Coda Holdings Inc., parent of the electric-car maker backed by billionaire Philip Facone, filed for bankruptcy and will seek to sell its assets to a group led by a Fortress Investment Group.
Coda Holdings shut down its automotive unit last year after failing to make good on its promise to sell 10,000 vehicles. The company sold less than 100 vehicles while employing 40 people. It will focus on its energy storage business, said Phil Murtaugh, chief executive officer of the Los Angeles-based company in a statement.
The company introduced its five-passenger electric car in California a year ago with a range of 125 miles on a single charge. The $37,250 vehicle was based off a years-old vehicle design and was panned for its bland styling. Additionally, it suffered through a recall due to faulty airbags.