Azure Dynamics Files for Bankruptcy

According to Khabarkhodro,Electric drivetrain manufacturer Azure Dynamics, known for building the electric version of the Ford Transit Connect van, recently entered bankruptcy protection.

The company, which failed to raise more capital through a stock offering, had to lay off 120 workers, 55 employed at Oak Park, Michigan, were the company’s headquarters is from 2007. Azure, which was founded in 1997 in Canada, builds the electric version of the Ford Transit Connect, as well as electric powertrains and battery systems for delivery vans, plug-in hybrid trucks, hybrid buses, and similar vehicles.

As a consequence for falling to secure approval from the Ontario Securities Commission to sell stock, the company was forced into bankruptcy. The company needed the cash as it lost $26.1 million dollars during the first three quarters of 2011. With only 40 workers currently, Azure stopped production of vehicles but still continues to supply parts for vehicles.

“We fully intend to be back and moving forward, but we have to reorganize,” declared Azure Dynamics’ vice president of marketing Mike Ellwood. “We still believe that electric vehicles are a part of the solution going forward.”

In February 2012 Azure declared that it had taken orders from Europe and North America for another 45 electric Transit Connects.