Arcimoto, a US-based electric vehicle manufacturer, has halted production of its three-wheeled vehicles and may seek bankruptcy protection if it cannot raise more funds to sustain operations.
The company disclosed this in a filing with the Securities and Exchange Commission on January 17th. Arcimoto is currently looking to sell new shares and warrants to raise funds, but this may not be enough as the company’s stock has dropped 60% to $2.52 per share.
This decline in value follows a strong year for Arcimoto in 2021, during which the company acquired Tilting Motor Works and opened a new manufacturing site in Oregon.
Despite these developments, Arcimoto acknowledges that the vehicle manufacturing industry is capital-intensive and that there is no guarantee that the company will be able to raise enough additional capital to meet its ongoing needs.
