All of Canoo’s employees are reportedly on a ‘mandatory unpaid break’

Days after laying off dozens of its employees without pay, EV startup Canoo has told the rest of its staff they will be on “mandatory unpaid leave” until at least the end of the year, TechCrunch reported Friday. A company email seen by the outlet said employees will be locked out of Canoo’s systems at the end of Friday, with their benefits continuing until the end of this month.

The report follows Canoo announcement last week it idled its Oklahoma factories and laid off employees while it worked “to finalize securing the capital necessary to move forward with its operations.” As TechCrunch notes, the company said it only had about $700,000 in the bank last month.

Even on Friday, the company announced a 1-for-20 reverse stock split, effective December 24. Canoo says the consolidation aims to keep its stock listed on the Nasdaq exchange and will attract “a broader group of institutional and retail investors.”

Canoo was founded in 2017 to sell electric vans and trucks to adventure-seeking customers, but has only ever made vehicles for the US government. As The Virginit’s Andrew Hawkins he wrote last yearAnalysts have warned of its insolvency risk as it teeters on the brink of running out of cash by 2022. Canoo has lost a steady stream of executives since then, including all its founders and, more recently, his CFO and general counsel.