British-based electric van manufacturer Arrival may be close to bankruptcy. Indeed, this would not be a surprise, as the newcomer has been struggling for quite a long time. Just a quick recap: Arrival broke into the electric vehicle market with the idea to design and manufacture electric buses, vans, as well as cars (read the interview with former Southern Europe Sales Manager). The idea was to make vehicles in suitable micro factories to be located in several countries within Europe, and over.
Arrival: the road to possible bankruptcy
Then, something happened and the top managers and founders left the company. Arrival decided to abandon the electric bus and car project to focus on the production of electric vans in the U.S. only. In the meantime, the company’s workforce was cut more than once. Now, the latest news come from Sky News in Britain.
According to them, the Nasdaq-listed company “is in talks with EY, a professional services firm, about acting as administrator if the company cannot secure rescue funding“. Although there’s a possibility that Arrival finds the money to survive, it is still unclear how long Arrival’s remaining cash reserves would last.
As reported on Sky News, “E”earlier this month, the company said it had received a further notice from Nasdaq warning that it was not in compliance with the listing rules. Shares in Arrival have plummeted by more than 95% over the last year, leaving it with a market capitalisation of just over $20m”.