Canoo
| Company type | Public |
|---|---|
| Industry | Automotive |
| Founded | 2017 |
| Founder | Stefan Krause, Ulrich Kranz |
| Defunct | 2025-01-17 |
| Fate | Filed for Chapter 7 bankruptcy; operations ceased |
| Headquarters | Torrance (formerly), later Justin, Texas , United States |
Area served | United States |
Key people | Tony Aquila (last CEO), Stefan Krause (co-founder, former CEO), Ulrich Kranz (co-founder, former CEO) |
| Products | Electric vehicles (vans, pickup trucks) |
Number of employees | 82 (furloughed December 2024) |
Canoo Inc. was a U.S.-based automotive manufacturer headquartered in Torrance, California, concentrating on the design and production of electric vehicles. Its research and development operations were located in the Detroit area (Auburn Hills, Livonia), while its manufacturing took place in Justin, Texas. Canoo primarily targeted the commercial electric vehicle sector, with an emphasis on vans intended for fleet services, rental companies, and ride-sharing platforms. The company filed for Chapter 7 bankruptcy and halted all activities on January 17, 2025.
Founding as Evelozcity
Established in 2017 under the name Evelozcity, the company was founded by Stefan Krause, formerly CFO of Deutsche Bank, alongside Ulrich Kranz, a former senior executive at BMW. Prior to launching Evelozcity, both had been part of Faraday Future but left due to differences in leadership direction. Krause took on the role of CEO while Kranz was appointed as chief technology officer. Initial capital was provided mainly by Chinese investor Li Pak-tam and German businessman David Stern.
In April 2018, Evelozcity brought on board Karl-Thomas Neumann, ex-CEO of Opel, as a senior leader.
Transition to Canoo
The company rebranded to Canoo in March 2019. Although Neumann departed from his executive position in July 2019, he continued to hold an investment stake.
By September 2019, Canoo revealed its inaugural vehicle prototype—an electric van that would become known as the Canoo Lifestyle Vehicle.
In February 2020, Hyundai Motor Group announced a collaboration with Canoo to jointly develop an electric vehicle platform aimed at compact and fleet vehicles. This partnership was part of Hyundai’s $87 billion Strategy 2025 initiative.
Co-founder Stefan Krause exited Canoo in July 2020 following an extended leave of absence, with Ulrich Kranz assuming full-time CEO responsibilities. That same month, Canoo appeared on the television show Jay Leno's Garage.
Public offering
In September 2020, Canoo declared plans to merge with special-purpose acquisition company Hennessy Capital Acquisition Corp. IV, targeting a NASDAQ listing with a valuation of $2.4 billion. The company aimed to secure $300 million to fund production of its minivan model slated for a 2022 release. The merger was finalized on December 22, 2020, with Canoo’s shares beginning trading under the symbol "GOEV."
Shortly before going public, Canoo introduced its Multi-Purpose Delivery Vehicle (MPDV) series. This entry-level electric van was priced at $33,000, with limited deliveries anticipated in 2022 and full-scale production planned for 2023.
In early 2021, reports surfaced indicating that Canoo had engaged in discussions with Apple regarding involvement in Apple’s confidential Titan automotive project.
On March 11, 2021, Canoo launched an electric pickup truck scheduled for market introduction in 2023. The vehicle would be available with both single- and dual-motor all-wheel drive configurations; the dual-motor variant is rated at 600 horsepower and 550 lb-ft of torque. The truck is projected to deliver over 200 miles per charge and carry payloads up to 1,800 pounds. Following this announcement, Canoo’s stock price increased by 14%.
Also in March 2021, Canoo terminated its partnership with Hyundai Motor Group due to a strategic realignment and declared a shift away from subscription-based models toward concentrating exclusively on commercial vehicle sales.
Leadership and Facility Developments
On April 22, 2021, Ulrich Kranz, co-founder and CEO, resigned from his position, with chairman Tony Aquila stepping in as the new CEO. That same month, the U.S. Securities and Exchange Commission initiated an investigation into Canoo following its merger with Hennessy Capital Acquisition Corp. IV, prompted by executive turnover, changes in the company’s business strategy, and shareholder litigation.
