Nikola's Chapter 11 Bankruptcy Filing

Nikola has filed for Chapter 11 bankruptcy protection, seeking court approval for an auction and sale process. The company currently holds about $47 million in cash, which will be used for limited operations while it restructures its financial situation. CEO Steve Grisky noted that the decision was influenced by various market and macroeconomic challenges that hindered their ability to sustain operations. Founded in 2014 with a vision to innovate the transportation industry, Nikola experienced significant investor interest early on but faced serious fraud allegations that damaged its reputation and led to its recent downfall.