EV startup Canoo has misplaced its chief monetary officer and its head lawyer, the newest in a string of government departures as the corporate continues to wrestle to search out mass adoption of its electrical work vans.
CFO Greg Ethridge and normal counsel Hector Ruiz each resigned from Canoo on October 31, the corporate introduced Tuesday in a regulatory submitting. Ethridge and Ruiz didn’t reply to requests for remark.
Canoo additionally introduced it has furloughed 30 staff in Oklahoma for 12 weeks “as a part of a broader realignment of its North American operations.”
Ethridge has been changed by former funding banker Kunal Bhalla, who has been chief of workers to CEO Tony Aquila. Bhalla will make a base wage of $300,000. Affiliate normal counsel Sean Yan will change Ruiz.
The departures come just some weeks after Canoo closed its unique headquarters in Los Angeles, California with a view to prioritize its operations in Texas and Oklahoma. The final remaining co-founder left the corporate across the identical time, as did Canoo’s chief know-how officer.
Canoo has been struggling financially as of late. The corporate reported round $19 million in complete money as of June 30, 2024, $4.5 million of which was unrestricted. In October, Canoo revealed in a regulatory submitting {that a} fund related to Aquila loaned the startup round $1.2 million at an 11% rate of interest. On Tuesday, the corporate introduced in the identical regulatory submitting that it has borrowed one other $2.7 million from Aquila’s fund. Canoo has additionally entered right into a revolving credit score facility with Aquila’s fund.
Canoo can be going through a number of lawsuits from suppliers alleging unpaid payments, as TechCrunch beforehand reported. One other provider, Kistler Instrument Company, has since filed a lawsuit in opposition to Canoo as nicely in Los Angeles Superior Court docket looking for $56,000 in damages.
