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Powersports Business • November 2024 • 21

The European Investment Bank ( EIB ) has announced that it signed a € 40 million ($ 44 million USD ) credit facility with Stark Future to finance the company ’ s R & D activities in the electric motorcycle sector .

According to a Silicon Canals report , the European Union backs the European Investment Bank ’ s investment in Stark Future under InvestEU , which seeks to add more than € 372 billion of additional investment from public and private sector funds to support EU policy goals .

The announcement comes over a year after the company signed a € 20 million loan agreement with Banco Santander to increase its production capabilities and streamline manufacturing processes .

“ We are thrilled to partner with the European Investment Bank to accelerate our mission of transforming the motorbike industry with innovative , sustainable technologies ,” says Anton Wass , CEO and founder of Stark Future . “ This investment represents a significant endorsement of our vision and enables us to scale up our R & D capabilities and build even more revolutionary products to a global market . Together with the EIB and the support of the European Union , we are committed to setting new standards for performance , sustainability , and design in the motorbike industry .”

European Union member states own the ElB . It invests in projects that further EU policy goals .

“ Supporting European innovators committed to sustainability like Stark Future is part of the EIB ’ s roadmap to accelerate the green transition and ensure citizens have access to the most advanced means of transport ,” says EIB ’ s Yu Zhang .

EIB has invested in Stark Future to help the EU transition to green energy alternatives . Photo courtesy of Stark Future , LinkedIn

Energica Motor Company , a manufacturer of high-performance electric motorcycles 75 percent controlled by the American fund Ideanomics Inc ., reveals that its board of directors meeting held on October 14 resolved to enter into a bankruptcy liquidation .

Officially founded in 2014 , and with a design phase that began in 2009 , Energica had established itself over 15 years as a benchmark for high-performance electric mobility , in Europe and beyond .

Thanks to its technical know-how , Energica has introduced four technological platforms to the market and has served as the exclusive manufacturer of the fourth MotoGP electric category , the FIM Enel MotoE World Cup , for four consecutive years . Despite the challenges posed by the global pandemic , Energica achieved record sales volumes and revenues with the launch of the Experia model .

Energica ’ s entrepreneurial vision has been supported and financed from the outset by its founding partners , who in 2016 decided to list the company in the AIM Italia sector ( now

Euronext Growth Milan ), dedicated to innovative Italian SMEs , to secure the necessary capital for growth that they could no longer sustain alone . The company was listed with a capitalization of € 37.3 million ($ 40.3 million USD ).

In 2021 , with the investment from Ideanomics Inc ., Energica launched the Experia model , achieving record sales volumes and revenues of € 13 million , a 200 percent increase compared to 2021 . In March 2022 , Ideanomics completed a voluntary takeover bid , which allowed the shareholders to transform the company into a private entity , making it more free and flexible in managing financing and agile in its growth .

However , the subsequent crisis in the electric market and the decline in sector investments impacted Ideanomics , and consequently , compromised Energica ’ s investment capabilities .

The company has also faced challenges from the downturn in the automotive market and supply chain and has been particularly affected as a small and medium-sized enterprise . The commitment to its objectives

Founded in 2014 , with a design phase that began in 2009 ,

Energica established itself over 15 years as a benchmark for electric mobility in Europe .

The Energica Ego was the first Italian-made sport electric motorcycle marketed in Europe . Photo courtesy of Wikipedia . and mission has remained steadfast , as demonstrated by initiatives like the solidarity contract aimed at safeguarding workers and overcoming the difficult period .

Despite the efforts from management in actively and extensively pursuing a search for new investors , these alternative options are no longer viable , leaving the company with no other choice than resolving the opening of a bankruptcy judicial liquidation , allowing repayment of creditors to the extent possible from the proceeds of liquidation and according to pari passu rule and priority rankings .

Throughout its history , the company has consistently invested in its workforce , training staff in innovative skills in the electric mobility sector , without making any contract terminations in its 15 years of activity . The founding members have prioritized young talent , collaborating closely with schools and universities across the country and beyond . The average age of Energica employees has always ranged from 28 to 35 years .

Management has guaranteed salaries even during the most challenging periods , thanks to the support of the Italian minority shareholders , to preserve business continuity and for the best interest of creditors and all stakeholders . In the last two years , some employees have voluntarily left the company ; these professionals have since been absorbed by major players in the Motor Valley .

According to the Italian newspaper Chronica , which was shared by Electrek . com , Energica ’ s employees have been preparing to strike in response to financial uncertainty regarding their employment futures .

“ For months the company has been in a serious economic and financial crisis , with the 50 employees on solidarity contracts ,” the publication reports .

Italy ’ s Istituto Nazionale della Previdenza Sociale ( INPS ), the Italian version of social security , has been paying the workers contract wages . The INPS can pay wages when employers cannot make payroll .

With the contracts expiring , Energica employees reportedly threatened to strike , and a bankruptcy deal was imminent .