Energica, Europe's leading electric motorcycle manufacturer and often considered the 'Ducati of e-motorcycles', appears to be in financial trouble. New reports from local media indicate that the Italian motorcycle maker may be going under.
According to an Italian newspaper ChronicaEnergica workers are preparing to strike due to financial uncertainty over their future employment.
“For months, this company has been in serious economic and financial trouble, as it has 50 workers with union contracts,” the book reported.
Those contracts are currently paid by the Istituto Nazionale della Previdenza Sociale (INPS), the country's national social security agency. Although the exact details of Energica's case are not entirely clear, INPS can intervene to continue paying workers if employers cannot, providing government assistance to workers through social security programs without involving their employer in the payment process.
With the contracts coming to an end soon, Energica workers are reportedly threatening to strike.
Italian media continue to report that Energica's board has been meeting with local government and Energica workers, but that recent meetings have escalated the problems.
According to Chronica, Energica's board will be meeting on Friday “to decide whether the company is in a position to provide continued production or whether it was necessary to open the bankruptcy process.”
Energica has seen its fair share of economic hardships over the past few years. After receiving a major investment from the US company Ideanomics in 2022, follow-up funding has been less forthcoming.
The company has been able to secure large tenders for government vessels but has struggled to maintain sufficient capital.
“We have highlighted the importance of this company in Motor Valley for the past 13 years. We have created what is called 'Electric Valley' thanks to the investment of our founding partners and minority shareholders who have continued to support the business through the most difficult times. Other companies have invested in EVs and chose to locate their headquarters near our locations because of us,” explained CEO Livia Cevolini, according to The package. “Now, we need help. We have developed technology, knowledge, and jobs in our region. In the last 18 months, we have engaged with various investors and industrial groups, but it seems impossible to find investors willing to commit, especially in the EV industry at this time and especially in Italy. ”
Electrek contacted Energica but did not receive a response by press time. The story will be updated when Energica representatives respond to a request for comment.
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