Case filing & court posture: Nikola Corporation and 9 affiliated debtors filed chapter 11 on February 19, 2025 in the U.S. Bankruptcy Court for the District of Delaware. Dkt. 1 Case No. 25-10258 (TMH). The debtors, a designer and manufacturer of zero-emission Class 8 commercial trucks, entered bankruptcy after founder Trevor Milton's securities fraud conviction and effective lockout from capital markets following operational losses.
Liquidity & financing path: The debtors funded the chapter 11 case with approximately $47 million cash on hand without obtaining DIP financing. Dkt. 18 The company pursued an expedited sale process to maximize asset value and preserve going-concern operations where possible.
Restructuring outcome: The debtors conducted multiple 363 sales: core battery-electric truck assets to Lucid USA II for $3.85 million Dkt. 408 (approved April 11, 2025), environmental credits to PACCAR for $15.3 million Dkt. 648 (approved June 24, 2025), and hydrogen-related assets to Hyroad Energy Dkt. 848 (approved August 6, 2025). Additional equipment sales were conducted through Gordon Brothers.
Plan effective date & post-confirmation: The Court confirmed the Second Amended Chapter 11 Plan of Liquidation on September 12, 2025. Dkt. 1036 The plan became effective on December 12, 2025, establishing a liquidating trust to wind down the estates and distribute proceeds to creditors. General unsecured creditor recovery was projected at approximately 20.7%.
Current status: The case remains open in post-confirmation liquidating trust administration. The liquidating trustee is administering remaining assets, prosecuting estate claims, and making distributions under the confirmed plan.