(Reuters) – Lordstown Motors reported a steep fall in its cash reserves on Thursday and said it might have to stop making its Endurance electric pickup truck in the near future unless it finds a partner.
The remarks come days after the cash-strapped EV startup said it might be forced to file for bankruptcy, citing uncertainty over a $170 million investment deal with its major shareholder Foxconn.
Lordstown said on Thursday it was in talks with the Taiwanese company but they were yet to reach an agreement.
The dispute is a fresh setback for a company with a dwindling cash balance and production challenges. Lordstown resumed production of Endurance in March after a pause in February to address quality issues.
It said in February that it had made only 37 trucks for sale and recalled 19 vehicles delivered to customers or being used internally.
Net loss ballooned to $171.1 million in the quarter ended March 31, from a loss of $89.6 million a year earlier.
The company had cash and cash equivalents of $108.1 million as of March 31, down from $203.6 million a year earlier.
Shares were little changed, having hit a record low on Monday.
(Reporting by Tiyashi Datta in Bengaluru; Editing by Anil D’Silva)
