February 6, 2023

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Canoo loses more executives as EV startup hemorrhages talent

Electric powered-vehicle startup Canoo Inc. has missing numerous critical executives in recent weeks, deepening a talent drain as it faces an investigation by securities regulators.

Between the current departures is Mike de Jung, an early staff and near affiliate of Canoo’s chief designer Nicolas Leblanc, motor vehicle plan direct and Richard Walker, who oversaw software package controls, according to persons acquainted with the make a difference who questioned not to be identified. Steven Offutt, one particular of Canoo’s earliest staff members and the head of powertrain and battery producing engineering, is also stepping down, the people today stated.

“When you have smart, gifted folks, this from time to time transpires,” a Canoo spokesperson claimed in a assertion that didn’t straight handle the departures. De Jung and Offutt didn’t respond to requests for comment, though Walker declined to comment. Leblanc confirmed his exit in a LinkedIn concept.

The losses complicate Canoo’s endeavours to start off producing commercially centered electrical vans later this yr.

The corporation has been below investigation by the U.S. Securities and Trade Fee above its 2020 merger with a blank-check out business and subsequent “departures of particular of the company’s officers,” Canoo explained in a regulatory submitting. The corporation also faced pushback following a strategic shift last yr absent from agreement engineering products and services.

EV startups have been less than pressure lately as investor sentiment has shifted following a wave of buzzy mergers and inventory choices final 12 months. Firms such as Nikola Corp., Faraday Potential Intelligent Electric Inc. and Electric powered Last Mile Solutions Inc. have struggled with government resignations and other stumbles in the competitors to choose on EV market chief Tesla Inc.

Canoo early last yr shed CEO Ulrich Kranz, who took a position at Apple doing work on the company’s secretive car project, as very well as its CFO, normal counsel and powertrain division guide. By the stop of the calendar year, Canoo’s chief technological innovation officer and a number of other executives still left.

The departures have ongoing more a short while ago, with the chief marketing officer and vice presidents of manufacturing and trader relations stepping down, Insider reported last 7 days.

Canoo’s shares fell 24 percent this year as a result of Friday’s near.