RIDE - Lordstown Motors plunges to all-time low after issuing going concern warning

2023-05-01 10:22:50 ET

Lordstown Motors ( NASDAQ: RIDE ) fell sharply in early trading on Monday after warning in a SEC filing it may file for bankruptcy if the dispute with Foxconn is not resolved.

The electric vehicle maker's going concern notice also included the Ohio-based company warning on its ability to manage costs and obtain significant additional funding, the ability to obtain the proceeds expected under the Investment Agreement, the ability to timely obtain necessary funding to continue operations, the ability to continue production of the Endurance vehicle, and the prospects for additional funding on supplier arrangements and on employees,

Foxconn has pulled back on plans to invest as much as $170M in Lordstown Motors ( RIDE ).

Lordstown Motors ( RIDE ) was down 25.62% to $0.39 at 10:21 a.m. on Monday and swapped hands at a new all-time low of $0.38 early in the session. Short interest on RIDE is at 21.8% of total float.

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