Better Place Asks Court To Liquidate Its Assets

Yesterday battery swap station operation Better Place announced from Tel Aviv that it would be dissolving the company, and has asked the local district court to appoint a temporary liquidator.

The company maintains its vision was a valid one, and officers of the company expressed regrets while saying they’d done all they could to preserve the company.

Since the company’s inception, whether the Better Place model could become mass-market viable was questioned by others who did not see the vision.

The company’s Board of Directors issued a joint statement on this topic however, even as they were shutting down the operations.

“The most important thing of all was that the intention was the right one. The purpose and concept of the business was to deliver a positive change in the world in which we live. We know that there is no certainty in any venture. It requires daring, courage, determination and resources in order to turn a venture into a sustainable industry.

“The vision is still valid and important and we remain hopeful that eventually the vision will be realized for the benefit of a better world. However, Better Place will not be able to take part in the realization of this vision.”

To offer some background for why the company is choosing to dismantle, Better Place said that over the past six months its management “made fundamental changes in the company, focused its strategy, goals and markets and at the same time has continued to seek additional financing for the business and secure additional models to supplement its current offer.”

The bottom line is “revenues are still insufficient to cover operating costs, and in the light of the continued negative cash flow position, the Board has decided that it has no option but to seek to make this application to the Courts for an orderly liquidation of the company.”

The move to therefore dismantle operations and sell off assets was deemed most prudent to protect the rights of its employees, customers and creditors.

“This is a difficult day for all of us, said Better Place Chief Executive Officer, Dan Cohen, “We have come a long way in order to bring about a global vision. From the start, Better Place was a breakthrough for the infrastructure of the electric car industry and successfully completed the development of its technology and infrastructure. Israel was the first place in which an electrical car could travel without limit.”