Commercial EV startup Arrival is being removed from the Nasdaq stock exchange as it speeds toward dissolution.
The company, which went public after merging with a special purpose acquisition company, announced Monday morning that the Nasdaq will suspend trading of Arrival shares January 30, followed by a formal delisting. Nasdaq is taking the action after Arrival was late in posting financial results and failed to file a remediation plan with the exchange.
The delisting notice comes just two months after Arrival announced it secured a $50 million lifeline, which it said it hoped would be enough to keep the company afloat as it explored a sale of its assets. In the meantime, Arrival is reportedly talking to accounting firm EY to lead an administration process, which is similar to bankruptcy.
Arrival's big promise when it was founded was that it would make electric vehicle production "radically more efficient" by using so-called microfactories to build electric delivery vans, buses and more. It went public in 2021 by merging with a SPAC and quickly shot to a valuation of $13 billion.
Like most of its EV SPAC peers, Arrival struggled to get its business up and running and instead kept burning through the money it raised in the transaction. It repeatedly shifted focus and went through multiple rounds of layoffs. Arrival cycled through leadership and even tried -- and failed -- to merge with another SPAC last year in a desperate attempt to raise more funding.
The company is now worth closer to $20 million, at least before Nasdaq announced the delisting on Monday. It has yet to deliver a fully working production-level vehicle to any of its prospective customers, like UPS or Uber.