Electric car maker Aptera Motors has shut down after failing to pursue investors to invest in its new four-door electric sedan.
Aptera CEO Paul Wilbur announced that the company closed down on Friday, laying off all its 30 employees.
If Aptera was to receive a $150 million loan from DOE, it was expected to prove equivalent investor curiosity through funds. However, the company failed to do so, since investors were wary of problems that similar electric car makers were facing. Recently, Tesla Motors Inc. was afflicted by millions of dollars in losses, as it prepares to bring a sedan in mid 2012.
Although, investors are of the opinion that the industry could do better and sympathize with the situation, they keep off, fearing losses. There aren’t many who are ready to take risk of investing in electric car companies.
Aptera first developed a three wheeled electric car when it opened in 2006. After they shelved the car in 2010, it proposed to build a four-door electric sedan that would provide an equivalent of 190 mpg, compared to 99 mpg of the Nissan Leaf.
Wilbur said that the car which was lighter than a Honda Accord would have cost around $30,000 compared to the Leaf which is priced at $35,200.
Rep. Darrell Issa, R-Calif. who was among the few, trying to help out Aptera, was upset with the Obama administration over sanctioning a $528 million federal loan to solar panel maker Solyndra, but refused to commit for a loan to electric car makers.