US commercial electric vehicle (EV) maker Electric Last Mile Solutions (ELMS) will lay off about 24% of its staff, the company disclosed in a regulatory filing on Friday.
The plan to terminate 50 employees was approved on February 21, according to the regulatory filing. The company said it was looking to focus on its core business and become leaner.
ELMS, which is struggling with production due to supply chain hurdles, said on February 1 that its top two executives, chief executive James Taylor and chairman Jason Luo, had resigned following an investigation into their share purchases.
The company had also said it would restate financial statements as of December 31, 2020 and the nine months ended September 30, 2021.
Since the resignation of the executives, the Troy, Michigan-based company’s stock has tumbled about 68%.
ELMS share price fell a further 7.7% on Friday to $1.79.
Interim CEO Shauna MacIntyre, said she saw a “bright future” for the company. “I’ve been a fan of ELMS since its inception,” she said. “We will continue striving to make a positive difference.”
- Reuters with additional editing by George Russell
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