Volta Trucks Files for Bankruptcy After Supply Chain Fails
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Sweden’s Volta Trucks AB is planning to file for bankruptcy following a breakdown in its supply chain, the company said.
The decision comes roughly two months after Volta’s battery supplier Proterra Inc. failed, causing the truck maker to fall short of production targets. The collapse “negatively affected our ability to raise sufficient capital in an already challenging capital-raising environment for electric-vehicle players,” Volta’s board said in a statement.
Proterra’s U.S. Chapter 11 filing came “at the absolute worst time when production was to be scaled up,” according to Byggmastare Anders J Ahlstrom AB, one of Volta’s largest shareholders.
Volta in November raised funds at a roughly $633 million valuation as it prepared to ship its first trucks. The company, which employs about 850 people, had been targeting an initial public offering in 2024, according to CEO Essa Al-Saleh.
Supply chain issues and shortages of key parts have tainted investors’ outlook across the industry. Volta had been one of several Swedish startups trying to lead on sustainable transport in a country where truck maker Volvo AB and Volkswagen AG’s Scania have a long history.
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