On June 17, 2021, Canoo revealed intentions to construct a manufacturing plant in Pryor, Oklahoma, aimed at producing vehicles characterized by "pod-shaped vans" beginning in 2023. Simultaneously, it was reported that Dutch manufacturer VDL Nedcar would assemble Canoo Minivans for the European market; however, this production partnership was terminated later that year. After securing orders in October 2022, Canoo announced plans for a battery manufacturing facility at the MidAmerica Industrial Park (MAIP) in Pryor to complement its previously disclosed vehicle assembly plant capable of producing 300,000 units annually.
On November 15, 2021, Canoo disclosed its decision to relocate corporate headquarters to Bentonville, Arkansas and to establish a manufacturing site there. By January 2022, the company had leased a Bentonville facility intended for low-volume production. In August 2022, Canoo engaged an external contractor for initial vehicle assembly. Although the company listed Torrance, California as its headquarters in December 2022, subsequent reports indicated a relocation to Justin, Texas by 2024. By May 2024, operations at the Bentonville site appeared to have ceased.
Facing financial constraints in May 2022 with only a quarter’s worth of operational funds remaining, Canoo initiated legal action against investor Li Pak-Tim over disputed share transactions. Toward the end of November 2022, Canoo agreed to acquire a manufacturing plant in Oklahoma City to commence vehicle production by 2023 ahead of completing its Pryor micro megafactory.
In December 2022, Canoo filed lawsuits against former executives accusing them of misappropriating trade secrets and recruiting staff to start competing EV company Harbinger Motors.
In April 2023, Canoo announced plans for battery production at Pryor to meet a contract from the United States Department of Defense, with vehicle manufacturing scheduled to begin later that year at the Oklahoma City facility. The acquisition of the OKC plant—previously owned by Terex—was finalized on April 7, 2023. For the fiscal year 2023, Canoo reported net revenue after delivering 22 vehicles; however, payments made to CEO Aquila’s firm for private jet use and shared services were almost four times higher than revenue earned.
Collapse and Bankruptcy Proceedings
In March 2024, Canoo acquired assets from rival EV startup Arrival following that company's bankruptcy filing. The company’s stock declined sharply after projecting disappointing earnings between US$50 million and $100 million for 2024.
By August 2024, co-founder and CTO Sohel Merchant exited the company as Canoo announced plans to move its operations out of Los Angeles.
By December of that year, Canoo had furloughed 82 workers at its Oklahoma facility and suspended factory operations while engaging in "advanced discussions with various capital sources" seeking emergency financing.
On January 17, 2025, Canoo filed for Chapter 7 bankruptcy protection in Delaware due to severe cash deficits and inability to secure additional funding. The company immediately halted all operations as a court-appointed trustee assumed control of asset liquidation. At the time of filing, Canoo held fewer than $50,000 in assets. On March 5, CEO Anthony Aquila submitted an offer to purchase nearly all company assets for $4 million in cash.
Vehicles
- Canoo LV (introduced September 2019)
- Canoo MPDV
- Canoo Pickup Truck (revealed March 2021)
Confirmed Orders
On April 13, 2022, NASA selected Canoo to provide crew transport vehicles for its Artemis program, under a contract valued at $147,855. Prior to Canoo’s bankruptcy, three specially modified Lifestyle Vehicles were delivered.
In July 2022, Walmart entered into an agreement to acquire 4,500 all-electric Lifestyle Delivery Vehicles (LDVs) from Canoo, with an option to increase the purchase to 10,000 units. Walmart retains the right to cancel the contract with a 30-day notice.
By October 2022, Canoo had secured two significant fleet contracts: Zeeba, a leasing company based in Los Angeles, committed to acquiring 3,000 LDVs and Lifestyle Vehicles out of a total combined order of 5,450 units expected by 2024. Shortly thereafter, Kingbee, a Utah-based rental provider specializing in work vans, placed a binding order for 9,300 LDVs with an option to double that quantity. Kingbee’s clientele includes construction professionals, delivery services, and mobile healthcare providers.
In January 2024, Canoo announced that the USPS had ordered six right-hand-drive LDV vans slated for delivery by April. This limited fleet addition underscores Canoo’s versatile platform featuring steer-by-wire systems and adjustable suspension.
As of October 2024, fewer than a dozen vehicles have been delivered across all orders, mostly as prototype samples rather than mass-produced units.