Quebec-based Taiga Motors (TAIG), which made fully electric snowmobiles, has filed for Chapter 11 bankruptcy.
The bankruptcy filing was widely expected coming as it does three months after Taiga Motors halted its vehicle production and let go most of its workforce.
Taiga blamed much of its financial issues on climate change, saying a mild winter this year led the Montreal-based company to stop production and eliminate 70 jobs.
However, the company has struggled with declining sales of its higher priced snowmobiles for several years.
Taiga had snowmobile sales deals secured with resort operators in Sweden, Italy and France. However, the company’s battery-powered products never took off as hoped.
Quebec’s Superior Court has approved Taiga’s plan to pursue a sale of its business and assets.
Since going public in 2021, the stock of Taiga Motors has declined 98% and currently trades at $0.30 per share, putting it deep down on the penny stock league tables.
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