- Volta Trucks urgently seeks a buyer after declaring bankruptcy due to supplier collapses and capital challenges.
- Management, 30 days away from mass production, engages with potential investors, aiming to finalize a bid within a week.
- Administrators from Alvarez & Marsal Europe focus on exploring options, prioritizing customer orders to ensure business continuity.
Volta Trucks is hunting for a new buyer after declaring bankruptcy earlier this week
Swedish-based Volta Trucks declared bankruptcy due to the collapse of its supplier, Proterra, and uncertainty surrounding its battery supplier. These challenges made it difficult for Volta to secure the necessary capital, pushing it into financial distress.
The company had selected a production facility in Austria and was merely 30 days away from commencing production before the abrupt bankruptcy. With over 5,000 vehicle orders from eager customers, the urgency to find a solution is palpable.
According to insider reports, management has received initial queries from 10 to 20 potential investors, both strategic and financial, expressing interest in acquiring the company.
The situation is pressing, given the limited timeframe during administration to secure a rescue bid before administrators resort to selling off assets to mitigate creditors’ losses. The management has swiftly initiated talks with investors, aiming to drum up a viable bid within the coming week. While the EV industry once enjoyed robust investor interest, several startups, including Volta Trucks, now grapple with funding difficulties due to rising inflation.
Administrators from Alvarez & Marsal Europe (A&M), tasked with overseeing Volta Trucks’ UK operations, are committed to finding a solution. Now, it’s a collective effort to identify a potential buyer, to ensure the continuity of Volta Trucks and honour existing customer orders, which remain a priority amidst the challenging circumstances.