Electric truck start-up Volta near collapse – 600 jobs at risk
Six hundred jobs are at risk - many in the West Midlands - this morning (Wednesday) after electric trucks company Volta said it was starting insolvency proceedings.
The Swedish company blamed its financial woes on supply chain difficulties, which it said was hitting its ability to raise funds.
The company has around 850 employees, with 600 in the UK. It has manufacturing and research and development facilities in Warwick and a service hub in north London.
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Its emissions-free truck has a range of 124 miles and is designed for last-mile deliveries in urban areas.
In a statement, the company said: "Volta Trucks accomplished a great deal from a standing start in 2019, revolutionising commercial vehicle operations for a sustainable future.
"We created the world’s first purpose-built 16-tonne all-electric truck, including a unique cab and chassis design, that would have contributed to decarbonising the environment and enhanced the health and safety and air quality of urban centres.
"Piloting in five countries in Europe, we received fantastic feedback, which led to a strong pipeline of highly reputed customers who wanted to introduce our Volta Zero Trucks into their fleets.
"However, like all scale-ups in the EV manufacturing sector, Volta Trucks has faced challenges along the way. The recent news that our battery supplier, Proterra, has filed for Chapter 11 Bankruptcy, has had a significant impact on our manufacturing plans, reducing the volume of vehicles that we had forecast to produce.
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"The uncertainty with our battery supplier also negatively affected our ability to raise sufficient capital in an already challenging capital-raising environment for electric vehicle players.
"With deep and sincere regret, the Board has therefore taken the difficult decision to take steps to file for bankruptcy proceedings in Sweden.
"The main trading entity of the Group, Volta Trucks Limited, will shortly file for administration in England, with insolvency practitioners from Alvarez & Marsal anticipated to take office."
