Mate Bike is latest e-bike brand to face financial problems

Mate Bike is latest e-bike brand to face financial problems

Mate Bike is hoping to avoid bankruptcy. (Image source: Mate Bike)
Mate Bike is hoping to avoid bankruptcy. (Image source: Mate Bike)

Following the recent rescue of VanMoof, another e-bike company is now in financial trouble. Danish brand Mate Bike is currently taking steps to try to avoid bankruptcy and continue trading. Various factors appear to have contributed to the problem, including a drop in demand and supply chain issues.

Mate Bike, an e-bike company based in Denmark, has become the latest e-mobility brand to face financial problems. The company launched in 2016, gaining popularity alongside other electric bicycle companies during the pandemic. Models include the SUV, a three-wheeled electric cargo bike with a 210 L load capacity, launched late last year.

As reported in the Danish media, Mate Bike is looking to restructure to avoid bankruptcy. The drop-off in demand and supply chain problems, alongside an enforced recall in the UK following a prosecution from the DVSA, have contributed to Mate Bike’s current issues, with it now seeking to have 70 million kroner (~US$10,000,000) of debt, owing to companies like Nykredit and Eifo, written off. In another move to improve the company’s health, Janus Christian Fjeldborg was recently appointed as the new Managing Director.

In a statement to the media, Anders Kaasgaard, Chairman of the Board of Directors of Mate Bike, made it clear that the company was “quite optimistic that we can create a plan that can partly secure the jobs and the future of Mate Bike, so we can continue to build this e-bike brand all over the world”. A similar situation was seen with VanMoof earlier this year, resulting in a last-minute acquisition by e-mobility brand Lavoie, a subsidiary of McLaren.

The Mate Bike SUV launched last year. (Image source: Mate Bike)
The Mate Bike SUV launched last year. (Image source: Mate Bike)

Polly Allcock, 2023-10-24 (Update: 2023-10-24)

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