▼ Summary
– Cowboy is in acquisition talks with ReBirth Group Holding, weeks after receiving a bailout from the same Brussels-based investor.
– A Cowboy co-founder confirmed the discussions are progressing positively, with an expected deal closure in mid-October.
– The company launched in 2017 with smart, high-tech e-bikes and raised over €100 million to pursue the US market.
– Cowboy subsequently faced financial difficulties, including reports of delayed deliveries and a loss of €40 million over two years.
– ReBirth, which owns brands like Peugeot Cycles, provided short-term financing to prevent bankruptcy and is now seeking a controlling stake.
Cowboy, the innovative electric bike manufacturer, is currently engaged in advanced acquisition discussions with ReBirth Group Holding. This development comes just weeks after the Brussels-based investor provided the struggling company with crucial financial support. The news, initially broken by the French publication Le Figaro, has been verified by one of Cowboy’s own founders.
In a recent email, co-founder Tanguy Goretti stated, “We can confirm that discussions with ReBirth are progressing very positively, and we expect to close the deal mid-October.” He emphasized that a formal announcement containing all specifics would follow the deal’s finalization, noting that some financial details remain subject to change until then.
Founded in 2017, Cowboy quickly made a name for itself with a series of sleek, connected e-bikes. The brand’s models integrated smart technology, featuring app-controlled locking systems and built-in location tracking. Early reviews praised the design and functionality of its bikes, with the Cowboy 2 noted for its aesthetic appeal and removable battery, while the Cowboy 3 was recognized as a more refined model prioritizing rider safety. The company successfully raised over €100 million, largely fueled by an ambitious plan to expand into the United States market.
However, the post-pandemic economic climate proved challenging for many venture-backed mobility firms, and Cowboy was no exception. The company encountered significant difficulties, including widespread reports of delivery and repair delays, unsettled payments, and accumulating debt. Over the last two years, it is reported to have incurred losses of approximately €40 million.
Last month, ReBirth Group, which holds ownership of classic bicycle brands like Peugeot Cycles, Gitane, and Solex, intervened with short-term financing. This move helped avert a fate similar to other e-bike companies that have filed for bankruptcy. The current negotiations suggest ReBirth is now seeking to acquire a controlling interest in Cowboy. The outcome of these talks is anticipated to be clear by mid-October.
Reflecting on the situation, Goretti commented, “What matters today is that Cowboy is on a stronger footing and moving towards long-term stability with the support of our partners.” The potential acquisition represents a critical juncture for the company’s future.
(Source: The Verge)
