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[Grauteufel]

 

https://newatlas.com/motorcycles/energica-for-sale/

[Richard230]

I agree with the author of that article. That price is just crazy. If the company assets are sold off piecemeal, you are never going to see Energica motorcycles again. Parts could be scattered all over the world. The only hope is that the Energica employees would do the same thing that the H-D executives did years ago, buy the company assets themselves and then try to recover the operation. You would think that the Italian government would try to help them out with a loan to keep things going. They certainly have done things like that in the past.

[FrankF87]

In the documents it was stated the Italian government was paying the Energica payroll for over a year before the bankruptcy to keep it afloat - I assume that is why the sale terms were to keep 32 union employees (first round) and 22 employees (second round) plus the CTO, you had to take over the building lease, keep the company in Italy, etc - I think the government wants to recoup their investment in Energica and keep the company going to retain jobs and collect taxes. It may not be the purchase price holding off a buyer but the restrictive terms in the purchase agreement plus the capital required for the long term.

[EsseEsse]

There are also the going-foward losses to consider. Energica was losing something like $20,000 on every bike they shipped. There is some number of shipments at which those losses reduce and even disappear, but no one knows that number or whether the market can support that many expensive bikes. Livewire lost $30,000 per bike on more than 600 shipments, and that was before operating expenses.

The starting price is an easy jump but it might be into nasty waters.

[flynnstig82r]

This is really the worst climate for a sale like this. Motorcycle sales are way down, there’s a strong anti-EV backlash, and people are tightening the belt in general. Gas OEMs either aren’t ready to commit strongly yet, or they already have their own programs in full swing. If the Italian court and govt are going to complete the sale, they’re going to need to include subsidies or writedowns that provide a clear path to profitability amid uncertain future demand. Otherwise, no one is going to want to sign up to spend 50mm+ Euros just so they can keep losing money until who knows when.

[FrankF87]

This is really the worst climate for a sale like this. Motorcycle sales are way down, there’s a strong anti-EV backlash, and people are tightening the belt in general. Gas OEMs either aren’t ready to commit strongly yet, or they already have their own programs in full swing. If the Italian court and govt are going to complete the sale, they’re going to need to include subsidies or writedowns that provide a clear path to profitability amid uncertain future demand. Otherwise, no one is going to want to sign up to spend 50mm+ Euros just so they can keep losing money until who knows when.

You mentioned a key point - there has to be a path to profitability.

[Specter]

In all of this.
There CLEARLY is an intent to form 2 companies   Energica USA,  and Energica... whatever they call it.  This was made clear at the very get go.
Nobody is talking about the USA sub entity?  If the Italian side is just too complicated and comes with too much baggage, both union and otherwise, what can be done to salvage and save the USA side of it, and keep that running?
I wonder what strides have been taken to that matter?  Have they even considered it yet, or are they still just trying to sell the whole package and not that far yet?

Maybe someone steps up and says, I'll take Energica USA for 2 million providing all the tech, software, patents, bla bla come over to it.  I'll take the hit on any common equipment or whatever bikes may be half built etc, but give me the core people, the rights, and I'll do it on my own.  It IS doable.

The biggest 'issue' from a pragmatic POV that I see is, what consists of CORE people?  The software guys, and the engineers of course are core, but what happens if it just turns into Energica USA, would they be willing to move to the US, if not here already or can they work from home?  Just because I have a software disk, and a blank chip on the bike and a bike does NOT mean I can make it all work!!  That tribal knowledge is crucial.  How do you preserve that if you bust the company up?

The good thing about a semi stagnant market is, there is no other R and D really from others.  The product they have is STILL king, and can be for a few years at least, so a restart, the first year, can be put towards building the bikes they already KNOW, filling backorders and taking care of the existing customers, and THEN ramp up R and D etc. and new products.  The existing stuff can still sell very well, IF THEY MARKET IT!!  That I think is one of their biggest mistakes, is you hardly ever seen marketing in the USA.  Yes I know marketing sucks, it's a huge waste of money for the most part, but CAN work if done properly.

Overall, the Energica product has been very reliable, and top of the line performance line as compared to the others.  THIS could be a big selling point, but the price.. that's the sticking point for every EV manu out there.

The process is not quite over yet for this round, it ends what mid April?  Maybe bullwinkle pulls an actual rabbit out of his hat this time.

Aaron

[Grauteufel]

Out of curiosity, where have you found the intent to form two seperate entities? Out of my own selfishness I really want someone to actually own the IP and parts, so I can at least get some modicum of support for what is now one fault away from an expensive clotheshorse.

[Specter]

I'll have to go back and look, but I remember reading somewhere when this all first came out that they wanted an Energica USA, it's own separate entity, which is acutally part of what they used to keep the US side of things open during the initial weeks as this all started rolling.  Then there is Energica, I'll say Italy, since that's it's birth place but I don't know the actual name they'd call that entity, but they wanted to have 2 distinct entities, because of the difference in the laws and suchnot in the two countries.   This also let the USA one keep running and fixing bikes while the Italy one was closed down while they were deciding what to do.

I'll go see if I can find that article again, but I must admit, I really don't bookmark much stuff I read, so might have to dig a bit.

Aaron

[Grauteufel]

Seeing as how I don’t want to hassle demoni directly, is there any contact details for energica US? Id love to pay them money to order something.

[Stonewolf]

I would speculate that Energica USA is a separate legal entity that handles import, distribution and support for the US market rather than an actual separate division of the manufacturer.

[Commodore]

Not sure why CRP and brother Franco don't step back in and save their investment?

At the Handbuilt Motorcycle Show in Austin showing my little Ducati build.  I was thinking of submitting my Experia, as it is as hand built as you can get!

Commodore

[Pard]

Seeing as how I don’t want to hassle demoni directly, is there any contact details for energica US? Id love to pay them money to order something.

cpaz@energicamotor.com

sbenatti@energicamotor.com