8 Key Questions About the Takeover of Vanmoof by Lavoie

Just over a month ago, Vanmoof had to file for bankruptcy. Now the British company Lavoie has taken over one of the most prominent names in the ebike industry. According to several media outlets, the new owner was supposed to announce more details about the deal and the future of the brand this week. Well, so far this has not happened. Therefore, we will briefly summarise what is known so far.

1. For what amount did Lavoie win the bid?
2. What is Lavoie’s strategy after the takeover?
3. Will there still be Vanmoof ebikes to buy?
4. How long will Vanmoof continue to be called Vanmoof?
5. What will happen to the employees?
6. What role will the Carlier brothers play in the future?
7. Who is the buyer?
8. What about the other Vanmoof companies?

1. For what amount did Lavoie win the bid?

The price paid and the terms of the takeover are still unknown. All parties involved are conspicuously silent on the matter. Nevertheless, the news service Reuters reports that the responsible trustees Jan Padberg and Robin de Wit from the law firm Holland Van Gijzen Advocaten en Notarissen LLP are satisfied with the result achieved. The US portal TechCrunch claims to have learned that the purchase price is in the double-digit millions. For comparison: In a financing round, Vanmoof was last estimated by the online platform Dealroom to be worth between 512 million and 768 million US dollars.

2. What is Lavoie’s strategy after the takeover?

Of course, only Lavoie knows exactly what Lavoie’s goals are. Eliott Wertheimer, CEO of Lavoie, said in a press release that they are working towards ensuring that everyone who currently rides a Vanmoof can continue to do so. According to consistent reports, Vanmoof has sold around 190,000 ebikes so far. Worldwide. So that alone is a huge task.

In addition, the new owner wants to “stabilise and efficiently grow the VanMoof business and continue to develop its world-class products.” This would only be possible with fresh capital. Investments of tens of millions of pounds sterling are on the cards.

It is unclear whether this sum already includes the costs for the planned restructuring of the distribution structure. In the future, you will be able to buy a Vanmoof from a third party dealer. Lavoie apparently wants to say goodbye to the old structures with direct sales and a handful of own stores.

3. Will there still be Vanmoof ebikes to buy?

As some of you may know first hand, the quality of Vanmoof ebikes has not been very good. When ten percent of all models delivered are claimed, it speaks volumes. Nick Fry, who is non-executive chairman at Lavoie, is aware of the problems. At the same time, he emphasises that Vanmoof has got them under control. However, with bicycles that would not have been sold due to the insolvency proceedings. Lavoie will now make up for this.

4. How long will Vanmoof continue to be called Vanmoof?

Despite the mismanagement mentioned above, the Vanmoof brand still enjoys a fairly good reputation worldwide. Moreover, its customers are considered to be extremely loyal followers. Nick Fry has already let it be known that the takeover will not mean the sudden disappearance of the brand. He assumes that both brands, Vanmoof and Lavoie, can be combined. Only the how is still up in the air.

5. What will happen to the employees?

Who will be allowed to stay? Who wants to stay? A takeover of this kind always means changes for the workforce. Reuters reports that Lavoie plans to retain former Vanmoof department heads. Likewise, there are probably attempts to win back former employees. Special attention is being paid to about 50 to 60 key positions. According to Nick Fry, there will of course also be redundancies.

6. What role will the Carlier brothers play in the future?

The founders of Vanmoof, the brothers Taco and Ties Carlier, need not hope for a leading position. The Dutch newspaper Financieele Dagblad reported that there is no place for them in the future management team. Instead, “Vanmoof will be headed by Lavoie executives”.

Taco Carlier (left) and Ties Carlier may continue to drive a Vanmoof. Entrepreneurially, however, neither of them is steering the brand’s fortunes any more.

7. Who is the buyer?

Lavoie, a subsidiary of Formula One supplier McLaren Applied, has won the bid. The company is owned by the private British financial investor Greybull Capital. In the e-mobility sector, people know Lavoie quite well. Only earlier this year, the company presented a high-quality electric scooter. The frame of the scooter, called Series 1, is made of magnesium, which makes it extremely light. You can also fold it up at the touch of a button.

Lavoie Series 1

8. What about the other Vanmoof companies?

Three parts of the Carlier Group BV in particular are excluded from Vanmoof’s insolvency proceedings as well as the current takeover: Vanmoof Asia, Vanmoof Asia Ltd. Taiwan and Vanmoof USA Inc. However, initial signs indicate that it is only a matter of time before something similar happens there. The industry service Bicycle Retailer and Industry News reports that the two companies Speed Tech and Ideal Bike are claiming millions in outstanding debts from Vanmoof Asia. However, liquidation proceedings have been opened for the company in Hong Kong.

Pictures: MA Micro LTD