Watch onNEW YORK - Electric vehicle company Lordstown Motors received U.S. bankruptcy court approval Wednesday to sell its manufacturing assets to a new company affiliated with its founder and former CEO Stephen Burns for $10.2 million.
U.S. Bankruptcy Judge Mary Walrath approved the sale at a court hearing in Wilmington, Delaware, saying it was the best available offer. Lordstown Motors filed for bankruptcy in Delaware in June, seeking to wind down its business after failing to resolve a dispute over a promised investment from Taiwan's Foxconn, which had agreed to collaborate on the development of Lordstown's electric pickup truck after its purchase of Lordstown's manufacturing center.
LAS Capital's attorney Jennifer Madden said that it was not purchasing any Endurance trucks for resale to the public and not acquiring any vehicles that had already been sold to customers and are subject to recalls from the U.S. Department of Transportation.