Soros Investment Firm Suffers Losses of Up to $105 Million on Bankrupt Green Energy Company Supported by Biden

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According to a Daily Wire analysis, the investment firm owned by George Soros, a liberal billionaire, was a significant investor in an elect...

Irma Estes

Irma Estes

16 August 2023 10:23 am

Soros Investment Firm Suffers Losses of Up to $105 Million on Bankrupt Green Energy Company Supported by Biden

Investment Firm Owned by George Soros Loses Millions on Bankrupt Electric Bus Company

According to a Daily Wire analysis, the investment firm owned by George Soros, a liberal billionaire, was a significant investor in an electric bus company that recently went bankrupt. The Biden administration had previously praised this company as the future of green transit. The analysis suggests that Soros' firm may have lost up to $105 million in the two years since the company went public.

Soros Fund Management's Investment in Proterra

Soros Fund Management, led by billionaire investor George Soros, was an early investor in Proterra, an electric bus company. The fund owned 7.75 million shares of Proterra when the company went public in June 2021, which was valued at over $132 million. However, the stock price of Proterra has been declining since then. Despite initially buying an additional 220,000 shares in the final quarter of 2021, Soros has been selling off shares in every quarter since due to concerns about the company's performance. This news has caused other investors to become wary of Proterra as well.

Losses Incurred by Soros Fund Management

According to an analysis of quarterly disclosures since June 2021, it has been found that Soros, the investment firm, has lost up to $105 million on its investment in Proterra. This loss occurred before Proterra filed for Chapter 11 bankruptcy. Even if Soros managed to sell off its stock at the highest price each quarter, the analysis suggests that the firm would still have incurred a loss of over $68 million.

Biden Administration's Support for Proterra

A liberal billionaire and Democratic Party financier made a promising investment in Proterra, a company that produces electric buses. The company received support from the Biden administration, with President Biden visiting one of Proterra's facilities and expressing optimism about the future of companies like Proterra. This visit came after Biden's infrastructure plan, which included funding for electric school buses, one of Proterra's main products.

Proterra's Benefits from Legislation

Proterra, an electric vehicle manufacturer, stands to benefit from the Inflation Reduction Act in addition to the infrastructure plan. The company's Chief Legal Officer, JoAnn Covington, mentioned that the legislation would provide tax credits and new funding sources for electric vehicle manufacturers like Proterra. She also highlighted that the law would create opportunities to accelerate the adoption of battery-electric and zero-emissions vehicles in various commercial sectors that are close to transitioning to electric vehicles.

Potential Conflict of Interest and Calls for Resignation

In February 2023, President Biden appointed Proterra CEO Gareth Joyce to the President's Export Council, a group that advises the President on international trade. This appointment suggests a close relationship between the Biden administration and Proterra. Additionally, Department of Energy Secretary Jennifer Granholm, who previously sat on the board of Proterra, held up to $5 million in stock options in the company. This raised concerns about a potential conflict of interest, leading U.S. Senator John Barrasso to request a review of the situation. Granholm divested from her stake in Proterra in May 2021, which turned out to be a financially fortunate move as the company later collapsed. Conservative groups are now calling for Granholm's resignation, citing "ethical lapses" related to her investment in Proterra.

Criticism and Shareholder Lawsuits

Senator Ted Cruz (R-TX) has criticized the Biden administration for promoting a company in which the energy secretary, Jennifer Granholm, holds a multimillion-dollar stake. Cruz compared this situation to the Obama administration's Solyndra scandal and predicted that it could turn out to be an even worse investment. He expressed concerns about the potential conflicts of interest and questioned the decision to heavily promote a business associated with a high-ranking official.

Proterra, an electric vehicle manufacturer, is currently dealing with multiple shareholder lawsuits. These lawsuits claim that the company provided inaccurate or incomplete financial information that impacted the value of its shares. Proterra has not yet responded to these allegations. Soros Fund Management, one of Proterra's shareholders, has not commented on the matter.

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