Here's the automatic translation of the Italian article:
Energica, all is not lost
What will become of Energica after bankruptcy? All is not lost, as Giampiero Testoni, the long-time technical manager of the Modena-based company, explains. Much will depend on the interest of other companies in the technology developed in recent years
The automotive world, Sergio Marchionne liked to recall, is the most competitive of all. Motorcycle racing is perhaps a little less so, but if we move to the electric motorcycle segment, then it is brutal to say the least. The market is small and subject to sudden changes in the mood of the political world, which complicate the life of any company, let alone those that are struggling to establish themselves.
We had so far seen a flourishing of failures in the United States (the latest case, a few days ago, was Fuell, the latest company to come out of Eric Buell's ingenuity), where, moreover, the philosophy of start-ups is related to our saying "make it or break it" and we know that 90% of the time we end up taking the books to court. Except that the books of these companies consisted of a few pages, while the history of Energica is over 10 years long and full of successes: industrialized motorcycles, sold and appreciated, the adventure in MotoE, contracts with Public Administrations around the world to provide police forces, military and so on.
What will happen now? We talked about it with Giampaolo Testoni, who has been in charge of technical development since the beginning of Energica's adventure and whom we found combative as always.
Giampiero, it is not an easy time. Can you summarize what happened?
"What was said happened: we reached a point where we no longer had the funds to continue. We negotiated until a few days ago with an interested investor, but at the last minute he said no. At that point we filed for judicial liquidation."
At this point, what will happen?
"The liquidator will take matters into his own hands with the aim of selling everything, possibly together, and getting the company going again."
What's inside Energica today?
"There are still 50 employees, much less than the almost 150 touched two years ago but still a substantial number. They are largely the 'diehards' who have been with us from the first hour, enthusiastic and trained people able to restart the company and its technology immediately. This is the real value. Then of course we have patents, we have 60% of a warehouse capable of supporting production for the next two years, we have a good customer portfolio: France alone had already ordered 200 motorcycles for its state fleets."
With all these orders, couldn't we go on?
"60% is not enough to build motorcycles, not even 99% is enough because if you are missing just one of the more than 1,000 components that make up a motorcycle, you cannot complete and deliver the motorcycle. To start again, we have to pay the suppliers that we have not been able to pay in recent months."
That's because the American fund Ideanomics has turned off the taps, right?
"Yes, the fund already has its difficulties at home, it is paying for the difficult moment of electric and some wrong choices. We lacked the money we had agreed on in the development plan, but I still want to remember that Ideanomics was an excellent partner until it had problems: competent people, who know what it means to develop a hi-tech product and who do not just aim to earn within three months, as many stock market investors do. To do the 'delisting', bring Energica back from public to private, it invested 100 million dollars, and put more to support the business during Covid, with all the uncertainty that existed."
It seemed like the beginning of a transformation of Energica from a start-up to a real company.
"Definitely. We started with 3, when we reached 30 we already felt like a lot, but with them we have risen to 150 employees. We were able to industrialize the Experia, based on our second-generation platform. We have done the 'Energica Inside' project to bring our technology to other areas. We started the Electric Motor Valley, Reinova also came to settle here next to us."
Wouldn't you have grown as much with the Stock Exchange?
"No, as I said, the Stock Exchange is made up of investors who today choose you, tomorrow maybe logistics or the food industry. The Stock Exchange is volatile, maybe you even collect half a million or a million euros at a time, but with half a million euros you can make molds for a fairing... With that kind of resources you grow one step at a time, as we had always done. The capital for a new technology is needed all at once, it is Ideanomics that made us take the leap."
Unfortunately, now that you have done so, it is even more expensive to save the company.
"Of course, you have to believe in it. But you don't need a lot of money: as I said, Energica is not an empty box: between technology, orders, the value of the people we have trained in these 10 years, the company is ready to start again and the money it would take is certainly worth it."
Who could buy a company like Energica today?
"Everything is possible, I don't believe in financial investors. I believe in an industrial investor, one who understands the value of this company and what it has done. Someone who possibly makes it restart without taking it abroad, given that many from abroad are frightened by our bureaucracy, our unions, our rules and regulations... doing business in Italy is difficult, but on the other hand, for what we have done abroad, perhaps in the United States, we would have needed three times as many people and resources."
Any motorcycle giants still behind on electric?
"Yes, ideally. We have already spoken to someone, but for one reason or another the marriage did not take place. Either because of fears about Italy, or because of our premium positioning that some manufacturers in developing countries may be less interested in... I expect someone from abroad, in Italy there is the mentality of doing things at home. It is strange that in these 10 years no one has come forward to acquire us, even if only for the technology that you can put wherever you want, from electric cranes to street cleaners. Of course, the best thing would be a motorcycle company, because sooner or later it is clear that we will have to go electric. Just look at the statements of the Japanese manufacturers."
Is Italy in danger of being left behind?
"I don't know. We all know that Ducati is working on the electric motorcycle, the others are not clear. I can say that there is no doubt that we have done a lot to clear the high-performance electric motorcycle. For years, many have made amazing statements and have never materialized, and instead we were the only credible ones: the first to make real high performance, the first in MotoE, the first with Fast Charge, with interoperability with all the plants in the world including those of Tesla... things that not even Harley was able to do when she got into it."
Could a Chinese manufacturer arrive? On the electric car they are far ahead, but the bike is completely different.
"It could. And I don't know if it would be a victory or a defeat."
