Seven-year-old electric vehicle startup Canoo has filed for bankruptcy and will “cease operations immediately.” The company is liquidating its assets in a Chapter 7 proceeding in the Delaware Bankruptcy Court.
The company said in a press release published late Friday that it was “in discussions with foreign sources of capital” that proved unsuccessful, and also singled out an inability to secure funding from the U.S. Department of Energy’s Loan Program Office, which has been on a lending spree in the waning days of the Biden administration.
The bankruptcy filing comes just a few weeks after Canoo furloughed the remainder of its workers and idled its factory in Oklahoma. The company struggled throughout 2024 to get more than a few of its electric vans into the hands of prospective customers, and suffered numerous executive departures. It had just $700,000 in the bank in mid-November.
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