Electric car venture Better Place has $40 million in debts and $9.5 million in assets, according to its petition for bankruptcy filed with the Central District Court today.
Better Place asked the court to appoint a temporary liquidator, after Israel Corporation (TASE: ILCO), which owns 28.6% of the company, and other shareholders decided to end their investment in the company. In April, "Globes" reported that Better Place needed an addition $500 million to reach operating breakeven in four years, after $850 million had already been invested in the company.
"The petitioner is insolvent," states Better Place in its petition for liquidation.
Better Place says that it has 320 employees, and serves hundreds of customers who use 940 electric cars. It has 38 battery replacement stations and 1,804 recharging posts nationwide.
Better Place had $7 million revenue in 2012 and a negative cash flow from operations. It lost $454 million in 2012 and had a cumulative loss of $812 million.
Published by Globes [online], Israel business news - www.globes-online.com - on May 26, 2013
© Copyright of Globes Publisher Itonut (1983) Ltd. 2013