It’s no secret that Lordstown Motors is in bother. On Monday, we discovered that Lordstown was near chapter because it fought with Foxconn over cash points. The different a part of the issue is which you could’t run a profitable firm and not using a product to promote, and thus far, Lordstown has solely been capable of construct 40 Endurance electrical pickup vehicles. So issues are unhealthy, and apparently, they’re not prone to get any higher.
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CNBC stories that yesterday, as a part of an unscheduled quarterly submitting, Lordstown mentioned it expects that it must shut down manufacturing of the Endurance except somebody needs to present it extra money. And sadly for Lordstown, it doesn’t sound like anybody needs to present an organization that has solely managed to construct 40 vehicles extra money.
“To date, we have not identified a strategic partner for the Endurance. To the extent we do not identify such a partner, we anticipate that production of the Endurance will cease in the near future,” the corporate mentioned in its submitting.
Lordstown is reportedly nonetheless in discussions with Foxconn about additional investments, however it doesn’t sound just like the Apple iPhone producer has any curiosity in giving the electrical truck startup any further money. And the percentages of anybody else giving Lordstown extra money are additionally low, with Lordstown reportedly pointing to an “extremely limited ability to raise capital in the current market environment” in its submitting.
Odds are, that is near the finish of the highway for Lordstown. If it stops the manufacturing of a truck it barely makes within the first place, that appears inevitable, at the least. But you by no means know. Miracles occur. Faraday Future continues to be round one way or the other. Maybe a random billionaire will determine to gentle some cash on hearth for enjoyable. Maybe Lordstown has a number of extra months, or a number of extra years.
Source: jalopnik.com