Australian manufacturing poster child Tritium collapses

Nick BonyhadyTechnology writer

Apr 19, 2024 – 1.45pm

Save

Share

Gift this article

New

Listen to this article

2 min

A Nasdaq-listed Queensland electric vehicle charging manufacturer hailed first as an Australian success story and then as a justification for government subsidies has collapsed.

Tritium went into administration on Friday under KPMG partners while a team from McGrathNicol have been appointed receivers of the Brisbane-headquartered business.

Electric vehicle charging manufacturer Tritium went into administration on Friday. Jamila Toderas

McGrathNicol partner Shaun Fraser said the receivers’ first priority was to stabilise the business. “A sale process for Tritium’s business and assets was underway prior to our appointment – we will be re-engaging as a matter of urgency with interested parties and the broader market to seek to find a long-term capital and/or ownership solution for Tritium,” Mr Fraser said in a brief statement. KPMG was contacted for comment.

Earlier this month in Queensland Prime Minister Anthony Albanese said Tritium’s decision to close its Australian factory and produce its chargers in the US was a “lost opportunity”.

“We need to acknowledge that this is a reality, that we are in a global competition for capital,” Mr Albanese said, directly linking it to the government’s plan to fund domestic manufacturing.

Advertisement

Those plans have attracted criticism from economists who view the spending – even in the form of loans – as risking permanent public support for uncompetitive industries.

Tritium’s pivot to the United States did not work.

In a statement to the US Securities and Exchange Commission, Tritium’s board said the company and three subsidiaries “were insolvent or likely to become insolvent”.

Even before that Tritium was facing an attempt by the Nasdaq to remove it from the exchange as its business faltered. Its shares last traded at $US3.64.

More to come.

RELATED

Nasdaq poised to kick Brisbane-based Tritium off the exchange

RELATED