Luxor Capital Group, which invested heavily in Volta Trucks, is in advanced talks with the company’s administrators to buy it in a deal which could salvage the company… and hundreds of British jobs, according to Sky News
Electric vehicle start-up Volta Trucks, which filed for bankruptcy in October, is closing in on a deal to buy it from administrators, says a Sky News report today (November 23)
Sky News says that the Luxor Capital Group, which was both a shareholder in and lender to Volta, is in advanced talks with the company’s administrators about a deal that could salvage the Swedish start-up based in the UK.
Volta Trucks accomplished a great deal from a standing start in 2019, revolutionising commercial vehicle operations for a sustainable future. Just two months ago it was demonstrating its all-electric 16-tonne Volta Zero. Designed specifically for inner-city distribution, with its low-entry cab for easy and safe access and a panoramic windscreen for 220 degrees of direct vision around the vehicle.
Its ‘Truck as a Service’ promised frictionless migration to electrification with access to an all-electric Volta Zero, all charging infrastructure, servicing, maintenance, and more, all for a single monthly fee.
In a press statement it said: “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.”
But on October 18, after its battery supplier went under, the company filed for bankrupcy saying: “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. 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. Other Group entities will also shortly file for insolvency proceedings in the relevant jurisdictions.
“The Board has not taken this course easily or lightly and is fully aware of the significant impact this will have on the organisation’s dedicated workforce, as well as customers and partners. We would like to sincerely thank the Volta Trucks team and are incredibly proud of their pioneering work to deliver such an innovative zero-emission commercial vehicle.”
The company employs around 850 people with 600 of those in the UK.
Founded in 2019 by Carl-Magnus Norden and Kjell Waloen, Volta Trucks aimed to accelerate the transition to fully electric trucks, “reducing the effects of climate change and helping to make our cities safer, healthier and more sustainable for everyone.”
