Lordstown gets approval to sell assets to founder for $10 million

By Sarah Lizee

Olympia, Wash., Oct. 18 – Lordstown Motors Corp. received approval from the U.S. Bankruptcy Court for the District of Delaware to sell assets to LAS Capital LLC for $10 million, according to an order filed Wednesday.

Stephen Burns, the founder and former chief executive officer of Lordstown Motors, is the majority equity holder of LAS Capital.

LAS will pay $4 million to the debtors if the asset purchase agreement is breached by the proposed purchaser.

The company hopes to close a sale by Oct. 31.

The Lordstown, Ohio-based electric vehicle maker filed Chapter 11 bankruptcy on June 27 under case number 23-10831.

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