Berlin-based electric scooter manufacturer Unu has submitted an application for insolvency, citing factors such as increased material and transportation costs, higher operational expenses, and a significant decline in demand due to inflation. Despite the insolvency filing, Unu emphasizes that business operations will continue as part of the insolvency proceedings, with the company expressing its intention to undergo restructuring.
The insolvency application was lodged with the district court in Berlin-Charlottenburg on Thursday, as reported by Unu on Friday. The challenges faced by the company include ongoing struggles, workforce reductions, and production suspensions during the pandemic, which impacted Unu, employing around 50 people. Supply chain disruptions, particularly related to semiconductor shortages, further compounded the company’s difficulties, culminating in what Unu describes as “poor consumer sentiment.”
Unu, founded in 2013, has a presence in Germany, France, Austria, and the Netherlands, offering its electric scooters. In September, the company undertook a significant revision of its subscription offerings and expanded its retail partnerships.
Insolvency administrator Gordon Geiser expresses optimism about the prospect of achieving a restructuring solution and maintaining the sale and servicing of Unu’s electric scooters. The company’s commitment to navigating the challenges it faces signals a determination to overcome financial hurdles and adapt to the evolving market conditions in the electric scooter industry.
