Signs of Financial Trouble at View Inc.
Smart glass manufacturer View Inc. issued a grim financial statement earlier this month warning that it risks running out of cash.
According to the release, there is “substantial doubt about the company’s ability to continue as a growing concern, as the company does not currently have adequate financial resources to fund its forecasted operating costs and meeting its obligations for at least 12 months from the expected issuance date of its 2021 financial statements.”
The release notes that View will look to raise funds, but “there can be no assurance that the necessary financing will be available or will be available on terms acceptable to the company.”
The last year has been one of major change for View Inc. The manufacturer merged with CF Finance Acquisition Corp. II, sponsored by Cantor Fitzgerald, L.P., in March 2021.
CF Finance Acquisition Corp. is a special purpose acquisition company, or SPAC, sometimes called a blank check company. SPACs offer a way for companies to fast track their way through an initial public offering and onto the stock market.
The $1.6 billion merger between CF Finance and View made the smart glass firm a publicly traded company on Nasdaq. The company’s stock is down about 90 percent.
View officials announced it will hold its next earnings call on May 31. The company plans to report 2021 financial results and prior periods after the market closes.
Bloomberg’s Chris Bryant criticized SPACs—and the View merger in particular—in a column last week, noting the “abysmal performance of businesses that have gone public by merging with [SPACs].”