CONCORD, N.C. — A Concord manufacturing company is shutting down after announcing it will file for Chapter 11 bankruptcy.
Alevo USA, Inc. and Alevo Manufacturing, Inc. announced on its website that it will close operations because of significant production challenges and insufficient revenue.
Alevo employs 290 people.
The company was seeking new funding sources to finance its operations and growth strategies, but the funding was not realized in time.
“Filing for Chapter 11 bankruptcy is a difficult, but necessary decision,” said Peter Heintzelman, Alevo CFO, “this decision was driven by the formidable challenges of bringing a new technology into commercial production and lacking the financial wherewithal to continue on through repeated manufacturing delays. It is a sad day for our dedicated employees and partners, as well as for the promise of Alevo’s technology.”
In February, the company announced plans to add additional production lines and equipment at its battery manufacturing facility in Concord and to create just over 200 jobs and invest $251.5 million into the local economy.
Back in 2014, Alevo announced that it planned to hire 500 workers in the first year and 2,500 in three years.
It envisions up to 6,000 jobs created if additional manufacturing elements are located at the plant.
“We need something that people, the average person, I'm not talking about computers and all that, I'm talking about what the average person like myself can do,” Concord resident Margaret Rhinehardt said.
Read more top trending stories on wsoctv.com:
- What not to do the day of and during the total solar eclipse
- Sheriff: 5 hurt after Amtrak train collides with tractor-trailer in Chesterfield Co.
- Mother kidnapped, taken to ATM while son slept in Sedgefield home
- VIDEO: Man pepper sprays 'Soldiers Reunion Parade' participants in Newton
- Protesters gather around Confederate statue in downtown Salisbury
- WATCH: Vicki Graf's weekend forecast outlook