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A.L.I. Technologies, maker of Star Wars-themed hoverbikes, has filed for bankruptcy due to rising research and development costs and slow adoption of the next generation of vehicles.
The filing comes less than a year after parent company Aerwins Technology Inc. debuted on the Nasdaq exchange in one of the worst SPAC mergers of all time, causing the startup to declare that it was in danger of surviving as a going concern. The startup's liabilities totaled about 1.2 billion yen ($8.3 million) at the end of December 2022, when its annual net loss was about 2 billion yen, almost three times its revenue, corporate data provider Teikoku Databank said Monday, Bloomberg reports.
The startup's limited-edition Xturismo hoverbike made a splash at the 2022 Detroit Auto Show, and A.L.I. planned to receive orders for models costing US$500,000 each, which were expected to be ready last year. As cash flows have weakened, the company has shifted much of its focus to stimulating demand in the Middle East while cutting costs.
Aerwins shares, which continue to trade on the Nasdaq, were last traded at $0.12 per share in New York. About 99% of Aerwins SPAC investors decided to buy back their shares immediately after the initial public offering, causing the company's shares to fall nearly 90% in a month.
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