Nikola files to protect semester 11 bankruptcy protection

Nikola Corp, the Electricity Industry Company, has submitted bankruptcy, Chapter 11, on Wednesday, after the company failed to overcome market challenges and macroeconomics.

“Like other companies in the electric car industry, we have faced many factors in the market in the market and the macroeconomic economy that affected our ability to work,” Steve Jersaki, CEO, said in a statement.

Jersky said that the company has taken “many measures” to raise capital, reduce obligations, clean its public budget and maintain cash to maintain operations in recent months, but it was not enough to overcome the “important challenges” that the company was facing. He said that the application for bankruptcy was “the best possible path forward” for the company and stakeholders.

As of Wednesday, Nicolas owns about $ 47 million in cash to keep things run while trying to sell and reorganize assets. The company also seeks to obtain the court’s approval to sell its assets quickly to ensure that it has enough money to cover the costs during the bankruptcy process.

This is a developing story. Please check again for updates.