Headquartered in ultra-expensive San Francisco, it burned about $100 million in cash in Q2, at the end of which, it had $105 million in cash left on its balance sheet. That’s not a lot of runway at this cash-burn rate. Earlier this month, it filed a prospectus with the SEC for an “at the market” share offering to raise up to $150 million by selling shares “from time to time.” Which will be kind of a slog because the shares have collapsed by 89% from the post-SPAC-merger intra-day high of $14.34, and by 88% from its closing high of $13.04, which gave the company an absurd market cap of $2 billion – almost exactly a year ago, on September 19, 2021, to $1.55 today (data via YCharts):
It wants to “leverage” its infrastructure planning software PredictEV, it said: “By analyzing multiple data sources, including local economic and equity data, PredictEV can identify locations within the company’s pipeline of more than 8,200 EV charging stalls signed or covered under master service agreements (MSAs) that satisfy the government’s requirements.”
Sure, but everyone and their dog has been installing charging stations for years, from Tesla on down, and they’ll be competing for federal subsidies. In California alone there are already over 79,000 charging stations, compared to 7,572 gasoline stations, according to the EIA. Everyone is going after it. The little parking lot of the Walgreens in my neighborhood has had them for many years.
It’s not like Volta invented anything new. What’s new with Volta is that its charging stations have media screens that show ads. And the government doesn’t care about that.SPAC Bamboozle Keeps on Giving: Stock Shredded, Low on Cash, Layoffs Underway, Volta Goes after Government Subsidies for EV Charging Stations | Wolf Street