Electric vehicle startup Canoo Inc. (GOEV) has announced the filing of a voluntary Chapter 7 bankruptcy petition under the U.S. Bankruptcy Code. This move, submitted to the U.S. Bankruptcy Court in Delaware, will lead to the appointment of a Bankruptcy Trustee who will manage the liquidation of the company’s assets and oversee the distribution of proceeds to its creditors.
Canoo disclosed that it was unable to secure financial backing from the U.S. Department of Energy's Loan Program Office. Despite recent efforts by company executives to secure funding from international sources, these attempts were not successful, prompting the Board to make the challenging decision to initiate bankruptcy proceedings.
