Investing
Lordstown Motors founder sells remaining stake in EV startup
© Reuters. FILE PHOTO: A Lordstown Motors sign is seen outside the Lordstown Assembly Plant in Lordstown, Ohio, U.S., June 21, 2021. REUTERS/Rebecca Cook/File Photo
(Reuters) – Lordstown Motors founder and former CEO Stephen Burns has sold his entire stake in the electric-vehicle maker, according to a regulatory filing.
The company in May implemented a reverse stock split to comply with Nasdaq’s minimum $1 listing requirement and appease investor Foxconn that had threatened to scrap a $170 million funding in the cash-strapped company.
Burns has sold his stake in three transactions between May and June, about 581,000 shares were divested before the reverse stock split and 791,572 shares after, the filing on Wednesday showed.
The EV startup declined to comment on the stake sale.
Earlier this month, Lordstown Motors said it planned to take legal action against Taiwanese contract manufacturer Foxconn to ensure the planned purchase of nearly 10% of the company’s shares was not derailed.
Burns in 2021 resigned from the role of CEO alongside then Chief Financial Officer Julio Rodriguez following an internal investigation by the company board into claims made by short-seller Hindenburg.
Lordstown has acknowledged that it had overstated pre-orders for its electric trucks but rejected Hindenburg’s claims that the company had misled investors about production plans and exaggerated the potential of its technology.
Read the full article here
-
Side Hustles6 days ago
Mark Zuckerberg Is Now Second Richest Person in the World
-
Investing6 days ago
Nvidia CEO Jensen Huang: Demand For Blackwell AI Is Insane
-
Side Hustles7 days ago
How to Be Unapologetically You and Why It Matters
-
Side Hustles7 days ago
With AI Magicx, It’s Like Getting an Entire Creative Team in One Money-Saving AI Tool
-
Investing4 days ago
Hurricane Helene Hits Spruce Pine Mine, Quartz Used for Tech
-
Side Hustles6 days ago
Meta Previews Movie Gen, AI Tools That Turn Dreams to Videos
-
Passive Income7 days ago
How AI-Driven Personalization Is Transforming the Retail Industry
-
Investing6 days ago
BCA says investors should fade the real estate rally By Investing.com