Steve Burns Lordstown Motors

Former Lordstown Motors CEO Dumps More Stock; Brings Sell-Off Total to $59M

LORDSTOWN, Ohio – Former Lordstown Motors Corp. CEO Stephen Burns has unloaded another five million shares of the company’s stock, according to a federal regulatory filing released Tuesday.

Including these latest transactions, Burns has sold more than $59 million worth of Lordstown Motors stock since he resigned from the company in June 2021.

The latest transaction shows that Burns sold the shares Jan. 6 at an average of 87 cents per unit, an all-time low price for the company’s stock, according to documents filed with the U.S. Securities and Exchange Commission. Burns netted approximately $4.35 million from the sell-off.

After the sale, Burns now owns 21,683,745 shares, or 9.99%, in the startup electric-vehicle company that he founded in 2019, according to regulators.

The most recent sale drew far less return than Burns’ previous sell-offs, records show.

In November, the former CEO cashed in Lordstown Motors stock in multiple transactions. Records show that Burns sold 3.9 million shares worth $7 million on Nov. 11, 14 and 15. Less than a week earlier, Burns cashed in 4.75 million shares worth $9.2 million.

Burns began to shed Lordstown Motors stock in November 2021. Under an agreement with the company, half of his stock holdings were locked until October 2021, and the other half until October 2022.

Burns, who founded the company in 2019, resigned after an internal investigation found that certain Lordstown Motors executives misled the public and exaggerated the number of preorders for the Endurance, the all-electric pickup that is in limited production at Foxconn’s plant here.

On Tuesday, Lordstown Motors stock, which lists under the ticker RIDE, was up approximately 9% in afternoon trading at $1.04 per share.

Lordstown Motors has lost approximately 96% of its value since it closed at a high of $29.01 on Sept. 18, 2020.

Pictured at top: Stephen Burns, former Lordstown Motors Corp. CEO.

Copyright 2023 The Business Journal, Youngstown, Ohio.