The bell has tolled for electric vehicle maker Coda Automotive, which earlier this year laid off almost all of its employees following dismal sales for their all-electric Coda Sedan. Today the EV maker filed for bankruptcy, and going forward will focus on “energy storage solutions” according to its website. In other words, Coda, as a carmaker, no longer exists.
There was never really any excitement regarding Coda Automotive or its sedan, which offered adequete range in a very boring, Chinese-built package. Coda struggled from beginning to end, with the launch of its $37,250 electric sedan severely delayed and barely reported. Rumors suggest that less than 100 Coda sedans were ever even sold, and the company closed up its only retail locations late last year. The writing has been on the wall for awhile.
Filing for Chapter 11 bankruptcy in a Delaware court, Coda will attempt to reorganize itself around an energy storage solutions plan. The company will use the same battery packs, but will forgo the whole car part, entering a far less capital-intensive (but some would argue still over-saturated) marketplace.
Coda joins Fisker as another “loser” in the green energy market, taking with it numerous jobs, though Coda was denied a $334 million Department of Energy loan. Even without the loan, Coda managed to raise $300 million in private capital, though as Fisker found out building a new car costs a lot of money.
So long Coda Automotive, we barely knew ye.
Source: Automotive News
Posts
No comments:
Post a Comment