Popular Energica Motorcycles Could Shut Down Because Of Its American Owners
Think about electric motorcycle companies that have actually delivered on their promises, and Energica will pop into mind. The European bikemaker has not only had mass-market motorcycles in production, but you can even find the bikes riding around in the real world, meaning actual sales.
The latter alone is something a majority of EV companies can’t boast about. Even with all this, though, the future of Energica is not looking bright. The company is being liquidated as we speak, and the blame is on its American owners.
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Energica Motorcycle Company Is Being Liquidated By Its American Owner
The idea of Energica first came to life in 2010, under the Italy-based CRP Group. It was then officially founded in 2014 as a manufacturer of high-performance electric motorcycles. Post eight years of total European ownership, the bikemaker was privatized by America-based Ideanomics Inc. The latter bought a 72.42 percent stake in the EV company while the Cevolini family retained 17.62 percent.
Fast forward to today, the future of Energica seems bleak, thanks to its American owners. At least that’s what all European publications believe. There’s good reason to do that, too. You see, Ideanomics has had a questionable past. It has changed names and business models several times, initially starting with video on demand, then moving to petroleum trading, and now, conversion to electric vehicles.
To make matters worse, the company’s ex-CFO, ex-CEO, and current CEO were all under the watch of the U.S. Securities and Exchange Commission (SEC). The charges? Providing fraudulent financial information to investors from 2017 to 2019. The company reportedly paid over a million dollars to settle the matter. Last but not least, Ideanomics reported a loss of $2.7 million last year.
Ideanomics Recent Woes
- $2.7 million loss in 2023
- Under watch by SEC for fraudulent investor information
- $1.4 million fine paid to SEC
- $3.56 million fine paid by ex-CEO in penalties
Energica’s Business Model Isn’t Very Promising, Either
As always, you need two to tango. And Energica plays a role in the liquidation, too. The EV maker has a range of premium-priced motorcycles on sale, with an average MSRP above the $20,000 mark (the two-wheeler range is mentioned at the end). As you’d expect, the sales aren’t very strong then, and the company isn’t profitable yet.
We’re not saying Energica is doing something wrong, but this is the usual trend of premium EVs worldwide. Even LiveWire and Damon are struggling. Thus, with no profit, we somewhat understand why Ideanomics isn’t eager to give Energica more resources. The fact that the EV maker is trying to change its approach and come up with new commercial fleets–which requires plenty of cash as an investment–doesn’t help its case either.
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All in all, we can’t help but feel bummed out because Energica was one of the good ones. It had even enjoyed racing success against ICE bikes in MotoAmerica, and proven its mettle in the MotoE class. So if such an established EV brand can go down under, then which premium electric motorcycle company is next? Another bigger question is: are EVs really the future of motorcycling? What do you think?
Energica 2024 Electric Motorcycle Lineup
- Energica Experia (ADV)
- Eva Ribelle (streetfighter)
- Ego+ (sports bike)
- EsseEsse 9+ (naked roadster)
Source: Revzilla
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