It has shut down all of its acquired businesses except the wireless charging company WAVE, and laid off all but 17 employees.Electric vehicle tech company Ideanomics Inc. filed for Chapter 11 bankruptcy in Delaware on Wednesday to find a buyer for its wireless charging business and other technology investments.
Ideanomics entered bankruptcy with over USD 30 million in debt and just USD 189,000 in cash on hand, according to documents filed in Wilmington, Delaware bankruptcy court. Ideanomics said it has lost over USD 800 million in the past five years.
The company spent USD 320 million on electric vehicle technology investments between 2021 and 2023, but most of those investments were unprofitable.
It has shut down all of its acquired businesses except the wireless charging company WAVE, and laid off all but 17 employees.
WAVE, which Ideanomics purchased in 2021, will continue to operate during the bankruptcy, and its wireless charging technology is being used by the Antelope Valley Transit Authority in California, which serves commuters in the cities of Palmdale, Lancaster, and Northern Los Angeles County.
The WAVE system is built into routes on public roads and parking facilities, and it is designed to automatically charge buses during scheduled stops, according to court documents.
Ideanomics has lined up an USD 11 million bankruptcy loan from Tillou Management and Consulting, an entity controlled by former wrestling executive Vince McMahon. McMahon is married to Linda McMahon, who U.S. President-elect Donald Trump has nominated as education secretary in his second administration.
Ideanomics plans to sell WAVE to Tillou unless another buyer steps in with a higher offer, according to court documents.
Ideanomics saw its stock surge to over USD 600 a share in 2021 as retail investor interest in electric vehicles surged. The U.S. Securities and Exchange Commission later accused the company of misleading investors by overstating its financial performance. Ideanomics' stock was de-listed from NASDAQ in July 2024, and it settled the SEC lawsuit in August.
Before its pivot to electric vehicles, Ideanomics operated in unrelated markets, providing video-on-demand services in China and later providing financial technology used for trading in petroleum and electronic components.
