Electric bus manufacturer Proterra applies for bankruptcy protection, shares fall over 60% after hours.
Proterra plans to continue its normal business operations and use existing capital to fund its operations.
According to the latest news from Zhītōng Finance APP, electric bus manufacturer Proterra (PTRA.US) plummeted over 60% after the market closed on Monday, following the company's announcement of filing for bankruptcy protection. As of the time of writing,
Proterra has been struggling with a decrease in cash reserves as they aim to increase production. The company added that it plans to continue normal operations and utilize existing capital to fund its operations.
The earnings conference call, originally scheduled for August 9th, will no longer take place. "...We are facing various market and macroeconomic headwinds, which have affected our ability to effectively seize all opportunities simultaneously," the company stated.
It further added that the company is taking action to separate each product line through Chapter 11 restructuring proceedings.
In January of this year, the company announced plans to lay off approximately 300 employees and consolidate its electric bus and battery production in South Carolina to reduce costs.