After months of hypothesis over the e-bike maker’s imminent demise, Cowboy says it now has the monetary backing it must survive. The Brussels-based maker of boutique e-bikes says it has secured short-term financing to maintain the lights on and a dedication from Rebirth Group Holding that ought to “guarantee its long-term future.”
The bicycle firm that as soon as swore it wouldn’t turn into the subsequent VanMoof, just lately confirmed indicators of following the same path to chapter. New e-bike deliveries had been taking months, repairs had been delayed resulting from an absence of components, funds had been missed, and debt was mounting, based on media stories and buyer complaints.
Cowboy already had a relationship with Rebirth Group previous to signing a time period sheet with its new companion. Rebirth is the mother or father of Re-cycles, the French producer of conventional bicycles that just lately took over accountability for Cowboy’s e-bike meeting operations. The transfer was supposed to cut back supply occasions and enhance buyer help over time, nevertheless it additionally contributed to some short-term points in the course of the transition out of Hungary. Right this moment’s announcement makes Rebirth Group doubly vested in Cowboy’s survival.
Cowboy says a expensive recall of its Cruiser ST that adopted a post-covid bikeaggedon — which continues to rile the e-bike business — created “probably the most difficult interval within the firm’s historical past.” The recall, based on Cowboy, was attributable to an “unapproved change from a provider.”
With funding secured, substitute frames prepared, and the primary recall hub up and operational (with extra cities to come back), Cowboy says that operations and manufacturing will steadily return to regular.
“Our precedence is to revive regular operations earlier than year-end, working intently with our new companion,” says Cowboy in a press launch. “This implies delivering excellent bikes, resolving open instances, and regaining the extent of service our prospects count on.”
Cowboy says it’s going to present up to date progress in September.
