CONCORD, NC (FOX 46 WJZY) - Alevo USA and Alevo Manufacturing in Concord announced it is filing for Chapter 11 bankruptcy and will close operations at their facility today.
Alevo, known for its groundbreaking battery technology, has had significant production challenges and insufficient revenue.
"Filing for Chapter 11 bankruptcy is a difficult, but necessary decision", said Peter Heintzelman, Alevo CFO. "This decision was driven by the formidable challenges of bringing a new technology into commercial production and lacking the financial wherewithal to continue on through repeated manufacturing delays. It is a sad day for our dedicated employees and partners, as well as for the promise of Alevo's technology."
Statement from Mayor Scott Padgett:
“I was extremely disappointed to receive notice that Alevo is ceasing operations today. My most immediate concern is for the 290 individuals and their families that will be affected by a loss of employment. They took a chance on a promising future with Alevo, and now have to start back at square one. Fortunately, we have an increasingly diversified economy in Concord that offers many current and future employment opportunities.
Alevo offered an exciting vision for a portion of the former Philip Morris property they leased, which ultimately did not come to reality. The property ownership of the entire tract of land on both sides of Concord Parkway remains financially stable. The City, County, and Cabarrus Economic Development Corporation will continue working with the owners to find the right use for the most unique development opportunity in this part of the United States.”