Laid off approximately 730 employees following Greensill Capital collapse and SoftBank's May 2021 refusal to invest additional capital. Filed Chapter 11 bankruptcy June 6, 2021 with 6,400 remaining employees from peak of over 8,000. Had raised nearly $3B but "was unable to generate a profit." Class action lawsuit by 700 former employees alleged WARN Act violations for failing to provide 60-day notice.
#117 on the board
D
Katerra
CompanyConcerning25/100low confidence · 3 issues
2 opposed1 mixed
Modular construction (defunct).
The receipts (3)
Founded 2015 with mission to "transform" construction through modular building and prefabrication, aiming to reduce waste and improve efficiency. Built factories in Phoenix and Tracy, CA for off-site construction. However, collapsed before achieving environmental goals. Cost overruns, logistics failures, and management issues led to $2B+ in losses. SoftBank Vision Fund was largest investor.
Executive told employees in June 1, 2021 video call that company lacked cash for severance or unused PTO payouts. Class action lawsuit filed on behalf of 700 former employees alleging they were owed unpaid wages and accrued vacation time. Workers at Spokane Valley plant given abrupt closure notice. Assets valued $500M-$1B but company owed $1B-$10B to creditors.