UltraMotor bankruptcy

[Miles]

http://www.bike-eu.com/news/ultra-motor-ltd-filed-for-chapter-11-5408.html?cmpid=NLC|Bike%20Europe|08-nov-2011|Ultra%20Motor%20Ltd.%20Filed%20for%20Chapter%2011

http://www.bikebiz.com/news/read/ultra-motor-goes-into-administration

 

[fractal]

Too bad, they had new A2B models coming out too including a 48v model too. Maybe they were a bit pricey. People will probably be able to get them pretty cheap soon.

 

[LI-ghtcycle]

Yeah, it's very sad, one of the more solid looking pre-built E-Bikes.

 

[Hillhater]

Reading the article , it sounds like its only the UK holding company that is in administration, the Ultramotor development and manufacturing company in Taiwan will continue to operate...

....Ultra Motor Ltd. is the holding company that after selling its Taiwan subsidiary .....

.... Ultra Motor Taiwan was sold yesterday to a group of European private equity investors. According to Bernd Becker, CEO of Ultra Motor Taiwan, these investors come from the electric bike sector. They will continue the Taiwan company under the same name.

Ultra Motor Taiwan is an e-bike propulsion systems business which includes the electric motor manufacturing plant located in Taoyuan, Taiwan, as well as the power electronics R&D facility in Taipei. As part of the acquisition, Ultra Motor Taiwan has received additional funding to finance its growth and continued R&D activities.

“We are excited to become a stand-alone company and single-mindedly focus all our resources on the continued growth of our successful motors and propulsion systems business. Over the past 12 months, we have expanded our customer base for e-bike motors and propulsions systems worldwide and we are delighted to receive strong financial support for our further growth,” said Bernd Becker.

The UK company ( Marketing division ?) have suffered because they got it very wrong !..
I really do not know how the expected to sell many bikes at the prices they set. ( $4000 + in Au)
Maybe now we will see similar/better products at sensible prices direct from Taiwan ?

.....According to David Scrivener from Ensors Chartered Accountants, who is handling the Ultra Motor Administration, the reason for the financial problems is in the fact that Ultra Motor’s products didn’t sell as planned....

 

[Miles]

The UK company ( Marketing division ?)

This is the holding company, we're talking about.......

 

[Jason27]

We all agree the A2B bike was a well built bike.When did it come out, 2008? It was ahead of the competition back then in my opinion.

But lets be realistic here. $2699 for a 36v ebike is a little rediculous. My 48v bike cost 1500 to build.

 

[Hillhater]

The UK company ( Marketing division ?)

This is the holding company, we're talking about.......

Yes, i was trying to clarify that the Ultramotor products will continue to be produced as before, its simply the UK registered "western" distribution /sales company that is in administration ( and may even be sold and reborn !)

 

[Miles]

Yes, i was trying to clarify that the Ultramotor products will continue to be produced as before, its simply the UK registered "western" distribution /sales company that is in administration ( and may even be sold and reborn !)

No! It's the holding company (UK) that is in administration. The fact that the development company (Taiwan) has been sold is fortuitous but doesn't necessarily mean business as usual..... at least, that is my understanding.

 

[Hillhater]

A Holding Company ( Ultramotor LTD) is simply a financial instrument that holds shares of the operating business (Ultramotor Taiwan).
In this case, the operating business has been sold on to new investors to continue their normal function.
If they continue to operate (make Ultramotor products), we should continue to see those products , but offered via different channels. No ?

 

[Miles]

If they continue to operate (make Ultramotor products), we should continue to see those products , but offered via different channels. No ?

Maybe. It's not clear that the same products will necessarily be available though, or where...

This is where the saga started:
http://www.shelleys.demon.co.uk/apr03mot.htm

 

[dogman dan]

Maybe the new owners, having shed some debt load from development, can sell future bikes a bit cheaper? Be nice if they could lower the price some, and sell lots of em.

