Proterra files Chapter 11 bankruptcy with over $500 million in debt

By Sarah Lizee

Olympia, Wash., Aug. 7 – Proterra Inc. filed Chapter 11 bankruptcy Monday in the U.S. Bankruptcy Court for the District of Delaware to strengthen its financial position through a recapitalization or going-concern sale, according to a press release.

The company said it intends to continue to operate in the ordinary course of business as it moves through this process and plans to file the customary motions with the bankruptcy court to use existing capital to fund operations.

“While our best-in-class EV and battery technologies have set an industry standard, we have faced various market and macroeconomic headwinds, that have impacted our ability to efficiently scale all of our opportunities simultaneously,” Gareth Joyce, the company’s chief executive officer, said in the release.

“As commercial vehicles accelerate towards electrification, we look forward to sharpening our focus as a leading EV battery technology supplier for the benefit of our many stakeholders.”

In its petition, the company listed $500 million to $1 billion in assets and the same in liabilities.

Moelis & Co. LLC is acting as the company’s investment banker, FTI Consulting as financial adviser and Paul, Weiss, Rifkind, Wharton & Garrison LLP is acting as legal adviser.

Burlingame, Calif.-based Proterra designs and manufactures zero-emission electric transit vehicles and EV technology solutions for commercial applications. The Chapter 11 case number is 23-11120.

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