Canoo, a seven-year-old electric vehicle (EV) startup, has filed for Chapter 7 bankruptcy, ceasing operations and liquidating its assets. Despite efforts to secure foreign investments and a U.S. Department of Energy loan, the company struggled financially, with liabilities exceeding $164 million against $126 million in assets. The startup, which had previously gained attention for its modular EV platform and partnerships with NASA, Walmart, and others, failed to deliver significant vehicles and faced numerous executive departures and operational challenges. Canoo’s pivot under CEO Tony Aquila to focus on commercial fleets did little to save the company, which ultimately relied on loans from Aquila’s own financial firm to stay afloat temporarily. Canoo joins a growing list of EV startups that went bankrupt after merging with SPACs, highlighting the challenges of sustaining long-term viability in the competitive EV market. Continue here.
