Cash-strapped electric bus and battery maker Proterra Inc. filed for Chapter 11 bankruptcy protection Monday. The company plans to keep running while sorting out its business units during reorganization.
Proterra voluntarily filed its petition in the District of Delaware where it is incorporated. It hopes to strengthen its financial position through recapitalization or sale of some business units. In addition to its original line of electric buses, Proterra makes battery packs and develops electric infrastructure.
The Burlingame, California-based company filed a notice of going concern in March as part of its 2022 10-K filing with the Securities and Exchange Commission. Such a filing calls into question whether a company would be in business a year from the filing.
“We have faced various market and macroeconomic headwinds that have impacted our ability to efficiently scale all of our opportunities simultaneously,” CEO Gareth Joyce said in a news release after markets closed Monday.