Sign In  |  Register  |  About Walnut Creek Guide  |  Contact Us

Walnut Creek, CA
September 01, 2020 1:43pm
7-Day Forecast | Traffic
  • Search Hotels in Walnut Creek Guide

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Electric scooter rental company Bird files for bankruptcy

E-scooter rental company Bird Global filed for Chapter 11 bankruptcy on Tuesday, two years after going public in a deal valued the startup at $2.3 billion.

Bird Global has filed for Chapter 11 bankruptcy protection, just over two years after the electric scooter rental company went public.

The financial restructuring is the company's latest attempt to right the ship after losing nearly all its market value since it began trading on the New York Stock Exchange through a special purpose acquisition company (SPAC) deal in Nov. 2021 that valued the startup at $2.3 billion.

"This announcement represents a significant milestone in Bird's transformation, which began with the appointment of new leadership early this year," Bird Interim CEO Michael Washinushi said in a statement announcing the move.

FTX FILES REORGANIZATION PLAN TO END BANKRUPTCY

"We are making progress toward profitability and aim to accelerate that progress by right-sizing our capital structure through this restructuring," Washinushi said. "We remain focused on our mission to make cities more livable by using micromobility to reduce car usage, traffic, and carbon emissions."

Bird said in a press release that its first- and second-lien lenders have signed off on a restructuring support agreement, which Apollo Global Management's MidCapt Financial division will provide $25 million to implement. The company said it has entered into a so-called "stalking horse" agreement with the existing lenders, which will effectively set a floor for the e-scooter firm's value.

SMILEDIRECTCLUB CEASES OPERATIONS AFTER RESTRUCTURING EFFORT FAILS

The company said it expects the court-supervised process of selling assets will be complete within the next 90 to 120 days.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Bird's Canadian and European operations are not included in the bankruptcy, and will continue to operate as normal, the company said.

Reuters contributed to this report.

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 WalnutCreekGuide.com & California Media Partners, LLC. All rights reserved.