CONCORD, N.C. (WBTV) - Concord-based battery energy storage provider Alevo is filing for bankruptcy, the company posted on their website Friday.
"Alevo USA, Inc. and Alevo Manufacturing, Inc. will file for Chapter 11 bankruptcy today and close operations at their facility in Concord, NC," the company posted on their website. Sources say 200 people are being laid off.
Alevo says they have significant production challenges and this insufficient revenue.
"The Company has been actively seeking new funding sources to finance its operations and growth strategies. Unfortunately, despite best efforts, the funding has not been realized in time," the release said.
Alevo CFO Peter Heintzelman says the decision was driven by challenges of bringing a new technology into commercial production. He calls the decision to file for bankruptcy "a difficult, but necessary decision."
"It is a sad day for our dedicated employees and partners, as well as for the promise of Alevo's technology," Heintzelman said.
Below is the full release posted on Alevo.com:
In July, Alevo was holding three job fairs to find workers.
The company wanted to fill over 200 manufacturing jobs at the Concord plant, located in what used to be the Philip Morris plant, on Concord Pkwy S.
Concord Mayor Scott Padgett released a statement on the situation.