 

[miro13car]

$2699 to much for 36V bicycle?
Not at all,
Example
Eplus 36V USA-parts and buit kit is $2400-$2500 and it is only kit.
But it lasts , no crappy chaep Chinese -brands compnents here, no undersized wires..
You must see here quality of material, namely steel, components, connectors sealed from weather and the metords of construction, egineering you pay here for. No Chinese brand can match it.
I want to ride not to correct and repair poor material/assembly.
So no , it is not too much

 

[ecowheelz]

One of their original sales reps has been pushing Stromer for the last year. He didn't have many nice things to say about the company. It sounded like the whole Best Buy situation was a huge debacle. And apparently, another rep (originally with UltraMotor) is now pushing the Stromer line.

The 2011 Stromer models were selling for $2899. And next year (2012), the prices will be increasing to $3399 (upgraded hydrolic disc brakes, digital display / cycle analyst, REGEN, etc.) -- quite a bit higher priced than Ultramotor.

There's definitely a smaller niche for these pricey e-bike models, but I'm not sure price was the only factor in the downfall of Ultramotor. Personally, my big problem was the "look" of their bikes. A bit too edgy for most people (in my opinion). I know a couple ES members really liked them, but we had no interest in carrying them since we weren't sure if we could sell them due to the strange design.

The Stromer's, on the other hand, have sold quite well in our store (considering the high price). And according to our rep, they're in high demand. We'll see if they end up like Ultramotor...

 

[liveforphysics]

This is where the saga started:
http://www.shelleys.demon.co.uk/apr03mot.htm

Wow. You would be hard pressed to find a bigger collection of mis-understanding, wrong, and lies on a single page with out being written by DrkAngel.

I assume you're joking about any of that being related to the Ultra-motor company that made the A2B right?

 

[Miles]

Pretty amazing, isn't it?

I'm not joking, it is the same company.

 

[liveforphysics]

Pretty amazing, isn't it?

I'm not joking, it is the same company.

Holy chit Miles. That still seems hard to believe. I don't recall ever seeing a page spewing more wrong information since visiting battery-university. It's amazing to me that they actually got somebody to fall for that BS enough to fund them and put a product on the market. Really truly amazing.

Are you 100% certain that pure BS spewing drivel is related? (not that I would doubt your extremely advanced search-fu technique, but you must understand how hard it is to swallow, as it must be equally hard for you to swallow)

 

[Miles]

No doubt about it. Professor Shkondin is the constant...

http://www.businessweek.com/globalbiz/content/mar2008/gb20080321_354116.htm

http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=27742145

 

[liveforphysics]

Wow.

I don't even know what to say. I guess I should never hesitate to underestimate the vetting skills of a VC group.

Come to think of it, vetting BS for VC groups actually sounds like a dream job for me. Fly all over the world, sit-in on meetings where some folks try to pull the wool over the eyes of some money bags, and give the ceaseresque thumbs-up or down.

 

[Miles]

http://ekmancapital.com/investments.php

Company accounts to Mar. 31st 2010:

 

[Miles]

http://www.exchange4media.com/e4m/news/fullstory.asp?section_id=1&news_id=21338&tag=16065&pict=

http://www.tradetag.com/27/27da44637e427eb5-company.html

 

[Miles]

http://www.bikebiz.com/news/read/ultra-motor-boss-says-education-is-key-to-grow-e-bike-market/011661

 

[miro13car]

JeremyP,
since you sell Stromer,
motor which drives Stromer , where is it from? what are origins of motor ?
On such expensive ebike approaching price of E+Eplus kit we expect more tech info.
I buy electric bicycle so I must know a lot about electrical components , not frame , etc.

 

[tuxman]

$2699 to much for 36V bicycle?

Last I checked the motors were made in Taiwan. Taiwan is an island off the east coast of China, and is part of the Republic of China.

My iZip Zuma cost HALF of that at $1,300 shipped. Competition is a bitch.

 

[Miles]

in Taiwan, a part of China.

Not exactly......

 

[Jason27]

Miro you must be living in the 90s when the economy was good and we all had good jobs.You can live on that era and pay a ridiculous amount for an ebikes but the majority of us are here on endless sphere because we live in reality. We build our own ebikes to cut cost. My 48v comfort bike is highly reliable and can fly past a 36v bike. Why on earth would you pay more for something??.. common sense my friend!