Lordstown Motors Corp. shares plummeted after the electric-vehicle maker once hailed by former US President Donald Trump for saving automaking jobs filed for bankruptcy.
The move to seek Chapter 11 protection from creditors follows a protracted dispute with iPhone maker Foxconn Technology Group over a deal to make pickup trucks for Lordstown at an assembly plant in Ohio. The Taiwanese manufacturer had said it was prepared to pull out of their production partnership, prompting the EV startup to warn it could fail if it was unable to resolve the conflict.
Lordstown shares declined as much as 67% in US premarket trading after closing Monday at $2.77, valuing the company at just $44 million. The stock traded at more than $400 as recently as early 2021.
