Vehicle data company Wejo has filed to extend its application to appoint administrators, with a second notice filed by Leonard Curtis Recovery at Manchester Court yesterday.
The Manchester-HQd firm initially filed notice of intent to enter administration at the end of May, giving it 10 working days to either announce a rescue plan or officially enter administration. The new application could buy the firm a further 10 days’ grace and seems to suggest it may be buying time for a rescue package – Wejo had been due to undergo a second SPAC merger with Cayman Islands-registered TBK Critical Technologies later this month, which could have raised the company around $100m.
However, in its latest report to the US SEC, the formerly Nasdaq-registered company admitted that it “cannot provide any assurance that the TKB Business Combination will be completed.”
The new delay also means that employees made redundant since the initial notice are left hanging – they are unable to access any government assistance until an administration process is underway.
Wejo’s shares were suspended from trading on the Nasdaq on Friday, however they continued to trade after the listing moved to the Other OTC Market, or the so-called ‘grey market,’ where only broker-dealers can trade due to what Business Insider describes as “lack of investor interest, lack of financial information, or lack of regulatory compliance,” under the symbol WEJOQ.
WEJOQ shares stood at $0.022 at close of trading yesterday, a 4.27 per cent gain.
