a settlement with the US Securities and Exchange Commission. The company’s shares collapsed, as a result, investors, as well as the company, resulted in serious losses.

Nicola has been trying to grow enough equity to continue operations since then. Recently, Nicola attempted in December 2024 Collect $ 100 million In a joint share sale to pay off debts and raise capital, investors had enough money to support the company only in Q1 2025 in the third quarter earnings.

Nicola, in the end of the third quarter, provided $ 198 million in cash.