SCHEDULE: Getaround to Wind Down Operations as Mudrick Takes Control

Mudrick Capital Management has entered into an agreement to convert debt into equity to facilitate the orderly liquidation and wind-down of Getaround, Inc.

Summary

• Mudrick Capital Management (MCM) and its affiliates have reported a 90.6% beneficial ownership stake in Getaround, Inc.
• The reporting persons entered into a Letter Agreement effective April 9, 2026, to support the orderly wind-down of the company.
• MCM has agreed to convert a significant portion of its Convertible Notes into common stock at the request of the Board of Directors.
• The wind-down will be conducted in accordance with Section 275 of the Delaware General Corporation Law.
• The total beneficial ownership includes 926,376,132 shares issuable upon conversion of notes and 7,000,000 shares from warrants.

Sentiment

Score: 1

Explanation: StockSavvy.ai views this as a terminal event for the company; liquidation and dissolution represent the total failure of the business model for equity holders.

Positives

• The wind-down is described as 'orderly,' which may preserve more value than a chaotic bankruptcy proceeding.
• Major creditor support from Mudrick Capital Management reduces the likelihood of protracted legal battles during the dissolution.

Negatives

• The company is effectively ceasing operations and liquidating its assets.
• Existing minority shareholders face massive dilution, with Mudrick's potential ownership reaching 90.6%.
• Common stock recovery in a Section 275 wind-down is typically minimal or non-existent after creditors are paid.

Risks

• Total loss of capital for common shareholders as the company moves toward dissolution.
• The wind-down process is subject to the satisfaction of various conditions and board requests.
• Potential for insufficient asset value to cover outstanding liabilities even after debt-to-equity conversion.

Future Outlook

The company is expected to cease being a going concern. Future activities will focus on the liquidation of assets, settlement of liabilities, and the formal dissolution of the corporate entity under Delaware law.

Management Comments

• The applicable Reporting Persons intend to vote in favor of such wind-down if a request by the Issuer's board of directors is made.

Industry Context

StockSavvy.ai notes that Getaround's move to wind down reflects the broader struggle for profitability in the high-capital-intensity car-sharing and gig-economy mobility sectors, where several players have faced consolidation or insolvency.

Comparison to Industry Standards

• Getaround's liquidation follows similar distress signals seen in the mobility sector, such as the bankruptcy of various micro-mobility firms.
• The 90.6% concentration of ownership by a distressed debt specialist is a standard precursor to a controlled liquidation or 'loan-to-own' restructuring.
• Unlike competitors like Turo, Getaround was unable to reach a sustainable path to profitability as a public entity.

Corporate Governance

Legal Proceedings

• The company is initiating a legal wind-down process under Section 275 of the Delaware General Corporation Law.

Related Party Transactions

• The Letter Agreement between the Issuer and Mudrick Capital Management (a 90.6% beneficial owner) constitutes a significant related-party transaction regarding the company's terminal phase.

Stakeholder Impact

• Common shareholders: Likely to receive zero recovery and face total dilution.
• Creditors: Mudrick Capital Management will lead the distribution of remaining assets.
• Employees and Customers: Will be impacted by the cessation of business operations.

Next Steps

• Formal request by the Board of Directors to convert Mudrick's notes.
• Shareholder vote to approve the dissolution and wind-down plan.
• Execution of the orderly wind-down under Delaware General Corporation Law Section 275.

Key Dates

Recommendation

The company has officially entered a wind-down and dissolution phase. With a 90.6% beneficial ownership by a debt holder and a plan to liquidate, there is no remaining upside for common shareholders, and the stock is likely to become worthless.

Keywords

Getaround, Mudrick Capital Management, Wind-down, Liquidation, Convertible Notes, Section 275, Delaware General Corporation Law, Corporate Dissolution, Debt Conversion